Korean Reinsurance Company (003690) Q4 2024 earnings summary

Executive summary

• Operating income rose 9.4% year-over-year to KRW 399.5 billion, while net income remained stable at KRW 285.9 billion, down 0.6% from the previous year.

• Gross and net premiums declined by 7.5% and 5.5% year-over-year, respectively, reflecting portfolio adjustments and reduced low-performing contracts.

• Investment profit surged 45.9% year-over-year to KRW 387.1 billion, driven by higher interest and dividend income from portfolio rebalancing.

• Overseas business now represents 41% of the total portfolio, up from 35% in FY2022, supporting diversification.

Financial highlights

• Gross premiums: KRW 7,757.8 billion (down 7.5% YoY); net premiums: KRW 6,148.2 billion (down 5.5% YoY).

• Revenue: KRW 6,803.2 billion (down 0.8% YoY).

• Operating income: KRW 399.5 billion (up 9.4% YoY).

• Net income: KRW 285.9 billion (down 0.6% YoY).

• Invested assets: KRW 10,680.2 billion (up 10.3% YoY).

Outlook and guidance

• Continued focus on profit-oriented underwriting and withdrawal from underperforming contracts.

• Ongoing diversification of overseas portfolio, with reduced concentration in Asia and increased presence in the Americas and Europe.

• Pursuing new contracts in coinsurance and long-term products to drive future growth.