Talanx sees Q1 net income rise 35% to €572m, CR hits 90.9%

Talanx Group, the parent company of Hannover Re has posted a group net income of €572 million for the first quarter of 2024, an increase of 35% compared to the prior year’s €423 million, while the firm’s overall combined ratio improved to 90.9%.

The company attributed primary insurance as the main driver behind the positive trend, generating revenue growth of 23%.

Talanx’s insurance revenue in the quarter grew 9% to reach €11.7 billion.

Total claims paid for large losses in Q1 2024 were €76 million, compared to €419 million from the previous year.

The largest single loss from a natural disaster that Talanx suffered in the quarter was the earthquake in Japan, which amounted to €25 million.

Additionally, the Q1 net insurance financial and investment result before currency effects climbed 19% to €395 million, while operating profit (EBIT) rose 17% to €1.2 billion.

Moreover, insurance revenue within Talanx’s reinsurance division amounted to €6.7 billion in the first quarter, while insurance revenue within the property & casualty reinsurance segment totaled €4.7 billion.

The return on equity in Q1 was 21.2% (18.9% in the same period last year), which Talanx stated reflects very good claims experience in the first quarter.

Lastly, Talanx noted that it is affirming its 2024 goal of achieving group net income of more than €1.7 billion. However, the Q1 figure of €572 million has increased the firm’s confidence of clearly exceeding this target.

Talanx also confirmed its 2024 target of a return on equity of more than 15%.

Torsten Leue, Chairman of Talanx AG’s Board of Management, commented: “Our strong start to 2024 underscores the sustainable and profitable path we are on with our decentralised strategy and diversified business model.

“Despite our very good Group net income of EUR 572 million, we are reiterating our forecast for the full year of more than EUR 1.7 billion: potential large loss events such as the hurricane season and our continued goal of shifting from low-yield to higher-yield investments may impact net income over the course of the year.

“Nevertheless, we are increasingly confident of clearly exceeding our Group net income target for 2024 of more than EUR 1.7 billion.”

The post Talanx sees Q1 net income rise 35% to €572m, CR hits 90.9% appeared first on ReinsuranceNe.ws.

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