Hannover Re Posts Lower Net Profit on Currency Hit
By Adria Calatayud
Hannover Re reported a lower net profit for the second quarter, hit by currency headwinds, but said it is on track to achieve its full-year guidance.
The German reinsurer said Wednesday that it made a second-quarter net profit of 695.3 million euros ($802.6 million) compared with 833.5 million euros for the same period last year.
Analysts had forecast net profit at 682 million euros, according to consensus estimates provided by the company.
Reinsurance revenue edged higher at 6.4 billion euros compared with 6.37 billion euros in the year-earlier period and with analysts' forecasts of 6.38 billion euros.
Hannover Re said currency effects weighed on its results due to the strengthening of the U.S. dollar, while last year's depreciation of the greenback flattered its earnings. It booked a 29 million-euro hit from currency effects for the second quarter, against a 170 million-euro gain a year before.
The company said it remains on track to achieve full-year guidance despite operating in an increasingly challenging market environment.
Recent reinsurance-treaty renewals at the beginning of June and July brought continued price declines of 4.5% when adjusted for inflation and risk, the company said. Hannover Re said treaty volumes increased by 12%.
Write to Adria Calatayud at adria.calatayud@wsj.com
(END) Dow Jones Newswires
August 12, 2026 02:12 ET (06:12 GMT)
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