Grupo SURA displays consolidated revenues for COP 5 billion during Q1 of 2017 (+ 26.7%) driven by the operational performance of its affiliates
The affiliates of Grupo SURA - SURA Asset Management and Suramericana – displayed profit gains of 28.8% and 44.7%, respectively. Exchange differences and non-recurring expenses hit the consolidated net profit of the parent company, which amounted to 405,487 million (USD 140.8 million ), down 19.9% compared to the same period in 2016. Excluding these impacts, profit would have increased 24.9%. Consolidated assets closed in March, 2017 at COP 68.7 billion (USD 23.8 billion), exhibiting a positive 1.2% variation compared to December, 2016. The purpose of the Company is to continue consolidating in the Latin American countries where it operates. May 16, 2017. Grupo SURA presented to the market its Q1 2017 results, underlining the positive operational performance of its two affiliates: SURA Asset Management –specialized in pensions, savings and investments- and Suramericana –expert in the insurance, trends and risk management industry-, which displayed profit gains of 28.8% and 44.7%, respectively. This trend enabled the Company to display consolidated revenues for COP 5.0 billion (USD 1.7 billion), climbing 26.7% compared to the same period in 2016. On the other hand, the net profit of the Company amounted to COP 405,487 million (USD 140.8 million), down 19.9%. The explanation is two-fold: the exchange difference and a non-recurring provision which increased administrative expenses. By isolating both impacts, the net profit would have climbed 24.9%, backed by the results of the subsidiaries and by the increased equity method of the associates, which in turn allowed to counteract the larger financial expenses and the increased amortization of intangibles related to the acquisitions made in recent years. The consolidated assets of Grupo SURA closed in March 2017 at COP 68.7 billion (USD 23.8 billion), up 1.2% compared to figures displayed in December, 2016. Equity set at COP 25.1 billion (USD 8.7 billion), down 1.2%, due to the registration of the payment of dividends and to the 0.5% increase of the minimum preferential dividend approved in the past General Assembly of Shareholders. "It's positive to see how operational businesses display sound results, increased revenues and an effort to control expenses. As we have said several times, we continue advancing in our purpose to consolidate our regional presence based on the profitability of the operations and on the creation of new business models, with increased efficiency and all leveraged on synergies, innovation and digital transformation", stated David Bojanini, President of Grupo SURA. Results of Major Affiliates SURA Asset Management, the affiliate expert in pensions, savings and investments management, maintains a positive revenue trend throughout its businesses, which led it to reach a consolidated net profit of COP 173,239 million (USD 60.1 million) in the quarter, up 28.8%, driven by the sound performance of the investments and a stringent control of its operating expenses. The Company manages COP 356.1 billion (USD 123.4 billion) in assets, up 8.7% compared to the end of 2016. These resources belong to 19.2 million customers spread in 6 countries in Latin America. On the other hand, Suramericana, the affiliate specialized in insurance and trends and risk management, displayed a consolidated net profit of COP 145,325 million (USD 50.5 million), increasing 44.7% compared to the same quarter of 2016, maintaining a positive trend in the results of its insurance and social security operations in Colombia and Central America, while it makes satisfactory progress integrating the operations acquired from RSA in 2016. This Company currently operates in 9 countries in the region. Thanks to this, 45% of its issued premiums derive from countries other than Colombia.