Reinsurance giant Munich Re has reported its first-quarter 2017 results, posting a net result of €557 million (US$436 million), and confirming that it still anticipates to hit its 2017 profit guidance across the Group.
The reinsurer today announced that despite increased major loss expenditure in the opening three months of the year, which totalled €403 million, it managed to record solid profit and remains on track to meet its 2017 full-year profit guidance.
The firm announced earlier this year that it anticipated it would hit its profit guidance of between €2 billion (US$2.18 billion) and €2.4 billion (US$2.62 billion), and anticipates gross premiums written of between €48 billion and €50 billion for the full-year. And now the reinsurer has confirmed that despite challenging market conditions and higher losses in Q1 2017, it remains on track to meet its 2017 targets.
Commenting on the firm’s first-quarter results and outlook for the remainder of 2017, Jörg Schneider, Chief Financial Officer (CFO), Munich Re, said; “We are very pleased with the profit for the quarter of €557m, and are on track to meet our profit target for the full year. We achieved a gratifying quarterly result despite a significant increase in major losses, and this was due in large part to the good investment result.”
The firm’s reinsurance segment recorded an operating result of €683 million (US $754 million) in the quarter, growth of €164 million (US $179 million) on the same period last year.