QBE INSURANCE GROUP LIMITED (ASX:QBE) has posted FY25 statutory net profit after tax of $2,157m, up from $1,779m in FY24. Adjusted net profit after tax rose to $2,132 million from $1,729 million, delivering an adjusted return on equity of 19.8%.
Gross written premiums increased 7%, or 8% excluding exited portfolios, exceeding guidance for mid-single-digit growth. The uplift was driven by targeted organic growth across several classes in North America and International.
The group combined operating ratio improved to 91.9% from 93.1% a year earlier, coming in ahead of the ~92.5% guidance and reflecting broader performance across the business.
Investment earnings also remained strong, with total investment income of $1,633 million, equating to a 4.9% return.
QBE’s indicative Prescribed Capital Amount multiple was 1.87x, slightly higher than 1.86x at 31 December 2024, and just above the group’s 1.6x–1.8x target range.
The insurer declared a final dividend of 78 Australian cents per share, taking the full-year dividend to A$109 cents, up 25% year-on-year, and implying a full-year payout ratio of 50%.
QBE shares surged on the ASX on the numbers, up 7.3% to $21.52, putting the stock on track for its largest single-day rise since March 2023. The stock touched an intraday high of $21.76, up 8.5%, marking a 5-month high in early trade.
Citi said QBE’s core FY25 earnings per share beat consensus by 3.5%, while gross written premium growth of 6.9% topped expectations by 5.5%. Citi also noted the combined operating ratio of 91.9% was ahead of the 92.4% consensus forecast.