QBE Insurance Group (QBE) Q3 2025 TU earnings summary

Executive summary

• Return on equity is expected to remain in the high teens for FY25, supported by targeted premium growth, strong underwriting, and robust investment performance.

• Planning for FY26 is well advanced, with expectations of further premium growth and a stable combined operating ratio.

• Announced an AUD 450 million on-market share buyback to be completed through 2026.

• Confident in delivering 2025 guidance for growth and combined operating ratio.

Financial highlights

• Gross Written Premium (GWP) grew 6% year-over-year for the nine months to 30 September 2025, with ex-rate growth at 5%.

• Excluding non-core run-off in North America and Crop, ex-rate GWP growth was 7%.

• Group premium rate increases were -1.5% for the nine months, mainly due to commercial property lines.

• Net catastrophe claims for the ten months to October were ~$700 million, below the ~$950 million allowance.

• Core fixed income yield remained stable at 3.7%, with total investment FUM at $34.8 billion.

Outlook and guidance

• FY25 and FY26 Group combined operating ratio is forecast at ~92.5%.

• FY25 constant currency GWP growth expected in the mid-single digits, including a ~$250 million drag from non-core run-off in North America.

• Premium rate increases for 2026 expected to be similar to 2025, with focus on sustainable mid-single-digit volume growth.

• Expecting normalization in large risk claims and A&H, with margin expansion from performance initiatives.

• No reserve releases planned for 2026; planning assumes no prior year reserve benefit.