TALANX reported solid growth rates in 2014

2 April 2015 — Vlad BOLDIJAR
German Group TALANX closed the financial year 2014 with an operating profit of EUR 1.9 billion, or 7.1% more y-o-y. The net income improved by 5% to EUR 769 million exceeding the EUR 700 million outlook threshold, while the agregate value of gross written premiums increased by 3% y-o-y to a record of EUR 29 billion. At the same time, the Group's combined ratio rose slightly to 97.9% ( vs. 97.1% in 2013) "as a result of the higher burden in primary insurance", the German insurer noted in a statement.

By divisions, in terms of GWP, the Industrial Lines increased by 5.1% y-o-y to EUR 4 billion, the Retail International Division increased by 5.5% to EUR 4.5 billion, while the GWP in the Retail Germany Division was roughly on a level with the previous year at EUR 6.9 billion.

In reinsurance field, gross written premium in the Life/Health Reinsurance segment was up by 5.1 % to EUR 6.5 billion, while the Non-Life Reinsurance segment increased slightly y-o-y in 2014, rising by 1.1% to EUR 7.9 billion.

"2014 was a successful year for us and we are pleased with the results. We want our shareholders to share in the Talanx Group's strong performance with a dividend of EUR 1.25 per share - an increase of a good 4 percent", said Herbert K. HAAS, Chief Executive Officer of TALANX AG.

The insurer estimates a growth of 1-3% in GWP in the 2015 financial year, and a net profit of at least EUR 700 million. "2015 will be one of the most challenging years in a long time, with falling capital market returns and soft markets in industrial insurance and reinsurance. Another challenge will be the long-term restructuring of the Retail Germany segment. Nevertheless, we are standing by our profit target of at least EUR 700 million for 2015", said Herbert K. HAAS.

See the detailed press release on the FY2014 results here.

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