Hello everyone. I waited a few seconds because there are still participants attending. Welcome to our 2024 year-end financial results webcast. As you already know, I guess, we disclosed our results on Friday, our year-end results. As usual, we are going to have a webcast. We are going to have a presentation related with our fourth quarter results and overall year figures as well. The presentation will be handled by Erdem , our CFO, and by myself, Head of Investor Relations, as usual. Before I give the floor to Erdem , I want to thank you for attending our year-end webcast presentation. We are going to have a Q&A session at the end of the presentation, as usual. When our presentation is over, you can ask your questions written to chat box, or you can raise your hand. We are going to unmute your microphone. You can ask verbally.
Erdem , back to you. The floor is yours.
Thank you. Thank you, Barış. Welcome to Anadolu Sigorta financial presentation 2024 Q4. Our presentation has three different titles: company and market overview, technical results, and financial highlights. I will present company and market overview and the technical results. After that, my colleague, Mr. Şafak, will present financial highlights. I think that will take 30 minutes. If there is any question, we will pleasure to answer it. At the beginning, one of the important agenda item of the second quarter in our country was whether there would be an increase similar to exchange rate attack experience after the elections last year. Following the local elections, the increasing dollar demands of residents before the elections decreased after the elections, and USD demands gave way to TRY, Turkish liras demands, and there was no problem. Of course, it affected economic condition, and supposedly in this term.
The most important issue, the agenda of the world economies in the third quarter, was the moves of central banks to reduce the interest rates. Turkish Central Bank decreased interest rate too in this term. It was another important step for us. In Turkish, KKM, amongst sharply pulled on, and the central bank reserves increased in this term. It was quite interesting and important improvements in this term. But on the other side, inflation rate was hiked end of the year, and it is real a big problem for us. Chockfull with worries about inflation, justifiably so, squeezing household budgets at the same time the company's budgets too in this term. It was very important for us. At the beginning again, when we look at the insurance sector in 2024, totally TRY 838.5 billion total premium production in this term.
It includes the life and non-life premium production. 100 billion premium production is the life side, and TRY 738.6 billion is the non-life side premium production in this sector, in this term. We look at the macro side in 2024. A year of the tight monetary policy, downtrending inflation, opportunities for real returns. In 2025, we think that tight monetary stands to prevail, albeit increasingly accommodative in this term in 2025. When we look at the insurance markets in 2024, strong real growth in this term. As I said before, in 2024, premium production at TRY 738.5 billion and 72% increase year-to-year when we compare to 2023. We look at the 2025, a challenging year. Mixed drivers risks are on downside to disable income and disable TL and the potential for real investment returns in this term.
When we look at the branches and GWP, one of the price cap rise, 13. For nearly 14% increase in this term. Real growth in majority of branches health, 34% increased. Fire and natural disasters, 29% increased. General losses, - 2% in this term. Competitive pressure in the fourth quarter 2024. Next slide, please. When we look at the non-life insurance market in this term, as you see, Anadolu Sigorta nearly 57.3 % increasing, and we reached TRY 69.6 billion in production. If we compare the sector increasing rate, we are a little bit downside. Anyway, we were in the three-third degrees and 9% in the market share. Next slide, please. When we look at the Anadolu Sigorta highlights, especially in this term. Profitability, it was very important for us, and technical profitability increased materially in this term.
Claims ratio decreased from 91% to 72.4 %. Bancassurance channels share in total underwriting increased above sector average, improving technical profitability and a strong investment income yields a strong solo RoAE of 50.7 % in this term. When we look at the branches MTPL premium growth 54.5% in 2024. MTPL claims ratio fell down the 99 % in 2024. A strong growth in health branch, 117 % increase year-to-year, in this term. When we look at the assets under management, grow by 5.7 billion in quarter four, reaching to TRY 55.5 billion . It is strong premium growth and real returns. Tightly monetary stance and more stability and outlook with gradual appreciation pattern has been supportive of investment income in 2024. Next slide, please. When we look at the branch breakdown and growth rate, Anadolu Sigorta and the sector.
Sector premium production TRY 738.6 billion and Anadolu Sigorta premium production TRY 69.6 billion . When we look at the share of the premium production in the 41% motor, 22% fire, and 18% health side, and 19% other side in the premium production. When we look at the sectors in the motor side 35 % and the fire side 17 % and the health side 18 % like us. There's quite differences especially in the motor side of Anadolu Sigorta market share is lower than the 4 % and four point, I can say. The fire branch is nearly five point more than the sector. Health branches is a similar the sector market share. Next slide, please.
When we look at the premium production again, Anadolu Sigorta MTPL, MOD, fire and natural disaster, health and other branches, total 57.3% increased, and we reached TRY 69.6 billion premium production. When we look at the sector increased 72.1% and TRY 738.6 billion premium production in this term. Next slide, please. When we look at the market share, we are in 12 different branches. We are the first degree, both of them. Two of them. And five of them, we are the second and two of them third, and two of them again fourth degree, and one of them the fifth degree. Totally, we are the third degree on the premium production in the sector. When we look at this side, we have got 9% market share in totally. Next slide, please.
When we look at the net profit drivers, if you look at the end of 2023, we have got TRY 5.9 billion profit. Underwriting TRY 2.5 billion and investment TRY 5 billion, and the tax - 3.2 and the other 596,000. Totally in 2024, TRY 10.9 billion net profit. When we look at the distribution channels, we have got nearly 2,600 agencies. At the same time, nearly 1,000 İşbank branches all over Türkiye, widespread Türkiye. We have got wide marketing and sales channels in Türkiye. After that, we can say easily we have got an agency tendency company. If you look at the sector, agencies premium production has got 60%. If you look at our site, 63%. Bancassurance site is very important for us, and we are improving our production in this site.
When we look at our distribution channels here, 15%. If you look at last year, it was 13%, + 2-point hike higher than the last year. When we look at the sector, it was 13%. The broker site in all company, this is the 14%, but the sector, 17%. 3-point increase, or 3 points higher than Anadolu Sigorta. On the other hand, the agency side and the bancassurance side are very important. The bancassurance side is very important because of the profitability is very good in this site. Next slide, please. Technical results. Gross written premium and technical earnings here. First of all, MOD, Motor Own-Damage. I can say the last quarter, 14.6% increase. Claims net is 8.1% increase. The combined ratio, - 3 in this term. When we look at the MTPL.
Gross written premium increased to 59.4% increase. Claims net, - 5%. The combined ratio, 158.1 points in this term. When we look at the accidents, GWP increased to 55.9% increase. Claims net, 7.2%. The combined ratio increased 5.9 point. Health side, gross written premium, 91.2% increase. Claims net, 128.6%. The combined ratio, 20 point. Fire and natural disaster. GWP, 45.2% increase. Claims net, 54.4% increase. Combined ratio, 24.6 point increase in this term. General losses, GWP, 40.6% increase. Claims net, 25% decrease. The combined ratio, - 47% in this term. When we look at the profitability and combined ratio fell to five-year low. It was very good and important result for us, especially 2024, it was 119.1% combined ratio.
In 2024, 104.7%, and it decreased nearly 14 points. On the other hand, the claims ratio in 2023, 31.20%. In 2024, 72.4% and nearly 17 point decrease in this term. It was very good results for us, especially for the decreasing this combined and claims ratios. They are both of them affect our profitability positively in this term. Now, about the financial highlights, I would like to give attention to Barış. Thank you very much.
Thank you, Erdem . I am going to continue with balance sheet and P&L figures. As you see on the screen, on the left-hand side, these are the assets figures, and on the right-hand side, liability figures. Total assets. Anadolu Sigorta's total assets increased with 65% in 2024, and our total assets amount reached TRY 96.2 billion at the end of the year. Our assets under management portfolio has increased, was 73%, and the AUM amount reached TRY 55.5 billion. On the right-hand side, our technical reserves can be seen. The increase in 2024 was 42.7, and the amount of technical reserves, including outstanding reserves and unearned premium reserves, was TRY 51 billion. At the end of our slide, you can see our shareholders' equity change. The increase was 116%, and our shareholders' equity, solo or unconsolidated shareholders' equity amount, reached TRY 31 billion.
There was an important effect coming from Anadolu Hayat, the share market capitalization increase in our shareholders' equity. We should mention this. On the next slide, you can see our yearly income statement, summarized income statement, P&L figures. On the left-hand side, the unconsolidated figures can be seen, and on the right-hand side, consolidated figures can be seen. Just to be a footnote, I should say, we do consolidate Anadolu Hayat Emeklilik, which we have 20% stake. It is a life company. It is a group company, and we do consolidate it with equity pickup method. The only difference is at shareholders' equity, we do subtract, we do exclude its market capitalization valuation or revaluation, and we include its equity share that we own, 20%. The only difference for P&L is at the financial income part. As you see, net technical income and technical expenses are identical. They do not change.
When we look at the figures after this extra information, our technical income increased 77%, and it was TRY 42 billion at the end of the year. Our technical expenses increase was 56%, and it was TRY 44 billion. Net financial income was TRY 16 billion for solo in P&L, and it was TRY 16.7 billion, and the year-on-year increase was 34%. At the end of the table, you see our net profit stood at TRY 10.9 billion with an increase of 84% for solo figures, and consolidated net profit was TRY 11.5 billion with an increase rate of 81%. On the next slide, you can see our quarterly income statement figures, and they are compared with previous year's last quarter. On technical income, which financial income transferred to technical division is excluded.
I haven't mentioned it in the previous slide, but I should also underline that one because we are going to see different figures when you look at our official P&L. The increase was 71% for technical income. Technical expenses increase was 44% compared to last year's last quarter. Net financial income change was 85% in solo figures and 84% in consolidated figures, which was around TRY 5.2 billion and TRY 5.4 billion. Net profit for last quarter of this year stood at TRY 3 billion with an increase of 517% increase, and consolidated net profit was TRY 3.3 billion with an increase of 404%. On the next slide, you can see our net income breakdown for financial side. On the right-hand side, you see a table starting with technical earnings. We had a loss from technical side, which doesn't include any financial income. I should highlight that part.
Our technical income was almost TRY 17 billion. Amortization figure was - 175. Provisions and other income was - 408. We discount our receivables, and it's - 370. After tax deduction, our net income stood at TRY 10.9 billion. On the next slide, you can see our return on average generation. These figures shows return on average equity figures. At the end of the year, our solo return on average was 51% and our consolidated return on average equity figure was 61%, which is relatively high compared to the stock market-listed companies. Actually, I should underline that one also. On the next slide, you can see our portfolio breakdown. As you see, as we have mentioned, we are going to be managing a portfolio more than TRY 55.5 billion, which is divided into bonds with 19%, funds 36%, stocks 10% and time deposits 34%.
Our portfolio return, which is TRY 17 billion, was 46.7% yield we were able to achieve from our portfolio. That was the last slide of our presentation. Now we can proceed with Q&A session. As I mentioned at the beginning of our presentation, you can both ask your questions written to chat box, or we can unmute your microphone so you can ask your questions verbally. Thanks for listening to us. Do we have any questions?
Yeah, we have.
We have a written question from Sahil Kumar. It is a brief question. Erdem , can you talk about 2025 expectations?
Very shortly question. Thank you very much for this question, Sahil. First of all, maybe I can talk about the 2024 award. In 2024, it was not an easy term for us, but anyway, we have got good results. In 2024, 2025 will be better, but at the same time, this is the different size. If the economy will be clear, we can object and prospect the future. We can decide the right decisions, and after that, we can get good results after that. It depends on, first of all, the economy is very important for Türkiye, and inflation rate will be very important. On the other hand, interest rate, of course, will affect our decisions in this term. But anyway, if we compare the 2023, 2024 is better than the 2023 because we can observe, we can project 2024.
We believe that 2025 will be a difficult year for us, but anyway, will be better than 2024 because the economy situation is clearer more than the last years. If this position goes on, we believe that it will be good. On the other hand, 2025 is very important for us because our company will be 100 years old, and it is very important years for us. So we have to get good results in this term. We hope, we believe, and we desire the good results, especially in this term. Thank you. Barış, if you want, you can add anything about it.
Thank you, Erdem . I think you touched every point. We are very hopeful from 2025 in terms of profitability, increasing our profit, increasing our premium production, keeping our technical profitability. We have an advantage even though we are going to experience decreasing figures for policy rates. We are going to be starting the year with more than TRY 55 billion . It is going to be advantage for us, so we are going to take advantage of that large AUM. Of course, we are going to keep our net profit. The important thing is 2025 is more visible in terms of financial figures. As this financial situation continues in Türkiye, it is going to be more easy for us to project technical premiums. So I may add these comments, Erdem . Thank you. There is another question, but I think we have from Sahil.
Also, with interest rate decline, discount rate on MTPL policies will also come down. How do you see this? Interest rate is going to come down, but in average, we are going to experience something like, in simple terms, 36% rate. I may comment on that. It is going to give us a compound yield around more than 40%. When we add up with large AUM, we are going to have a positive higher investment income in our P&L, Sahil, I may say that. Maybe would you like to comment on discount rate on MTPL, Erdem ? I think you are asking about that the discount rate probably is going to be coming down in 2025. Sahil, is that the question?
First, I think it will be the 30%, because now 35%. It is quite easy to discount rate decline to 30%, but after that could be 25%, end of the year. Why not? But first of all, we have to see the 30%, and if there is any discount in this concrete decline in this term, of course, it will affect our financial side and the technical side, especially for the reserve side, I mean. End of the year, if we compare it will take TRY 750 million, something like that, can be affect our reserves positively and of course, affect our technical profit negatively, I mean. But it is actually the normal of the financial station, so we are ready for it.
Do we have other questions? Any other hands?
We don't have any written questions, or we don't have anyone who raised their hands.
You can always ask your questions with email, of course, for all participants I am talking to. Erdem , I think we don't have any more questions.
First of all, I would like to say thank you very much for joining our end of the year presentation. You gave your time for us. Thank you very much for it. Of course, you can ask any question when you want, only one email or one calling for us is enough for the answering it. Maybe again, I would like to say, 2025 is important years for our company. I mean, the 100 years old. It is a good years for us, is a pleasure for us, and we would like to get good results and take good sign, especially the financial side, I mean. We would like to take good financial results in this term. Thank you very much joining again. See you better days. Thank you. Bye.
Thank you for participating our webcast. See you later.