Just Group plc | Annual Report and Accounts 2024
02
Investment Case
GROWTH, INNOVATION AND DELIVERY Deploying the capabilities of our highly
effective new business franchise to create value from leadership positions in attractive growth segments of the UK retirement income market.
WE HELP PEOPLE ACHIEVE A BETTER LATER LIFE
CONSISTENT DELIVERY AND DISCIPLINE
Just has a compelling, clear purpose. We help people achieve a better later life, by providing competitive products, financial advice, guidance and services to those approaching, at and in- retirement. We deliver value for shareholders by putting customers first and meeting their needs. Read more on p5
Over the last five years we have developed a strong track record of delivery and have consistently met or exceeded our profit targets. We operate a sustainable business model, where we fund new business from our own means and have progressively improved the sensitivity, quality and resilience of our capital base. The Solvency II capital coverage ratio of 204% (proforma, estimated) is robust and provides a platform to fund our ambitious growth plans. Read more on p26
INCREASING SHAREHOLDER VALUE
We are committed to consistently growing the value of the business. In 2024, we delivered underlying earnings of 36.3p per share, a 15.3% return on equity (“RoE”) and tangible net asset value (“TNAV”) per share up 34% or 64p to 254p since the end of 2022. Our operating return on equity target of greater than 12% shows the confidence we have in sustainably increasing this value over time. Read more on p26 EXCEEDING OUR TARGETS AND DELIVERING attractive GROWTH in the future Our priority is to deliver profitable and sustainable growth. We have exceeded our profit growth pledge in each of the last three years and substantially exceeded a doubling of the underlying operating profit achieved in 2021. We are confident in our ability to continue delivering attractive underlying operating profit growth. Read more on p29
UNIQUELY POSITIONED IN ATTRACTIVE GROWING RETIREMENT MARKETS
Around £1tn of defined benefit pension scheme liabilities remain available for de-risking and transfers of £50bn per annum to insurers are projected over the next decade. Helped by more normalised long- term interest rates, and as the population ages with larger defined contribution pension pots, the retail markets are projected to grow sustainably over time. Read more on p10
We have consistently exceeded the commitments we have made and we’re more optimistic than ever about the future for Just.” David Richardson Group Chief Executive Officer
GROWING SHARE THROUGH INNOVATION AND POSITIVE DISRUPTION
We increase our share in these growing markets through constant innovation – seeking to positively disrupt the markets where we choose to participate. By delivering better outcomes for customers, we also deliver increasing value for shareholders. Read more on p14
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