According to the company’s press release, 2024 was the fourth consecutive year in which the annual profit outperformed expectations. The net result in Q4 2024 amounted to EUR 979 million. Insurance revenue from insurance contracts issued rose thanks to organic growth across all segments to EUR 60,830 million.
In 2024, Munich Re’s return on equity (RoE) amounted to 18.2% (15.8%). Earnings per share totaled EUR 42.78 (33.88). The Board of Management proposes to pay shareholders a dividend of EUR 20 per share for the 2024 financial year. This would constitute a year-on-year increase of 33%. Munich Re’s solvency ratio increased to 287% (31 December 2023: 267%), thus remaining above the optimal range of 175–220%.
The total technical result for the 2024 financial year rose to EUR 8,918 million and the investment result increased substantially to EUR 7,191 million. The currency result improved to EUR 175 million. The operating result rose to EUR 7,969 million; the effective tax rate was 26.9% (16.9%). Equity was higher at the reporting date (EUR 32,746 million) than at the start of the year (EUR 29,772 million).
Munich Re’s financial strength can largely be traced to the diversification of its business portfolios. The profitability of all segments and prudent reserving protect against natural fluctuations in profit due to, for instance, major claims or the emergence of capital market risks, the press release said.
“With a net result of EUR 5.7 billion, we’ve increased our annual profit by more than EUR 1 billion year on year. Munich Re’s profit growth has been truly substantial and sustained in the context of our five-year Ambition 2025 strategy programme, which we’ll conclude at the end of the year. This year’s record dividend of EUR 20 embodies our success. Our shareholders will also benefit from a new share buy-back with a volume of EUR 2 billion, an increase of EUR 500 million. What’s more, we’ll remain ambitious as we seek to boost our annual profit to EUR 6 billion this year. Our confidence here reflects our successful renewals as at 1 January 2025, among other factors”, commented Joachim Wenning, Chair of the Board of Management.
The full report can be found here.
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