ALM. Brand A/S Q2 2024 Earnings Call Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Asbjorn Mork - Danske Bank - Analyst : Yes, hi. Good morning. A couple of questions from my side as well that haven't been asked yet. One is going to be a little bit more clarity on the severity or the average claim trends in Motor, both in private and corporate. I guess you've been like your peers been surprised by the frequency trends. Could you just elaborate a little bit more what is it that have sort of surprised you on the average claim side? I guess you were expecting inflation and pricing for inflation also on the on the wage part and I guess imported spare parts on cars. So just a little bit of flavor that would be interesting. Then a question on your private growth, which obviously comes in very strong. Is there sort of a trade-off at the moment, because you're -- I could imagine growing quite significantly in your bank distribution. Is there a trade-off here between the growth that we're seeing and the underlying claims trends, so you are probably pricing at a little bit of a discount or that we know the nuclear new clients have a higher claims ratio? Is that also what is sort of delivering sort of the lack of an improvement in the underlying claims ratio in Q2? That would be my second question. And then my last question would be on the discontinued operations. The old claims and adjustments we saw here in Q2. Is there a risk we could see something similar for next couple of quarters until the deal closes? And could this also have a potential impact on the sales price or is that a fixed at this stage? Thank you. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. AUGUST 15, 2024 / 9:00AM, ALMB.CO - Q2 2024 ALM. Brand A/S Earnings Call

Question: Asbjorn Mork - Danske Bank - Analyst : All right. That was very clear. Thanks a lot.

Question: Mathias Nielsen - Nordea Bank Abp - Analyst : Thanks a lot. So my first question would be on the same topic some of Asbjorn has touched upon. And I note that anyway in the report, you say some of which have already been initiated on initiatives for the commercial lines. So the first question but beyond, like why not all of them? Is that because of the big renewal date being the January 1, or how should we think about that? And then secondly, you don't really write something about the initiatives on personal lines. Should we expect anything on top of the ordinary price increases on personal lines as well? And then on my last question, on the buyback. It's, of course, nice to see something now. But should we expect that this could be raised in connection with the Q3 results, if we see no negative surprises on the underlying performance on the investments front?

Question: Mathias Nielsen - Nordea Bank Abp - Analyst : Thank you towards that that was very clear. Maybe a short follow up. Like have you seen any positive or negative surprises in Q3 so far?

Question: Mathias Nielsen - Nordea Bank Abp - Analyst : Thanks. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. AUGUST 15, 2024 / 9:00AM, ALMB.CO - Q2 2024 ALM. Brand A/S Earnings Call

Question: Jan Erik Gjerland - ABG Sundal Collier ASA - Analyst : Thank you. Just have one follow up on the discontinued operation. Was this all of this sort of project found in the sort of the process of selling it? So the buyer really wanted not to have it? Or did you really funded yourself? That's the first one. And what kind of runoff loss are we talking about? Is it's DKK150 million or is it a DKK50 million? Thank you.

Question: Jan Erik Gjerland - ABG Sundal Collier ASA - Analyst : On the price increases, both on the personal lines and on the commercial lines, could you shed some more light into how much you're really hiked your prices in the personal line and really when you have done it, so we can understand what kind of magnitude you have behind you versus in front of you? And also on the commercial side, the price steps you're thinking about -- do anything last year on the motor side or is this all coming now into going forward from the October 1 renewals and the January 1 renewals?

Question: Jan Erik Gjerland - ABG Sundal Collier ASA - Analyst : Just one question on the sort of the larger claims you have the (inaudible) in property for commercial side. It's hard to say anything as one offs in insurance. But what kind of -- is that kind of a frequency issue or is it just that you were sort of bad luck this quarter versus where we have been thinking? So how much of that, prolonged property losses this quarter was more that really would stand out on all in the next quarters to come. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. AUGUST 15, 2024 / 9:00AM, ALMB.CO - Q2 2024 ALM. Brand A/S Earnings Call And if you look at in a long-term trend, it is sort of losses come and go. But if you look at it in this time -- how many percentage points of the commercial line combined ratio just talking about on or underlying claims ratio?

Question: Jan Erik Gjerland - ABG Sundal Collier ASA - Analyst : Yes. Thank you. Can I just have one follow-up on the investment side. You mentioned that you were sort of trying to find and to turn the portfolio a little bit, so you can have a higher expected return. What do you mean with that? Will you take more risk score will just change the portfolio, or would you look for other investments?

Question: Jan Erik Gjerland - ABG Sundal Collier ASA - Analyst : Okay, very clear. Thank you for your answers.