Investor Days

On December 13, Generali held an Investor Update during which our Group Chief Financial Officer Cristiano Borean gave an overview on the implementation of IFRS 17 and 9 accounting principles, while our Group General Manager Marco Sesana provided an update on the Cattolica integration. All information about the event is available in the dedicated page. 

On December 15^th Generali held a virtual Investor Day to present its new strategic plan.
The video webcast of the event and audio records are available at the link below.

Generali launches Lifetime Partner 24: Driving Growth

Ambitious 2024 targets based on sustainable growth

• Strong earnings growth: 6% - 8% EPS CAGR range (2021-24)
• Increased cumulative net Holding cash flow: > € 8.5 billion (2022-24)
• Higher dividend: cumulative € 5.2 - 5.6 billion cash dividends (2022-24) vs € 4.5 billion (2019-21)

New plan builds on successful delivery of Generali 2021 and best-in-class shareholder returns

• Generali 2021 targets all met or exceeded despite Covid-19 environment
• Total shareholder return of 111% since Investor Day 2016
• € 500 million share buyback announced on completion of Generali 2021, the first in 15 years
• #1 in Relationship Net Promoter Score among European international peers
• Stronger balance sheet with lower financial debt, reduced interest expenses and industry- leading Solvency II Ratio
• Sustainability fully embedded into business – with climate strategy and targets upgraded in June 2021

Lifetime Partner 24: Driving Growth based on three strategic pillars with financial and operational KPIs

Drive sustainable growth

• 4% growth in P&C non-motor premiums (CAGR 2021-24)
• € 2.3 - 2.5 billion New Business Value in 2024 (€ 1.9 billion FY2020)

Enhance earnings profile

• € 2.5 – 3 billion cumulative discretionary free cash flow for redeployment to initiatives that drive profitable growth and create value, including M&A in Insurance and Asset Management
• € 100 million increase in third-party Asset Management revenues

Lead innovation

• € 1.1 billion investment in technology and digital transformation (2022-24) up by 60% on Generali 2021
• 2.5-3.0 p.p. cost income ratio improvement
• € 250 million insurtech venture fund to harness high-potential opportunities

 
Philippe Donnet, Generali Group CEO, said: “Generali’s longstanding Lifetime Partner commitment puts our customers at the heart of everything we do. Under our new plan, we will take this commitment to the next level and confirm Generali as a customer-focused and data-driven innovator.  The ambitious targets and initiatives we have announced today are possible thanks to the successful delivery of our previous strategic plans. Today, Generali has a strong financial position, diversified earnings, consistent profitable growth and a track record of generating best-in-class shareholder returns. We look forward to building on these achievements over the next three years. Our leadership in insurance, our established in-house asset management capabilities, our digitally-enabled network of 165,000 agents and our increased commitment to making a positive social and environmental contribution mean that Generali is ideally placed to achieve sustainable growth for the benefit of all stakeholders.”

On November 18^th Generali held a virtual Investor Day to update on its strategic plan.
The video webcast of the event and audio records are available at the link below.

Generali 2021: Strategy confirmed and full commitment to financial targets

• The Generali 2021 strategy has proven to be the right one, demonstrated by the results we achieved in the current environment
• Financial debt reduction stands at € 1.9 billion
• Additional € 100m recurrent savings by 2021
• Effectively navigating the COVID-19 pandemic by leveraging Generali’s core strengths: clear strategy, focus on technical excellence, strong distribution network and a diversified business model
• Proactive and decisive actions taken to minimize the direct business impact of the pandemic, protect shareholder value and support customers, agents and communities including €100m extraordinary international fund deployed across 25 countries
• Clear strategic priorities to deliver Generali 2021 and beyond:
  
  - Maintain disciplined approach to managing cash, capital and redeployment
  - Deliver strong results in Life and P&C leveraging best-in-class technical expertise
  - Further enhance multi-boutique asset management strategy
  - Increase customer preference while increasing digitalization of distribution channels
  - Relentless focus on expenses

Generali Group CEO, Philippe Donnet, stated: "Our Generali 2021 strategy remains effective and even more valid in the current market context. The Group is navigating the most serious post-war global crisis by leveraging its strengths: disciplined strategy execution, focus on technical excellence, strong distribution network and a diversified business model. These strengths, combined with our solid capital position and excellence in innovation, allow us to fully commit to the financial targets of our strategy and to be well-positioned to capitalize on future opportunities. Two years after the launch of the plan, we are maintaining our commitments to all stakeholders, thanks also to the empowerment of our people, an increasingly strong brand and our growing commitment to sustainability."

On November 21^st, in Milan, we hosted the 2018 Investor Day.

The audio records of the event are available at the link below.

Leveraging strengths to accelerate growth

Being a life-time partner to customers, offering innovative, personalized solutions thanks to an unmatched distribution network.

Leading the European insurance market for individuals, professionals and SMEs, while building a focused, global asset management platform and pursuing opportunities in high potential markets.

• Profitable Growth
• Capital Management and Financial Optimization
• Innovation and Digital Transformation

2021 financial targets

• Growing earnings per share: 6%-8% eps cagr range 2018-21
• Growing dividend: 55%-65% dividend pay-out range 2019-21
• Higher return for shareholders: >11.5% average return on equity 2019-21

The Generali Group CEO Philippe Donnet said: “Today, Generali unveils an ambitious strategy – Generali 2021 – which will accelerate the Group’s growth and deliver superior returns to our shareholders. Our primary ambition is to become a life-time partner to our customers, offering innovative and personalized solutions thanks to an unmatched distribution network. This clear and distinctive strategic vision leverages on our strengths to consolidate leadership in Europe on retail and SME customers, expand operations in high-potential markets and develop a global asset management platform. At the same time, Generali will continue to focus on generating and managing capital to fund growth opportunities in key markets and drive innovation and digital transformation wherever we operate. Thanks to this set of actions, Generali will achieve between 6 and 8 per cent Earnings per Share average annual growth over the plan horizon. We look forward to implementing this new strategic plan, knowing that our track record of delivery, driven by our talented colleagues and underpinned by our strong brand and long-term culture of sustainability, will ensure its success.”

On November 23rd, in London, we hosted the 2016 Investor Day.

Accelerating our ambition for excellence

New targets on efficiency and profitability - strengthening our competitive advantage through best-in-class distribution network, solid technical capabilities and lean cost base

• Rationalization of the operating machine
• Leadership in technical performance
• Customer and Distributor Centricity

2018 targets confirmed
- Cash flow generation: ˃ € 7 bln
- Dividends: ˃ € 5 bln
- Average operating RoE: ˃ 13%

The Generali Group CEO, Philippe Donnet: “Today we are announcing an increase in the scope of our ambition, to be a leader where we operate and deliver excellence in everything we do. We are starting from a strong base: Generali is financially solid and we have a tight control on a lean cost basis. We have established greater coordination and discipline across business units with local CEOs empowered to monitor the progress of our strategic levers through targeted KPIs. Our goal is leadership in our chosen markets, not measured by size but by profitability. We will further improve our operating performance and will create long term value. We’ll improve our efficiency through significant productivity gains and we will optimize our geographical footprint, while securing investments in key growth markets. We will maintain and further improve our leading edge in technical performance and excellent profitability, both on our P&C and Life business, in order to overcompensate the effects of a prolonged period of adverse market conditions. Finally, we will focus on customers and distributors by leveraging on data analytics and innovative telematics products. Today we confirm the financial targets for the period 2015-2018. None of this would be possible without the unparalleled level of pride and passion of Generali employees and our network of agents and collaborators around the world."

The Investor Day, held in London on 27 May, presented the new strategy for the 2015-2018 period to the market, having achieved the expected turnaround from the previous 2013-2015 plan a year ahead of schedule. This strategy envisages a deep transformation of our business model, designed to achieve our ambition of European Retail Insurance leadership. Our focus is on customer service and experience, extensive and more efficient use of data and technology, and superior cash generation.

In financial terms, the group will seek to achieve:

• More than 7 billion euro (cumulative) of total Net Free Cash Flow 2015-2018
• Accumulated dividends of over 5 billion euro over the same period
• Further savings of 0.5 billion euro by 2018 in addition to the 1 billion euro expected by 2016, allowing the group to fund the transformation without increasing nominal costs.

The investor day was held in London on 19 November to update the market on the achievement of the 2013-2015 turnaround plan targets and provide a detailed overview of its four key markets: Italy, France, Germany and Central and Eastern Europe.

The Generali Group has successfully achieved most of the targets set for 2015 with outstanding goals within reach or nearing completion.

• Due to the actions implemented by the group over the last two years, the balance sheet has been strengthened and further dividend capacity has been created with the aim of increasing shareholders’ return, with a dividend payout expected to rise above 40% starting from 2015.
• The group is fit to tackle global competition and remains committed to ensuring rewarding, sustainable and progressive shareholder remuneration on a consistent basis in the future.

At this event we updated the market on the progress made towards the strategic initiatives announced in January and focused on costs, investments and operations.

Generali has clear plans for delivering a reduced cost base, a more focused investment strategy and greater operational efficiency to drive profitability.

This strategy is designed to improve shareholder returns and overall profitability by refocusing on the Group’s core insurance business, building capital strength, enhancing technical excellence and cost control, and adopting a more client focused approach.

INVESTOR DAY JANUARY 2013

At this event, we presented the group turnaround strategy, which intends to improve shareholder returns to and maximise the value of the business.

The new strategy entails focusing on the core insurance business, strengthening its capital position and profitability levels and adopting a client-led business approach. The 2013 business plan was designed to mark the return to our core insurance business by optimising our geographical footprint, increasing P&C business and obtaining higher profits in the life segment.

The priorities set out in the plan included strengthening the capital position (with a solvency I goal of 160%), to be achieved by re-investing profits, the selective sale of non-core businesses and further actions on the capital base.

Finally, with this business plan, we have started putting the client at the heart of everything in order to establish ourselves as the leading insurance company in the retail and affluent segment.