Munich Re: 2023 net result exceeds expectations

Munich Re has recorded a net profit of 4.597 billion EUR (5.1 billion USD) on 31 December 2023, against 5.309 billion EUR (5.7 billion USD) in 2022. For the third year running, this result has exceeded the German group's targets of achieving a 4.5 billion EUR (5 billion USD) profit for the 2023 financial year.

Revenue, a new indicator under IFRS 17, has improved by 4.5% to 57.884 billion EUR (63.9 billion USD).

The operating result amounted to 5.702 billion EUR (6.3 billion USD), decreasing by 16.3% compared to the 6.812 billion EUR (7.3 billion USD) posted at the end of 2022. Return on equity (ROE) stood at 15.7%, against 20.2% a year earlier. The 267% solvency ratio is at a very high level.

In 2023, the reinsurer incurred natural catastrophe losses totaling 2.335 billion EUR (2.6 billion USD). The earthquake in Turkey alone cost 700 million EUR (772.5 million USD). Human-made disasters have cost the company 943 million EUR (1.04 billion USD).

A dividend of 15 EUR (16.6 USD) per share will be proposed at the Annual General Meeting. Munich Re is expecting to generate revenues of 59 billion EUR (65.1 billion USD) and a net result of 5 billion EUR (5.5 billion USD) for the full year 2024.

The German reinsurer increased the volume of business underwritten by 3.5% to 15.7 billion EUR (17.3 billion USD) during the January 2024 renewals.