Sampo Group’s results for January-March 2025

Core Insights - Sampo Group reported a strong start to 2025, driven by robust growth, disciplined pricing, and high customer retention, indicating confidence in maintaining this momentum throughout the year [2][11] Financial Performance - Gross written premiums increased by 10% to EUR 3,616 million compared to EUR 3,297 million in Q1 2024 [3] - Insurance revenue rose by 8% to EUR 2,188 million from EUR 2,020 million year-on-year [3] - The underwriting result improved by 29% to EUR 336 million, reflecting strong growth and improved margins [3][5] - Net profit decreased by 17% to EUR 285 million from EUR 343 million in the previous year [3] - Operating result increased by 17% to EUR 297 million [3] - Earnings per share (EPS) fell by 22% to EUR 0.11, while operating EPS rose by 9% to EUR 0.11 [3] Ratios and Solvency - The risk ratio improved to 58.9% from 62.4% [3] - The cost ratio increased slightly to 25.7% from 24.7% [3] - The combined ratio improved to 84.6% from 87.1% [3] - Solvency II ratio remained stable at 180% [3] Market and Operational Insights - Top-line growth was 9% on a currency-adjusted basis, supported by strong performance in the Nordic and UK markets [5][6] - The underwriting margins benefited from favorable weather conditions and a positive underlying trend in the Nordic region [5] - Digital sales in the Private Nordic business increased by 20% year-on-year, indicating a shift towards digital tools [7] - The integration of Topdanmark is expected to yield increased synergies, now estimated at EUR 140 million by 2028, up from EUR 95 million [5][9] Outlook - The outlook for 2025 has been adjusted, with expected underwriting results now between EUR 1,400 million and EUR 1,500 million, up from EUR 1,350 million to EUR 1,450 million [13][17] - The company aims to maintain a combined ratio below 85% and achieve operating EPS growth of over 7% annually on average through 2026 [14]