Global: Munich Re maintains promising outlook for the year
Source: Middle East Insurance Review | Jun 2024
Munich Re has begun the new financial year in excellent shape, said the reinsurer in a statement revealing its results for the first quarter of 2024.
The statement said, tanks to below-average major-loss expenditure, a high return on investment, and very good operational performance in all business segments, the 1Q2024 net result increased significantly to EUR2.140bn ($2.33bn) (against EUR1.271bn).
Insurance revenue from insurance contracts issued rose to EUR15.061m (EUR14.273bn), which is primarily attributable to organic growth in the reinsurance segment and at ERGO International. The total technical result rose to EUR2.785bn (EUR1.8bn) and the currency result amounted to EUR176m (–EUR145m) on account of gains against the US dollar in particular. The operating result rose to EUR2.928bn (EUR1.768bn) and the effective tax rate was 25.9% (26.4%).
Equity as at 31 March 2024 was EUR31.226bn, higher than at 1 January 2024 (EUR29.772bn). Munich Re’s solvency ratio increased to 273% (31 December 2023: 267%), thus remaining above the optimal range of 175–220%. A share buy-back with a volume of EUR1.5bn has already been planned. The annualised return on equity (RoE) for Q1 2024 was 27.3% (17.6%). M