Suncorp jumps to better $1.19 billion profit
Suncorp has jumped to a better annual profit of $1.19 billion while calling out the tough environment for insurers.
Now focused on insurance after the sale of its banking arm to ANZ, the Queensland-based group attributed the 11.7 per cent earnings rise to better margins, increased investment returns and reduced losses to natural hazards.
Suncorp chief executive Steve Johnston said the results represented “strong increases” on the previous year, but noted that “it’s important to point out the past three years have been very challenging for all insurance companies”.
Sign up to The Nightly's newsletters.
Get the first look at the digital newspaper, curated daily stories and breaking headlines delivered to your inbox.
By continuing you agree to our Terms and Privacy Policy.Its banking arm, sold to ANZ on July 31, contributed $379 million of profit, down from $470m.
“We acknowledge it has been a challenging period for our customers amid ongoing inflationary pressures and the continuing impact of severe weather events, particularly in Queensland in late-2023,” Mr Johnston said.
“Over the past five years we have managed around 700,000 natural hazard claims at a cost of more than $9 billion,” he said.
“This step-up in the frequency and severity of weather events has impacted the cost of reinsurance and the amount we set aside in our natural hazard allowance.”
