Vienna Insurance Grp Ord

Ladies and gentlemen, welcome to the VIG Key Figures and Updates First Quarter 2026 Conference Call and Live Webcast. I am Matilde, the course call operator. I would like to remind you that all participants will be in listen-only mode and the conference is being recorded. The presentation will be followed by Q&A session. You can register for questions at any time by pressing star and 1 on your telephone. Operator Assistance, please press star and zero. The conference must not be recorded for publication or broadcast. At this time, it's my pleasure to hand over to Peter Hofinger, Deputy CEO. Please go ahead.

Good afternoon and welcome to our first quarter call. We had quite a solid start in the year 26 with insurance service revenues growing more than 9%. Profit Before Tax Profit Before Tax Profit Before Tax Profit Before Tax Profit Before Tax Profit Before Tax Profit Before Tax Profit Before Tax Profit Before Tax Profit Before Tax Profit Before Tax Profit Before Tax Profit Before Tax Profit Before Tax Profit Before Tax Profit Before Tax Profit Before Tax Profit Before Tax Profit Before Tax Profit Before Tax Profit Before Tax and Donor Insurance. Mr. Gerhard Lahner, our group COO, has been appointed second deputy COO and this new management board has been appointed until the 30th of June 2031. Furthermore, we finalized in Ukraine a cooperation with DFC with a facility where we are now able to ensure This will support the economic resilience of Ukraine and we got all the final approvals in May in Moldova of the acquisition of MoldoSig, which makes us the clear number one in Moldova. Furthermore, on the next slide, ahead of the time plan, we got all the approvals of Nuremberg and we have a closing Nuremberger in May. I think this is a very positive sign having received these approvals ahead of time and shows also that we are able to deal with all the different authorities in Germany but also on European level and gives us a quicker grip in managing and integrating Nuremberger to our group On this slide you can see a pro forma combined illustration how the Nuremberg Deal will further diversify our portfolio on one hand side geographically with Germany accounting for 20% of our portfolio but also in the product lines where we will then increase our life share of our total portfolio to 31%. On the next slide, we are also further strengthening our position in Central Eastern Europe in fostering our partnership with IFC from the World Bank. We have announced in May that the World Bank is going to acquire a stake of 10% in our pension fund in Romania, Krapatsia Pensii. This will support us for specifically the voluntary pension fund business in Romania, where we see a lot of potential in the market and increasing our positioning here in Romania in the pension fund business. Furthermore, IFC also holds a 10% stake in Doveria in Bulgaria, our other pension fund, which is the number one in Bulgaria also here. IFC is supporting us in the third pillar products but also in the digitization of our business model. Furthermore, we closed, we signed an agreement in December 2025 Where IFC is participating into a capital crease and therefore will have a 20% stake of our Ukrainian insurance companies, Knyazha and USG, which will make our companies more resilient, but also in the view of hopefully A certain kind of end of the war and therefore a post-war reconstruction will give us a very strong positioning in supporting these developments in Ukraine. On the next slide, despite geopolitical tensions and recent energy price shocks, we are showing here the most recent Forecast Report for Economic Development from April 2026. Even though this is a little bit slowed down, I think still attractive GDP growth figures, specifically also in relation to the Euro area, as well as the EU members in Central Eastern Europe, but also Western Balkan, far above what is the growth rate in the Euro area. which again shows the resilience of the region where we are and the dynamic which we are having in the region where we are benefiting with our businesses. With this in production, I'm happy to hand over to Liane to go in more details in our figures. Liane.

Thank you, Peter. Let me start with an overview of our key figures for the first quarter of 2026. Overall, we are very pleased with the development in the first three months of this year and also with the continued strong operational performance which we can see across the whole group. The insurance service revenue increased by 9.1% to €3.4 billion, reflecting continued healthy business growth across all our segments and all our lines of business. Profit Before Tax rose to €310.3 million. This represents an increase of 18.8% year-on-year, supported by solid underwriting performance and continued growth momentum across all our markets. Bind Ratio stood at 91.8%, improved by 0.5 percentage points compared to the Q1 of last year. and demonstrated the resilience and the quality of our underwriting portfolio. Now the solvency ratio as of end of March 2026 stood at 290%. This also underlines our strong capitalization and continuous financial flexibility. Excluding the transitionals, the solvency ratio amounted to favorable 274%. Please note that based on the published SFCR report, we have added two slides, number 14 and 15 for the year and 25 solvency details and also the tentativity analysis. Given the headline figures for the first quarter and the good start into the year, we see VIG well positioned and on track to achieve the full year targets. Let's now take a closer look at the development of the insurance service revenue across our segments. Overall insurance service revenue increased by 9.1% to EUR 3.4 billion, with growth contributions coming from all our regions. Czech Republic and special markets recorded double-digit growth rate of 10% and 11%. The insurance service revenue increase of close to 9% of extended CE was driven by the favorable business developments in nearly all markets, but especially in Hungary, Romania, Slovakia and the Baltics. Growth in Poland was 7.7% and in Austria it was 4.5%. Both were supported by positive developments in non-life, life and health plans of business. Turning to insurance service revenue by lines of business on slide 10, we can see that there was a solid growth across all lines of business during the first quarter. Life insurance overall grew by 14.3%. This was clearly pushed by the strong double-digit increase in the life insurance without profit participation. This was followed by health, which grew by 9%, and motor, and also other property being up by 6.9%. Overall, the development across lines of business confirms the balanced structure of our portfolio. On page 11, the gross written premiums by segments are shown. In total, premiums increased by 4.4% to EUR 4.9 billion, the major difference compared to the 9.1% growth in insurance service revenues is a development in special markets, a topic of premium deferral in motor. Premiums in this segment declined by 3% in Q126. Given a recorded higher claim frequency in the Turkish motor business, the local company adopted a tariff leading to substantially less new business and a decline in premiums in motor in Turkey. This development is not yet reflected in the insurance service revenue Due to the deferral of last year's strong business growth in motor. Other than this, the trends in Austria, Czech Republic, Poland and extended CE are those shown and explained on the previous slides. Let me now conclude with a short summary and outlook. We are very pleased with the strong start which we saw in 2026 financial year. with continued insurance service revenue and profit growth and an ongoing strong capital position. At last Friday's annual general meeting, our shareholders approved a dividend of Euro 1.73 per share for the 2025 financial year. Payout date is today, March 28th. Based on the positive development in the first quarter, We confirm our outlook for the 2026 financial year. As already communicated, we continue to target a profit before tax within a range of Euro 1.25 billion to Euro 1.3 billion for the 2026 whole financial year. This without taking into account the Nuremberger acquisition. The decentralized business model of VIG Our diversification across markets and also lines of business, our strong customer focus and our solid capitalization continue to provide a strong foundation for sustainable growth and resilience in a volatile environment. Thank you very much. We are now happy to answer your questions.