Good result for KLP

  • Value-adjusted return: 1.1 per cent for the quarter and 5.6 per cent so far this year
  • Book returns so far this year are 3.5 per cent
  • Good profit contribution from the subsidiaries

KLP achieved an investment result, which is the return in excess of that guaranteed by the company to its customers, totalling NOK 9.3 billion after the third quarter. The value-adjusted return on customer funds was 5.6 per cent, while the book return was 3.5 per cent.

“We are delighted with the good results, stable operations, and good returns on customer funds after the third quarter. The result in the last quarter is characterised by rising interest rates and a somewhat positive stock market,” says Group CEO Sverre Thornes of KLP.

Key events in the third quarter

Several customers have considered putting their pension schemes out to tender this year. Good and close customer follow-up, low costs and good management, in addition to the benefits and predictability ensured by being an owner in KLP, have probably been decisive for most not choosing to put their pensions schemes out to tender.

KLP is over mid way in a five-year IT development programme to modernise the enterprise’s system solutions for pension processing, improve the ease of use for customers and pensioners, and increase efficiency and reduce costs over time.

In September, the company launched KLP’s roadmap to net zero emissions in 2050. The roadmap describes how KLP will work towards the goals of the Paris Agreement.

In July, KLP decided to exclude 16 companies with links to Israeli settlements on the West Bank. The decision was based on thorough assessments after the UN High Commissioner for Human Rights published a list of companies with operations linked to the Israeli settlements on the occupied Palestinian territory.

Subsidiaries

KLP Skadeforsikring, KLP Banken and KLP Kapitalforvaltning all saw good development in the quarter. All of them strengthened their market positions and reported good financial results. Overall, the subsidiaries’ profit before tax for the quarter amounted to NOK 187 million, and NOK 492 million so far this year.

For further information, please contact:       

Chief Executive Sverre Thornes: Tel. +47 977 44 007
Group Chief Financial Officer/Executive Vice President, Finance Aage Schaanning: Tel. +47 905 24 312
Finance Director Oliver Siem: Tel. +47 934 31 820
EVP Communication Sissel Bjaanæs: Tel. +47 932 56 350