Sampo Group´s results for 2006 and dividend proposal
Stock Exchange Release - 02/13/2007 at 09:30 AMSampo Group’s profit before taxes for 2006 amounted to EUR 1,353 million (1,295). Earnings per share rose to EUR 1.73 (1.68) and at market value earnings per share were EUR 1.89 (1.97). Net asset value per share rose to EUR 9.21 (7.67). The RoE target of 19 per cent was surpassed with a return on equity for the Group of 22.6 per cent (28.4). The Board proposes to the AGM a dividend of EUR 1.20 per share and an authorisation to repurchase Sampo shares.
- The combined ratio for P&C insurance decreased to 89.9 per cent for the full year 2006 (90.5). Net investment income amounted to EUR 358 million (460). RoE exceeded the target of 17.5 per cent and was 22.0 per cent (24.1).
- Life insurance reported a 26 per cent increase in profit before taxes, which amounted to EUR 295 million (234). The fair value reserve increased by EUR 68 million and was EUR 464 million (after tax) on 31 December 2006 (396). RoE clearly surpassed the target of 17.5 per cent and was 30.0 per cent (39.0).
- For the last time Sampo reports earnings for the banking and investment services. In November 2006 Sampo plc sold all Sampo Bank plc’s shares to Danske Bank A/S for a cash consideration of 4,050 million euros. The transaction was closed on 1 February 2007 and Sampo Group will book a sales gain of approximately EUR 2.9 billion from the transaction. The tax-free sales gain will be reported in the first quarter 2007 accounts.
- In 2006 profit before taxes for banking and investment services rose to EUR 355 million (316). Net interest income and fees and commissions continued to develop favourably. RoE for banking and investment services rose to 23.8 per cent (23.1) and exceeded the target of 20 per cent.
Sampo plc, Announcement of results for 2005 and Supplementary Financial Information on the Internet at www.sampo.com/ir.
For more information, please contact:
Peter Johansson, CFO, tel. +358 10 516 0010
Jarmo Salonen, Head of Investor Relations and Group Communications, tel. +358 10 516 0030
Sampo will arrange a Finnish language press conference on the 2006 results at Unioninkatu 22, Helsinki, today at 1.30 p.m. Finnish time. An English-language telephone conference for investors and analysts will be held at 4.00 p.m. Finnish time. Please call +44 (0) 20 7162 0125 (UK/European) or +1 334 323 6203 (North American). Password: SAMPO.
The conference can also be followed from a direct transmission on the Internet at www.sampo.com/ir. A recorded version will later be available at the same address.
Sampo plc, Sampo Bank plc, If P&C Insurance Holding Ltd and Sampo Life Ltd will publish their annual reports for 2006 in week 13.
Sampo will publish the first quarter 2007 interim report on 9 May 2007.
DISTRIBUTION:
The Helsinki Stock Exchange
The principal media
www.sampo.com
Financial Supervisory Authority