PFA generates a return of DKK 30.7 billion in the first nine months of 2016
Throughout Q1-Q3 2016, PFA has generated a total return amounting to DKK 30.7 billion. The total payments amount to DKK 23.3 billion, which is an increase in turnover of DKK 2 billion. This shows that PFA continues its significant growth.
in addition to this, PFA has transferred more than DKK 1 billion to its customers through CustomerCapital during the first nine months of 2016. Allan Polack, Group CEO, has the following comments to the Q1-Q3 result:
- I am very pleased. Once again, we experience a high return and a significant increase in our payments, while our costs decrease. This shows that we have a firm hold of the market and continue to experience growth, while at the same time making in-house adjustments. This is positive.
Bankpension joins PFA with DKK 23 billion
In Q3, Bankpension furthermore joined PFA. This officially took place on 30 September when PFA assumed DKK 23 billion in investment assets, 17,000 customers and regular future monthly payments amounting to DKK 77 million. To this, Allan Polack says:
- The merger with Bankpension has been implemented as planned, and we have made a great effort to reach the finish line. The merger supports PFA’s strong market position and makes it even more attractive to be a customer with PFA, as both existing and new customers will benefit from the economies of scale that will be realised through the merger.
In total, the accounts for Q1-Q3 show that throughout the first nine months of 2016, PFA has experienced an increase in customer assets amounting to DKK 57.7 billion by the end of Q3.
The initiatives on improvements of sickness and accident results are starting to work through
The sickness and accident insurance operations for Q1-Q3 resulted in a loss of DKK 399 million, which is unsatisfactory. The loss is however an improvement of DKK 293 million compared with the 2016 interim report. This is due to a reduction in new injuries in Q3 2016 compared to Q2 2016, and that the effects of PFA’s initiatives to create a better balance on the area are starting to show. Allan Polack says:
- The improved result on sickness and accident insurance operations shows that we have stabilised the situation. We can see that the steps initiated are starting to take effect. We believe that gradually, we will see improvements over the next couple of years, resulting in an even better balance than what we see today.
For further information, please contact:
Mikkel Friis-Thomsen, Vice President, Communications, (+45) 29 12 36 64, mft@pfa.dk
Selected highlights Q1-Q3 2016:
- Investment return amounts to DKK 30.7 billion. The total return on average interest rate products amounted to 10.3 per cent. Customers with a market rate plan received a return within the range between 4.1 and 6.0 per cent depending on risk profile.
- Payments totalled DKK 23.3 billion against DKK 21.3 billion for the same period in 2015. Regular payments amount to DKK 14.1 billion, which is an increase of 7 per cent.
- The pre-tax profit amounts to DKK 369 million.
- Expenses per insured customer is DKK 517 against DKK 580 in the same period in 2015.
- The sickness and accident insurance operations resulted in a loss of DKK 399 million against a loss of DKK 644 million in the same period in 2015.
- CustomerCapital’s accounts for DKK 1,012 million of the result.
- Total customer assets amount to DKK 439.6 billion by the end of Q3 and are determined as provisions for insurance and investment contracts plus CustomerCapital.