- Profit after tax increased 16.5% to DKK 26.8m
- Local Finnish presence planned from 2008
Dansk Kaution, a subsidiary of TrygVesta, reported strong H1 performance. In connection with the announcement of TrygVesta’s interim report for the first half of 2007, Dansk Kaution reported a very favourable development in H1 2007, improving profit after tax to DKK 26.8m, an increase of 16.5% relative to the same period of last year.
"The recent slowdown in the housing market did not affect our performance," says Mads Løgstrup, CEO of Dansk Kaution. "We continue to see strong demand for guarantees in the construction industry, but increasingly related to commercial construction."
Gross earned premiums were DKK 67.5m in H1, an improvement of 2.9%.
The level of activity is expected to increase during the rest of the year driven, among other factors, by an inflow of new Nordic customers.
Nordic development under the TrygVesta Garanti brand
Last year, Dansk Kaution began marketing itself to customers in the other Nordic countries. The company is in the process of setting up a local presence in Sweden and Norway.
Both Norway and Sweden report an increasing inflow of new customers, although the level of activity remains modest.
Local Finnish presence from 2008
"We are very pleased with developments in the Nordic region," said Morten Hübbe, chairman of Dansk Kaution and CFO of TrygVesta. "TrygVesta Garanti is an important part of the Group’s Nordic strategy, and given the favourable performance already seen in Sweden and Norway, we plan to set up a local presence in Finland from 2008."
Facts about Dansk Kaution
Dansk Kaution is a wholly-owned subsidiary of TrygVesta. The company guarantees its customers’ performance under contracts signed and is the leading player within its field in the Nordic region. Its primary customers are contractors and contract manufacturers. The company uses reinsurance to provide substantial capacity for its customers. The company is marketed under the name of TrygVesta Garanti outside Denmark, however, under the name of Vesta Garanti in Sweden. It has an A- rating from S&P.
Facts about TrygVesta
TrygVesta is the second-largest general insurer in the Nordic region. The Group comprises Tryg, Denmark’s largest general insurer, TrygVesta, Norway’s third largest insurer, Norwegian Enter and Danish guarantee insurer Dansk Kaution. TrygVesta also has a rapidly growing branch in Finland and has established a presence in Sweden. TrygVesta has some 3,700 employees and the Group’s insurance products provide protection for more than two million private individuals.
Further information
Mads Løgstrup, CEO, Dansk Kaution, phone +45 44 20 39 30
Troels Rasmussen, CCO, TrygVesta, phone +45 44 20 30 70