Swiss Re: earnings hit by GAAP Standards

(CercleFinance.com) - Swiss Re unveiled interim results that were lower than expected, with the group penalised by US accounting standards.


In H1 2018, the Swiss reinsurer recorded an 8% increase in gross premiums issued at 19.6 billion dollars. CEO Christian Mumenthaler mentioned "a market environment that is gradually improving".

In the Property & Casualty segment, net income rose 38% to 752 million dollars, with a combined ratio that improved significantly from 97.4% to 92.9%. In the Life & Health division, earnings rose 48% to 58 million dollars, with gross premiums issued rising 18.5%.

However, Swiss Re's net profit came in at 1 billion dollars, down 17% due to new US GAAP accounting standards. The consensus was not expecting such a sharp decline: excluding GAAP, the aggregate would have remained stable.


Copyright (c) 2018 CercleFinance.com. All rights reserved.