Sanlam : Annual Results 2016

Commenting on the results, Sanlam Group's Chief Executive Officer, Mr Ian Kirk, said that the Group's five-pillar strategy introduced in 2003 had transformed it into a business diversified across business lines, geographies, market segments and products, with a strong capital base.

'Over the years we have maintained a strong focus on the execution of our strategy across the Group operations,' Kirk said. 'We have supported this by attracting and retaining the best technical skills available, coupled with a multi-level management team with some of the best financial services expertise and experience available in the market.'

Sanlam Personal Finance (SPF) delivered a solid performance for a largely mature business in an environment of stagnant economic growth and a weak equity market performance. Sanlam Individual Life remains the largest contributor to SPF's operating earnings with growth in its net result from financial services of 6% in 2016. Glacier grew its profit contribution by 25%, with fund-based fee income benefiting from an increase in average assets under management. Sanlam Sky's net result from financial services increased by 6%, benefiting from, among others, growth in the size of the in-force book.

SEM grew its net result from financial services by 30%, comprising organic growth of 18% and a 12% contribution from structural growth. All countries delivered strong growth, apart from Malawi and Zambia. The general insurance operations in Malawi experienced pressure on claims, while Zambia continues to be impacted by a difficult operating environment. The Zimbabwean and Nigerian operations exceeded expectations.