Business
Zurich Insurance increases operating profit by 25 percent
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Zurich Insurance posted an operating profit of $3.4 billion for the first half. Things went particularly well in the property and casualty insurance business.
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Zurich Insurance can look back on a successful first half of the year.
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Once again, Zurich Insurance increases both its operating and net profit. Compared to the first half of 2021, earnings before interest and taxes rose 25 percent to $ 3.4 billion, according to a statement on Thursday. Shareholders are left with net income of $2.2 for the first half, up 1 percent.
The business with accident and damage insurance stands out, in which the operating half-year profit rose by 32 percent compared to the first half of 2021. Life insurance increased by 13 percent. According to Zurich, however, all business areas contributed to the result. “We are well on the way to exceeding all of our targets for the second three-year cycle in a row,” said CEO Mario Greco in the statement.
Highest operating profit since 2008
However, what is troubling the insurance company is the relative strength of the US dollar. According to the statement, this will have a negative impact on both operating and net profit.
Nevertheless, according to Zurich, it is the highest operating profit since 2008 and the second best since the company was founded. Zurich has been on a growth course for a long time. A year ago, it even reported growth of 35 percent in operating profit.
In addition, the group wants to buy back shares worth 1.8 billion francs. This is intended to compensate for the “expected dilution of profits” from the sale of the old portfolio of life insurance policies in Germany. Zurich plans to start the buyback in the coming months. (gb)
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