Coface SA: Coface records year-to-date net income of €176.3m, of which €52.1m in Q3-25; annualised ROATE at 12%

Core Insights - Coface reported a year-to-date net income of €176.3 million, with €52.1 million generated in Q3 2025, and an annualized return on average tangible equity (RoATE) of 12% [1][4][8] Financial Performance - Insurance revenue for the first nine months of 2025 was €1,128.5 million, a slight decrease of 0.1% compared to the same period in 2024, but up 1.1% at constant foreign exchange rates [7][11] - Other revenue increased by 4.7% to €258.0 million, reflecting strong growth in business information and debt collection services [7][8] - Total turnover for the first nine months was €1,386.5 million, up 0.7% on a reported basis and 1.8% at constant FX [10][8] Underwriting and Loss Ratios - The net loss ratio increased to 39.6%, up 4.1 percentage points year-on-year, while the combined ratio net of reinsurance rose to 71.9%, an increase of 7.6 percentage points [9][20] - The gross loss ratio stood at 36.9%, reflecting a rise in claims frequency approaching pre-COVID levels [21][20] Regional Performance - Turnover in Northern Europe increased by 1.3%, while Western Europe saw a slight decline of 0.2% [14][16] - Latin America experienced significant growth, with turnover up 14.0% at constant FX, driven by high local inflation [18] - Asia-Pacific turnover rose by 6.9%, benefiting from client activity and contract transfers from Central and Eastern Europe [19] Strategic Outlook - Coface continues to invest in technology and services, with a focus on trade credit insurance and related services, which now account for nearly 11% of the group's revenue [31] - The company is navigating a challenging economic environment characterized by trade barriers and fluctuating commodity prices, which are impacting growth in trade credit insurance [4][30]