The following is excerpted from the question-and-answer section of the transcript.
(Questions from industry analysts are provided in full, but answers are omitted - download the transcript to see the full question-and-answer session)
Question: Michael Igor Huttner - Joh. Berenberg, Gossler & Co. KG, Research Division - Analyst
: I had 2 questions. One is basically your buyback. And the other one is the increased guidance. Why not more? Anyway, on the buyback, your very
wonderful IR team explained the ins and outs and all the options, et cetera. But really, I would like to get a feel for how strongly you feel about it.
Talking about mechanics is not so interesting if maybe we get the number of suppliers like we did last year, with Taiping Re. So I just wondered if
you can talk about your appetite for buyback versus deals demand.
And the second one is on the increased guidance. So Asia, China, whatever beats by whatever consensus, EUR 47 million, I think, in the quarter.
And you raised your guidance by EUR 50 million. And I'm kind of thinking, well, hang on, some of the stuff you did now, it feeds through into higher
earnings also in subsequent quarters. I mean you've got 11% more assets in Asia. Those create more fees, et cetera. So I just wondered what is the
offset. What are you kind of -- what are you being cautious about?
Question: Michael Igor Huttner - Joh. Berenberg, Gossler & Co. KG, Research Division - Analyst
: Can I just ask a quick follow-up? How much was the quarter number, the Q1 number, the interest rate?
Question: Michael Igor Huttner - Joh. Berenberg, Gossler & Co. KG, Research Division - Analyst
: EUR 40 million? 4-0?
Question: Michael Igor Huttner - Joh. Berenberg, Gossler & Co. KG, Research Division - Analyst
: Okay. Cool. And by the way, on the buyback, we're still hungry for more. Very well. That's all.
Question: Steven Haywood - HSBC, Research Division - Analyst
: I just wanted to follow up on your rerisking, your asset management actions here. You've done a suitable amount in the first quarter. Can you give
more detail on what type of assets you're rerisking into, what the potential yield uplift is? And also, how much more rerisking have you got to do
this year? Is that going to be an impact on the capital generation going forward?
And then secondly, I just wanted to confirm your capital generation guidance because they I think my line cut out then. Was it EUR 500 million to
EUR 540 million for the year?
Question: Michael Igor Huttner - Joh. Berenberg, Gossler & Co. KG, Research Division - Analyst
: I'm really sorry. Just 2 questions. One is I have a feeling, but I just wondered, maybe you could say a bit about it, that you may be, in order to prepare
for higher accidents as the lockdowns end, you might have reserved more or released fewer back book reserves. Just wondered if you can say
anything about that. I could be wrong.
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MAY 12, 2021 / 8:00AM, AGES.BR - Q1 2021 Ageas SA Earnings Call
And then the other thing is Asia. Asia seems to be going on one of those curves which seems to go up to the sky, which of course are exponential.
Can you say -- I mean, you raised guidance this year. And clearly, as the interest rate charge maybe and next year would have higher earnings as
well, higher earnings contribution, can you say a little bit more about how we think about this midterm? Should we expect -- I think, in the past,
my memory's probably wrong, you saw more pedestrian growth of about 13% a year, but this feels much faster now.
Question: Michael Igor Huttner - Joh. Berenberg, Gossler & Co. KG, Research Division - Analyst
: And if I may ask a really cheeky sort of question. In 3 years' time, will we have -- will the next strategic update be in Hong Kong or Shanghai?
Question: Michael Igor Huttner - Joh. Berenberg, Gossler & Co. KG, Research Division - Analyst
: I'm really sorry. This is so naughty. Can you say a couple of words at the format of the -- of your -- of the presentation, so Connect21 and your
so-called [Strategy24] in a month's time, please?
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MAY 12, 2021 / 8:00AM, AGES.BR - Q1 2021 Ageas SA Earnings Call
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