Tryg (TRYG) Q4 2025 earnings summary

Executive summary

• Insurance service result reached DKK 1.918 billion in Q4, with a combined ratio of 81.4% and insurance revenue up 4.1% year-over-year, driven by commercial activities, the Private segment, and profitability measures, especially in Norway.

• Investment result was DKK 171 million, supported by strong returns in both matched and free portfolios, and reduced property exposure in line with de-risking strategy.

• Pre-tax result just above DKK 1.7 billion; net profit for Q4 2025 was DKK 1,277 million, with operating EPS at DKK 2.38 and ROOF at 36.8%.

• Quarterly dividend of DKK 2.05 per share and a DKK 1 billion share buyback were announced, reflecting robust full-year numbers, strong solvency, and earnings growth.

• Customer satisfaction remained high at 82 for the fourth consecutive quarter, with digital initiatives enhancing the customer journey.

Financial highlights

• Insurance revenue grew to DKK 10,293 million in Q4 2025, up 4.1% in local currencies compared to Q4 2024.

• Combined ratio improved to 81.4% from 82.5% in Q4 2024, with the claims ratio at 67.7% and expense ratio at 13.6%.

• Underlying claims ratio improved by 30 basis points for both group and Private segment in Q4.

• Property exposure reduced by DKK 1 billion during the year, now at DKK 2.3 billion.

• Solvency ratio at year-end is 196%, including dividends and buyback; expected to normalize to 193% in Q1 2026.

Outlook and guidance

• Entering 2026 in a robust position, shifting focus from margin protection to commercial activities for sustainable top-line growth.

• Underlying claims and expense ratios are expected to remain stable or slightly improve towards 2027.

• Runoff result expected to remain around 2% towards 2027.

• Confident in achieving mid-80s combined ratio in Norway and tracking well towards 2027 financial and strategic targets.

• Dividend policy targets a stable, nominal increase and payout of 60-90% of operating earnings.