Organic Capital Generation and IFRS Transition Outlook
17
2=5
US DEALER SERVICES
iA is a US leader in a large and highly fragmented industry, ripe for further consolidation
High growth potential for iA through organic expansion and bolt-on acquisitions
Leveraging full suite of products and services and optimizing synergies
•
•
Resilient sales outpacing US vehicle sales
Since 2019, US vehicle sales have remained mostly flat while iA sales
have increased significantly due to organic and acquisition growth
Good sales performance in Q1/22 in the context of vehicle inventory
shortages: +4% YoY
Profitable and diversified revenue streams
Good diversification
of sales between new
and used vehicles
Both administration and
insurance fees received
on 72% of 2021 sales
•
Expecting iA sales to remain strong but relatively stable in 2022 from
very low vehicle inventory
¡A total sales¹ ($M)
US new and used
vehicle sales2 (M units)
185
180
243
233
~60%
New
vehicles
48%
~40%
Used
vehicles
8.6
8.9
8.0
7.5
Q1/19
Q1/20
Q1/21
Q1/22
72%
66%
2019
2020
2021
•
Timing of profit: Administration fee is mostly earned upfront, having a
more immediate impact on profitability
• Inflation: Marginal impact due to the business model: regular pricing
adjustment and reinsured risks
1 Including IAS sales, pre-acquisition. 2 Source: US Bureau of Economic Analysis and Cox Automotive - Raw numbers of vehicles sold in the US at retail only (fleet and private party sales excluded); numbers are not seasonally adjusted.View entire presentation