Grupo Sura reported consolidated results for the third quarter of 2024, highlighting net controlling income that totaled $5.7 billion as of September. This result is explained by the growth in operating income, efforts to control expenses and efficiencies in the subsidiaries’ businesses, as well as the increase in the equity method in the associated companies of the portfolio.
Read: The removal or uncrossing of shares between Grupo Sura and Grupo Argos begins
In this context, Grupo Sura said that it is making progress in structuring the transaction so as not to have cross-shareholdings with Grupo Argos, in line with the Memorandum of Understanding signed between both companies at the end of last October.
This group said that this process will result in the focus of Grupo Sura’s portfolio on three main investments: Suramericana, in insurance, Sura Asset Management, in pension savings and investments, and Bancolombia, in financial products.
“These results for the third quarter show us the power of the businesses and progress in the profitability of our investments in order to generate value for all our shareholders. In that same sense, the evolution of the ownership structure and the focus of the portfolio on financial services will allow us to continue projecting Grupo SURA in the future as a leading investment manager in Latin America,” highlighted Ricardo Jaramillo Mejía, President of Grupo Sura. .
The group also assured that with the controlling net income reached as of September, the adjusted profitability for the last 12 months on Grupo Sura’s equity was 12.2%. Likewise, according to a statement, the adjusted profit per share of the company for this same period reached a historical maximum of $6,295, explained by the expansion of margins of the portfolio businesses, as well as the increase resulting from the reduction of shares in circulation, after the Nutresa-Grupo Sura exchange and the liquidation of the Portfolio Company.
Ricardo Jaramillo, president of Grupo Sura
Courtesy
“The Company’s recurring earnings per share grew 61% for the last 12 months. This shows us the solidity, good operational dynamics and competitive position of our investments, to continue growing profitably,” said Juan Esteban Toro Valencia, Vice President of Corporate Finance at Grupo Sura.
For its part, regarding the results of the subsidiaries, Sura Asset Management accumulated net controlling income of $881,000 million as of September, a growth of 71.6% in constant rates compared to the same period in 2023. This is the result of double-digit growth in commission income, with an operating margin of 34.2%, as well as higher returns on reserve requirements in its Savings and Retirement segment. In this way, the return on equity (adjusted ROE) for the last twelve months increased to 11.3%.
On the other hand, Suramericana had a net profit of $522,000 million, which increased 41.1% compared to the accumulated figure as of September 2023. It was driven by the growth in premiums in the Life segment and despite the decrease in investment income in a context of lower inflation rates in the region.
Likewise, the accumulated retained claims ratio remains stable (59.4%). The adjusted ROE of this subsidiary was 12.5%7 for the last 12 months to September.
Holman Rodríguez Martínez
Portfolio Journalist
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