According to a press release, Hannover Re generated a very good group profit in the first nine months and is revising its full-year guidance.
Among other things, the company is raising its projected Group net income to around $3.0bn.
For the 2026 financial year, Group net income is expected to reach at least $3.1bn.
Group net income rose by 7.7% to $2.31bn
Gross reinsurance revenue held steady at $22.77bn. Based on constant exchange rates a growth of 2.1% would have been recorded; excluding the prior-year base effect, growth would have approximated 7% adjusted for FX.
The reinsurance service result (net) increased to $2.77bn. The reinsurance finance result (net), which remains structurally negative and reflects interest accretion on prior years’ technical reserves, came in at $-1.16bn.
The currency result improved markedly to $250.3m, largely due to the euro’s appreciation against the U.S.?dollar. Other income/expenses amounted to $-510.7m.
Operating profit (EBIT) grew 2.1% to $2.89bn?
Shareholders’ equity as of 30 September?2025 was $13.86bn.
Book value per share reached $115.11. Annualised return on equity stood at 22.0%, comfortably above the strategic target of more than 14%.
The contractual service margin (net) rose 2.1% to $9.59bn. The risk adjustment for non-financial risk was $4.28bn.
The capital adequacy ratio under Solvency II stood at 259% as of end-September (31?Dec?2024: 261%), enabling the payout of the foreseeable 2025 dividend on a pro-rata basis plus planned growth in 2026 — well above the threshold of over 200%.
In property & casualty reinsurance, treaty renewals in 2025 yielded stable conditions and risk-aligned pricing; the company seized growth opportunities
Net expenditures for large losses in the first nine months were $1.36bn?and remained well within the budgeted $2.42bn?for full-year?2025.
In life & health reinsurance, new business CSM (net) rose to $431m
New business loss component (net) stood at $11.6m. Gross reinsurance revenue edged up to $6.70bn.
Earnings guidance for full-year?2025 has been raised to around $3.02bn
The 2026 outlook anticipates Group net income of at least $3.12bn?billion. The guidance assumes that large loss expenditure does not significantly exceed the budgeted level and there are no major unforeseen capital-market distortions.
“We generated a very good Group profit in the first nine months. Both business groups as well as the investments and our lean operating model contributed to this. In view of this favourable business performance, we are raising our earnings guidance for the current year,” said Hannover Re CEO Clemens Jungsthöfel.