Exceeding expectations, Coface achieves 14.3% annualized RoATE (Return on Average Tangible Equity), surpassing mid-cycle targets. The new strategic plan will be presented on 5th March 2024.
A double-digit growth
Turnover for the first half of the year: €960m, up 11.1% at constant FX and perimeter and 9.9% on a reported basis
- Trade credit insurance rose +11.2% at constant FX, driven by increased client activity and growth in fee and commission income (+11.3%)
- Client retention stood at a record high (94.4%); the price effect was still negative (-2.0%) but less so than in H1-22
- Business information momentum continues with double-digit growth (+14.8% at constant FX); factoring up by +5.4%, reflecting clear economic slowdown in Germany and Poland
Net loss ratio at 40.3% in H1-23, up by 3.8 ppts; net combined ratio at 65.5%, up by 2.2 ppts (and +8.3 ppts compared to H1-22, excluding the impact of government schemes)
- Gross loss ratio at 39.4%, up 7.4 ppts in a risk environment that is still normalising
- Net cost ratio down by 1.6 ppt to 25.2% as a result of an improved product mix and high reinsurance commissions, while investments continue
Net income (group share) at €128.8m, including €67.7m for Q2-23; annualised RoATE at 14.3%
Estimated solvency ratio at 192% above the target range (155% - 175%)
Coface CEO's statement
- Xavier Durand, Coface’s Chief Executive Officer