Hannover Rueck SE

Latest Results (31.08.2026):

Hannover Rueck SE — Q2 2026 (first half of 2026): the company reported a strong first half of 2026 with Group net income of EUR 1,405.9m (+7.0% y/y) and operating profit (EBIT) of EUR 1,932.4m (+9.7%). Results were supported by higher reinsurance service results, a better investment outcome and a solid capital position, while gross reinsurance revenue declined modestly versus the prior year amid continued market softening.

Headline earnings

Group net income: EUR 1,405.9m (+7.0% vs. H1 2025). EBIT: EUR 1,932.4m (+9.7%). Basic/diluted EPS: EUR 11.66.

Reinsurance profitability

Group reinsurance service result (net) rose to EUR 1,739.9m (+22.6%); gross reinsurance revenue fell 3.1% to EUR 12,918.5m, reflecting mid‑single‑digit price declines and selective renewal activity.

Property & Casualty (P&C)

P&C reinsurance revenue (gross) down to EUR 8,773.1m; combined ratio improved to 83.2% (below the 87% target). Large loss payments in H1 were EUR 784.7m, below budget; additional reserves set aside for Iran‑related risks (~EUR 200m).

Life & Health (L&H)

L&H reinsurance revenue (gross) increased to EUR 4,145.4m (+9.1%). Reinsurance service result (net) at EUR 478.0m (+7.5%) and contractual service margin (CSM net) rose to EUR 6.66bn, with strong momentum in financial‑solutions business (notably US) and longevity covers.

Investments

Net investment result: EUR 1,253.8m (+19.9%). Return on investment: 3.7% (ahead of ~3.5% target). Investment portfolio increased to EUR 69.4bn.

Capital & balance sheet

Shareholders’ equity: EUR 13.266bn (+2.6% vs. 31.12.2025). Policyholders’ surplus EUR 17.043bn. Solvency II ratio ~254% at end‑June (well above the internal ~200% threshold).

Shareholder metrics & cash return

Book value per share EUR 110.00. Share price was EUR 242.40 at period end (‑8.9% vs. 31.12.2025). Management reiterates dividend policy ~55% payout of IFRS Group net income and aims to keep dividend per share at least at prior‑year level over the long term.

Outlook & guidance

Management expects Group net income of at least EUR 2.7bn for 2026, P&C combined ratio <87%, L&H reinsurance service result around EUR 925m, and a return on investment around 3.5%. Net large‑loss budget for 2026 raised to EUR 2.3bn.

Risks & market context

Key near‑term risks: geopolitical tensions (Iran war), softening reinsurance prices, and capital‑market volatility. Hannover Rueck SE notes elevated uncertainty but highlights diversified portfolio, prudent ALM and reserve strengthening as mitigants.