• Strong momentum through FY25, supported customers when they needed it most
• Delivered on strategy, investing for growth to protect more Australians and New Zealanders
• Positive financial outcomes, strong balance sheet, and excess capital to fund transactions

IAG today announced its full year 2025 financial results, reporting a net profit after tax (NPAT) of $1,359m (FY24: $898m). Net profit was driven by an 8% rise in net earned premiums, a higher insurance profit of $1,743m (FY24: $1,438m), an increase in investment income on shareholder funds of $403m (FY24: $286m) and pre-tax releases of $330m from the Business Interruption provision. The insurance profit equated to a reported margin of 17.5% (FY24: 15.6%). The company's natural perils costs of $1,088m, $195m below allowance, contributed to the financial results. The result reflects a balanced mix of earnings across divisions, supporting the group's overall performance. The IAG Board declared a final dividend of 19.0 cents per share (cps) (FY24: 17.0cps) bringing the full year dividend to 31.0cps (FY24: 27.0cps). IAG's financial outcomes this year are a result of the positive financial and operational performance of all its divisions supported by favourable natural perils and investment markets. The company has migrated over five million policies onto its Enterprise Platform that supports its retail businesses, delivering best-in-class technology for underwriting expertise, policies, pricing and claims, significantly improving customers' experience. IAG's investment in growth is driving momentum and delivering results, with improved customer growth, especially in its Australian retail business, driven by the benefits of the Retail Enterprise Platform and brand investment. The company also announced alliances with the Royal Automobile Club of Queensland (RACQ) and The Royal Automobile Club of Western Australia (RAC) to provide insurance products and services to more Australians, which is expected to add around $3 billion in GWP, increase insurance profit by at least $300 million, and deliver double-digit earnings per share accretion. IAG continued to make progress in enhancing the experience of customers as they prepare for and recover from adversity, improving claims management, supporting customers with financial assistance, and investing in programs that promote community resilience and preparedness.

IAG's FY26 guidance includes GWP growth of 'low-to-mid single digit', reported insurance profit of $1,450 million to $1,650 million, roughly equating to a reported insurance margin of 14.0% to 16.0%. This guidance does not include the benefit of the RACQ and RAC acquisitions, which are expected to increase GWP growth to approximately 10%.

IAG's confidence in the underlying business is reflected in guidance for FY26, which includes GWP growth, insurance profit, and insurance margin targets. The company is also targeting a 15% reported insurance margin and a reported ROE of 15% on a 'through the cycle' basis, subject to assumptions and dependencies.