Credit insurer Coface has reported a net income of €123.2 million for H1 2021, improving from €24 million for the same prior year period.
The insurers’ combined ratio stood at 51.9% for H1, an improvement compared to last year’s 88.6%.
This comprised of a loss ratio, net of reinsurance, of 21.4% and a cost ratio, net of reinsurance, of 30.4%.
Xavier Durand, Coface Chief Executive Officer, commented: “Coface’s second-quarter 2021 results are fully in line with those of the first quarter. They reflect its excellent operating performance in an environment that remains highly unusual.Coface’s revenue came in at €768 million for the first half of this year, compared to €724.6 million in H1 2020.
“Indeed, the expected increase in the number of post-COVID-19 bankruptcies has not yet materialised. However, Coface continues to expect a progressive rise in claims when the numerous business support measures are finally withdrawn.
“In this period of economic rebound, Coface continues to support its clients with guarantees that are now very close to pre-pandemic levels. Since the beginning of the COVID-19 crisis, the cost for Coface of the risk-sharing agreements signed with several governments amounts to €31m.
“Finally, Coface is also continuing to invest in the improvement of its trade credit insurance business as well as in adjacent businesses. Factoring and information services confirmed their growth potential with respective increases of 10.9% and 11.0% during the first half of the year.”