Directors’ Report
Statement of financial position The Group’s statement of financial position is set out on page 79.
Net assets at 30 June 2024 decreased to $353.2 million (30 June 2023: $393.4 million) or net asset value per share to 54.2 cents per share (30 June 2023: 55.5 cents per share). The decrease in net assets is driven by: • the reported loss of $12.5 million for the year as noted earlier in the report (FY23: reported profit of $8.9 million); and • the payment of both the FY23 final and HY24 interim cash dividends of $29.7 million in the financial year. ClearView is capitalised with Common Equity Tier 1 capital and Tier 2 capital. The shareholder view of the Balance Sheet at 30 June 2024 reflects: • Shareholder cash and investments position of $523.6 million – shareholder capital is conservatively invested in the large institutional Australian banks and a specialist fixed interest investment mandate with PIMCO. • Net cash and investments position of $418.1 million - includes the $31 million drawn down under the Debt Funding Facility and the Tier 2 subordinated debt on issue ($74.5 million net of costs). The $15.2 million proceeds from the sale of the investment in Centrepoint Alliance and an additional $15 million that was drawn down under the Debt Funding Facility was used to fund the cash dividend payments made during the year. • The goodwill allocated to the life insurance cash generating unit ($4 million) is tested for impairment triggers using the embedded value methodology. This compares the carrying value of goodwill to the in-force portfolios written to date. The goodwill allocated to the wealth management cash generating unit ($8.5 million) has been fully impaired in the year. • Carrying value of the intangibles related to capitalised software costs ($31.7 million) and includes the amounts recognised in respect of the customisation and configuration costs incurred in implementing the SaaS arrangements for the technology platform ($24.6 million). The capitalised software that was previously included in assets held for sale has been fully impaired in the year ($2.9 million). • The life insurance contract liability includes the changes under AASB 17 and have been reported and classified as outlined in the financial report; and • The AIACF for the stepped premium business ($280.8 million) is reflected on Balance Sheet and converts to cash as the future premiums are collected (subject to lapse risk).
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ClearView Annual Report 2024
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