Latest News

Generali's operating profit for the nine-month period increased 10% due to lower natural disaster claims

Generali, Italy's largest insurer, reported double-digit growth in its first nine-month profit on Thursday. This was driven by the non-life division and lower claims for natural catastrophes.

Generali's operating profit grew 10.1%, to 5.9 billion euro ($6.88billion), and the net result adjusted climbed 14%, to 3.3 billion euro.

Both were in line with the analyst consensus provided by the company.

Banca Monte dei Paschi di Siena, a state-backed lender, gained control over Mediobanca, Generali’s largest investor, in September. The bank was backed by Francesco Gaetano Caltagirone, a billionaire Italian, and Delfin Holdings, the holding firm of Leonardo Del Vecchio.

Caltagirone, Delfin and other leading Generali shareholders have repeatedly criticised Donnet for failing to grow the company adequately. They tried, but failed, to remove him from office in 2022.

Since MPS became the main investor in the insurer, neither has given any indication as to how they view its future.

Generali's shares rose 1.8% to 0915 GMT. This was better than other European peers. J.P. Morgan analysts cited solid results that allowed the insurer to accumulate reserves.

Sources say that Generali's board appointed insurance chief Giulio Terrezariol as deputy group CEO on Wednesday. This was done to provide an internal option for a CEO in the event of Donnet's resignation by two investors.

The insurer's undiscounted combination ratio, which is a measure for underwriting performance, where a number below 100 signifies a profit, increased to 94.2% on September 30 from 96.3% one year earlier.

Cristiano Borean, Generali's director of finance, said that 2025 had been a benign experience so far.

Borean reported that the total amount of natural catastrophe claims received in the first nine-month period was 573 million Euros, which is just over half the budget allocated for the entire year. This allowed Borean to improve its balance sheet.

Borean said that Generali's budget of 1 billion euro for claims related to disasters was "well below" the actual amount.

Generali has confirmed that it will achieve all of its targets set out in the 2027 plan. This includes a growth in average earnings per share of 8 to 10%. It also plans to pay more than 7 billion euro in dividends cumulatively and buy back at least 1,5 billion euros worth of shares over the period of this plan.

(source: Reuters)