In This Article:
-
Net Income (Q4 2024): EUR233 million.
-
Full Year Net Income (2024): EUR728 million, excluding Life & Health review impact.
-
Return on Equity (ROE): 14.9%, excluding Life & Health review impact.
-
Group Solvency Ratio: 210%, an increase of 7 points from Q3 2024.
-
Dividend Proposal: EUR1.8 per share.
-
P&C Combined Ratio (Full Year 2024): 86.3%.
-
Life & Health Insurance Service Result (Q4 2024): EUR119 million.
-
Investments Regular Income Yield (Full Year 2024): 3.5%.
-
Economic Value Per Share (Year-end 2024): EUR48.
-
Financial Leverage: Increased to 24.5% from 21.2% at the end of 2023.
Release Date: March 05, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
-
SCOR SE (SCRYY) reported a strong underlying performance in its P&C segment, with a full-year combined ratio of 86.3%, better than the Forward 2026 assumption of 87%.
-
The company achieved a solvency ratio of 210%, demonstrating resilience and strong capital management, even after absorbing the negative impact from the Life & Health review.
-
SCOR SE (SCRYY) successfully issued a EUR500 million RT1 debt, which was well-received by investors, indicating strong market confidence.
-
The company reported a Q4 net income of EUR233 million, turning the full-year results positive, with an adjusted net income of EUR728 million excluding the Life & Health review impact.
-
SCOR SE (SCRYY) proposed a dividend of EUR1.8 per share, reflecting confidence in its capital position and adherence to its capital management framework.
Negative Points
-
The Life & Health segment showed a negative full-year result, impacted by the 2024 assumption review, indicating challenges in this business area.
-
The economic value per share decreased to EUR48, down from the previous year, reflecting a decline in group economic value by 6.3% at constant economics.
-
The company faced a significant impact from the Los Angeles wildfires, estimated at EUR140 million, which consumed 25% of the annual cat budget.
-
SCOR SE (SCRYY) experienced a higher expense ratio in Q4 due to an expense accounting true-up, impacting the overall cost structure.
-
The effective tax rate was lower in Q4 due to the reversal of cautious provisions, which may not be sustainable in future quarters.
Q & A Highlights
Q: How does the 9.6% growth in P&C renewals reconcile with the 4-6% guidance? A: Francois de Varenne, Deputy CEO and CFO, explained that the 9.6% growth reflects the success of the January 1 renewals, but the company maintains its 4-6% guidance due to factors like the lag effect in translating gross premium to insurance revenue and the impact of large commutations. Jean-Paul Conoscente, CEO of SCOR P&C, added that the growth in the Alternative Solutions portfolio affects the ISR and IFRS 17 figures.