(IFRS - €m) | H1 2015 | H1 2014 | Chage | S1 2014 PF1 | Change |
Consolidated sales | 401.7 | 387,0 | + 3,8 % | 387,3 | + 3,7 % |
Brokerage commissions and fees | 240,0 | 244,4 | - 1,8 % | 244,7 | - 1,9 % |
Insurance premiums | 161,7 | 142,6 | + 13,4 % | 142,6 | + 13,4 % |
Like-for-like sales for the first six months of the year rose by 3.7%, with brokerage commissions down slightly (1.9%) at €240m and insurance premiums up 13.4% at €161.7m.
"The initial commercial trends of this first half are promising: we are pleased with the results of our insurance business, and the decline in our brokerage activity has slowed down. However, the regulatory environment in France remains demanding and the competition has increased further, particularly in individual and group health insurance. Thanks to our segmented product offering and our wide range of branch offers, we are ready to help our clients face the key year-end milestones imposed by the National Interbranch Agreement (ANI)]. Regarding our international activities, in line with the past few months, we stay focused on adapting and streamlining our businesses", APRIL Chairman and CEO Bruno Rousset commented.
(IFRS - €m) | H1 2015 | H1 2014 | Change | H1 2014 PF1 | Change |
Health & Personal Protection | 258.1 | 251.4 | +2.6% | 252.5 | -0.2% |
Commissions and fees | 155.7 | 158.7 | -1.9% | 159.5 | -2.4% |
Insurance premiums | 102.5 | 93.0 | +10.1% | 93.0 | +10.2% |
Property & Casualty | 144.8 | 139.3 | +4.0% | 138.8 | +4.3% |
Commissions and fees | 85.4 | 86.5 | -1.3% | 86.0 | -0.7% |
Insurance premiums | 59.4 | 52.8 | +12.5% | 52.8 | +12.6% |
Intra-group eliminations | -1.2 | -4.0 | n/a | -3.9 | n/a |
Changes by type of revenue, on a like-for-like basis are as follows:
- Brokerage commissions in Health & Personal Protection amounted to €155.7m for the first half of 2015, down 2.4% compared to H1 2014. Q2 2015 results were in line with the same period last year and were up on the first quarter. The excellent sales momentum delivered by our loan insurance business, one of the Group's key activity, continued over the period and helps offsetting the fall in individual health insurance due to the ANI. Against a backdrop of increased competition, group insurance for VSEs and individual insurance for seniors and self-employed keeps on growing.
- Property & Casualty commissions amounted to €85.4m, an encouraging performance in the context of the ongoing restructuring of the international travel insurance and assistance businesses. The APRIL Mon Assurance network of agencies consolidated its recent progress and saw a slight rise in sales thanks to continuous growth in new business over the past 24 months. The upward trend seen in the second quarter is also the result of positive performances in wholesale brokerage by segment, particularly in house and motorbike insurance and the professional range.
- The increase in Health & Personal Protection insurance premiums (up 10.2% to €102.5m) continued to be driven by the development of individual (seniors and self-employed), group and expatriate Health and Personal Protection portfolios, as well as new partnerships in group health portfolios linked to the ANI and by an adjustment in the reinsurance structure.
- Property & Casualty insurance premiums rose by €6.7m to €59.4m, due to the increase in P&C portfolios, strongly protected by reinsurance arrangements, and in our legal protection business.
Quarterly sales
(IFRS - €m) | 2015 | 2014 | Change % | 2014 PF1 | Change % |
Q1 | 195.6 | 193.2 | +1.2% | 193.6 | +1.0% |
Q2 | 206.1 | 193.8 | +6.3% | 193.7 | +6.4% |
Q3 | - | 191.0 | - | - | - |
Q4 | - | 188.3 | - | - | - |
Total | - | 766.3 | - | - | - |
[1]Pro forma or 'like-for-like' sales at constant scope of consolidation and exchange rates: including any acquisitions, disposals and changes in consolidation method, as well as exchange rate fluctuations, calculated on the basis of the prior year financial statements converted using the exchange rate for the current year.
Outlook
While APRIL registers good commercial trends, their impact will not be significant this year. In this crucial phase, marked by increased competition, the group continues to invest in order to consolidate its market position.
Management will present its main areas for development for the coming years to coincide with the publication of Group first-half earnings.
Marc Le Doze, Group CFO, will be holding a conference call for financial analysts, investors and the press this evening at 6:15 pm.
Dial in details: France +33(0)1 70 99 32 08 / United Kingdom +44 (0)20 7162 0077 Connection code: 954 438
Upcoming events:
- 2015 half-year results: 3rd September 2015 after market close
- Q3 consolidated sales: 26th October after market close
Contacts:
Analysts and investors
Sandrine Gallien - +33 (0)4 72 36 49 31 - +33 (0)6 20 26 06 24 - sandrine.gallien@april.com
Press
Sandrine Trichard: +33 (0)6 15 45 75 47 - sandrine.trichard@insign.fr
Samantha Druon: +33(0)4 72 00 46 56 - samantha.druon@insign.fr
About APRIL
APRIL is an international insurance services group which has chosen innovation as the key to driving its development. Making this commitment, which means pushing boundaries and keeping things simple, has enabled it to become the leading wholesale broker in France and an international authority in the sector in less than 20 years. 3,800 staff members offer, advise on, design, manage and distribute insurance solutions and assistance services for private individuals, professionals and businesses. APRIL reported consolidated sales of €766.3m in 2014. APRIL is listed on Euronext Paris (Segment B, SRD (deferred settlement service); eligible for the "PEA-PME" SME share savings scheme).
Regulated information is available in full from the "Finance" section of www.april.com.
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