Financial Targets

The efficiency of Sampo Group's business areas is measured by return on equity (RoE). RoE measures accurately the efficiency of capital employed in Sampo's business areas. RoE is calculated at market values after tax and the equity used is the average for the period. For If and Mandatum Life the RoE target is above 17.5 per cent.

Efficiency of operations in P&C insurance is also measured by combined ratio, which is calculated as the sum of the loss ratio and expense ratio. If is expected to reach combined ratio below 95 per cent. Topdanmark has set the combined ratio target for 91 per cent excluding run-off results.

The parent company Sampo plc’s objective is to pay annual dividends at least 70 per cent of the Group’s net profit for the year excluding extraordinary items.