Sampo’s underwriting results did not meet expectations, and the group adjusted its outlook accordingly. However, the insurance group reported a profit before taxes that exceeded analysts’ forecasts. In the first quarter of the year, Sampo’s profit before taxes was 465 million euros, surpassing the consensus forecast of 421 million euros based on analysts’ views.
The largest subsidiary of Sampo, non-life insurer If, also saw an increase in profit before taxes from the previous year. The group clarified its outlook, expecting a combined expense ratio for the year to be between 83-85 percent. Additionally, Sampo set ambitious targets for the years 2024-2026, aiming for annual growth in operating profit per share of over seven percent.
Despite challenging winter weather conditions in the Nordic countries leading to a decrease in underwriting results and weakening combined expense ratio for Sampo and If respectively, both entities are encouraged by the reduction in risk levels and remain optimistic about future developments. Severe weather damage caused compensation costs for If totaling around 100 million euros, highest since 2010.
In addition to its insurance operations, Sampo also owns a British non-life insurer, Hastings and has a significant stake in an insurance company in Denmark. Both entities reported results that met or slightly exceeded expectations for the first quarter. With a focus on growth, profitability and capital accumulation, Sampo is positioning itself for continued success in coming years
