2010 Earnings Release. March 31, 2011

Transcription

1 2010 Earnings Release March 31, 2011

2 Speakers Carlos Alberto Trindade Filho CEO Bruno Padilha de Lima Costa CFO and IRO

3 Disclaimer This presentation does not constitute an offer, or invitation, or solicitation of an offer to subscribe for or purchase any securities neither does this presentation nor anything contained herein form the basis to any contract or commitment whatsoever. The material that follows contains general business information about Brasil Insurance Participações e Administração S.A. related to the quarter ended on September 30, It is not intended to be relied upon as advice to potential investors. The information does not purport to be complete and is in summary form. No reliance should be placed on the accuracy, fairness, or completeness of the information presented herein and no representation or warranty, express or implied, is made concerning the accuracy, fairness, or completeness of the information presented herein. This presentation contains statements that are forward-looking and are only predictions, not guarantees of future performance. Investors are warned that these forward-looking statements are and will be subject to many risks, uncertainties, and factors related to the operations and business environments of Brasil Insurance and its subsidiaries such as competitive pressures, the performance of the Brazilian economy and the industry, changes on market conditions, among other factors disclosed in Brasil Insurance filed disclosure documents. Such risks may cause the actual results of the companies to be materially different from any future results expressed or implied in such forward-looking statements. Brasil Insurance believes that based on information currently available to Brasil Insurance management, the expectations and assumptions reflected in the forward-looking statements are reasonable. Lastly, Brasil Insurance expressly refuses any duty to update any of the forward-looking statements contained herein.

4 Agenda Insurance Market Company Overview Operational Integration Highlights Income Statement Balance Sheet

5 Insurance Market

6 Market Growth (R$ million) Insurance Sector % % General Lines E Life % % % % E E Fonte: Siscorp, CNSeg

7 Market Growth (R$ million) Health Insurance Pension % 10% 16% 7% E E Capitalization % % E Fonte: Siscorp, CNSeg

8 Brazilian Insurance Market Commercial expenses (R$ billion) Claim Ratio

9 Brazilian Sector Drivers GDP and Private Consumption Unemployment Rate (%) Private Consumption GDP 5,7% 3,80% 4,50% 3,2% 5,30% 4,0% 6,30% 6,1% 7,10% 5,1% 4,10% 7,5% 7,0% 10,9 9,6 8,3 8,4 7,4 6,8 6,8 6,7 1,2% -0,70% -0,2% Source: IPEA Source: IPEA Job Creation ( 000) + 10,2 millions jobs Source: MTE/ CAGED

10 Brazilian Insurance Industry Growth Drivers Credit expansion (%) Real Estate Funding 26,8% 24,2% 26,2% 26,9% 28,1% 30,7% 33,4% 40,8% 45,0% R$ Billion 9,4 16,2 13,8 24,2 0,6 1,0 1,4 2,8 4, Source: BACEN Licensing of vehicles R$ Million 3,52 2,47 2,19 1,97 1,55 1,29 1,37 1, Source: BACEN Infrastructure Investments R$ Billion Source: Anfavea Source: IBGE

11 Brazilian Sector Drivers Life expectancy 70,4 74,8 75,0 74,5 74,2 74,0 73,7 73,4 73,1 72,8 72,5 72,2 71,9 71,6 71,3 71,0 70,7 Social Pyramid (millons of individuals) Source: IPEA E 8% 13 11% 20 16% 31 37% 66 49% 93 56% % 47 24% 46 20% 40 28% 49 16% 30 8% 16 Classes: A/B C D E Source: FGV, IBGE e LCA

12 Company

13 Company Overview About us One of the largest and most diversified Brazilian companies in the insurance brokerage market 1.2 million of individual clients 14 mil corporate clients More than 1 million lives and 112,000 vehicles insured Result of the consolidation of 27 traditional brokers Founding Brokers with an average of 19 years of experience in the insurance market

14 Geographic Positioning States of Operation 1 Ceará A&M 2 Pernambuco Âncora 3 Sergipe Duraseg Aplick Sercose Neval 5 Minas Gerais 4 Bahia 1 Promove Romap APR Barrasul Espírito Santo Correta GDE Laport Sercose Rio Grande do Sul Montejo 8 São Paulo 4K Promove APR York André Carasso Sercose Base Brasil Status Lasry Triplic Megler Victrix Montejo 7 Rio de Janeiro Almac FMA Fran Retrato

15 Centers of Excellence HEALTH REAL ESTATE AUTO CORPORATE RISKS MARINE EDUCATIONAL LARGE RISKS BANCASSURANCE

16 x 100 Stock Performance BRIN PSSA3 AMIL3 SULA11 IBOV 80

17 Highlights Integration

18 Integration Objectives achieved Cross Selling intensification with the selection of 220 priority accounts with Holding s coordinated action Cross selling opportunities have already generated about R$ 30 million in premiums Standardization of systems in additional nine brokerages, increasing from 33% to 60% the unification of the Operational System Centralization of payroll and cash management Reduction of the number of accountants from 27 to 13

19 Integration Operational Committees Auto & Fleet Benefits (Life & Health) Engineering Risks Large Risks Cargo New Products Guidelines: 1 Focus on sales 4 Process Standardization 2 Strengthening of the Centers of Excellence 5 Insurance Companies relationship coordination 3 Identification of best practices 6 Development of new products/channels

20 Brands A new visual identity for the logos was developed and approved to both the Holding Company and the subsidiaries.

21 Main Highlights Recent Acquisitions

22 Enesa Rationale: Enesa Group s in house brokerage One of Brazil s largest contractors of construction engineering solutions, especially for electromechanical assembling and equipment leasing, operating in a number of infrastructure projects throughout the country. Enesa Group filled the IPO request with CVM in February 2011 Exclusivity of the group s insurance contracts for 10 years Approximately R$15 million in written premiums in 2010 Model: Acquisition of 70% Payment of R$ 4.2 million + 3 annual variable installments according to the future results

23 Classic Rationale: Important player specialized in mass market insurance segment Acts in partnership with major national retailers and financial companies 6 million individual clients Approximately R$80 million in written premiums in 2010 Model: Acquisition of 99,99% Payment of R$ 9.2 million + 3 annual variable installments according to the future results 50% stocks + 50% cash

24 Financial Highlights

25 Financial Highlights 1. 1 Consolidated financial results audited by Ernst&Young subsidiaries with consolidated financial results and 13 with results transfered through Covert Partnership Agreements 3. 3 October: Holding pre-operational 4. 4 November/December: holding and 26 brokerage companies operating

26 Income Statement

27 Balance Sheet

28 Investor Relation Brasil Insurance Participações e Administração S.A. Investor Relations Department +55 (21) ri@brinsurance.com.br Brasil Insurance Todos os direitos reservados