Presentation of QBE FY24 Results
| Stock | QBE Insurance Group Ltd (QBE.ASX) |
|---|---|
| Release Time | 21 Feb 2025, 7:32 a.m. |
| Price Sensitive | Yes |
QBE Presents FY24 Results
- Improved profitability underscored by resilient underwriting and strong investment returns
- Organic growth continues across breadth of opportunities, partially offset by exited portfolios
- Regulatory capital at top end of target range, with further improvement in capital quality
QBE Insurance Group Ltd presented its FY24 results, highlighting improved profitability underpinned by a resilient underwriting performance and strong investment returns. The company reported a combined operating ratio of 93.1% for the full year, a significant improvement from the prior year. This was driven by favorable prior year development, lower catastrophe claims, and the benefits of recent portfolio optimization initiatives. Organic growth continued across QBE's core segments, though this was partially offset by the impact of portfolio exits, particularly in North America property and crop. The company's regulatory capital position remained at the top end of its target range, with further improvements in the quality of capital. QBE is well-positioned for sustainable growth, with attractive opportunities across its diversified portfolio and supportive market conditions. The company expects to deliver mid-single digit constant currency gross written premium growth in FY25, with a consistent low-to-mid 90s combined operating ratio through the cycle.
QBE provided the following forward-looking guidance:- FY25 constant currency gross written premium growth of around the mid-single digits- FY25 combined operating ratio of ~92.5%- FY24 exit yield on the investment portfolio of 4.3%
QBE's outlook remains positive, with the company well-positioned for sustainable growth and improved profitability. The company expects market conditions to remain conducive to the execution of its growth strategy, with premium rate increases expected to remain supportive. QBE also anticipates a consistent low-to-mid 90s combined operating ratio through the cycle, as the underlying performance of the business continues to improve and the drag from the non-core segment is expected to broadly halve.