Results

MAPFRE wants its shareholders to have access to the information about the company – results, dividend payments, and relevant events. The Financial Newsletter provides a summary of the most important information about the Group during the period. You can also find the archive of previous newsletters, as well as fill out the form to sign up to receive the newsletter.

Results June 2018

MAPFRE consolidated revenue reached 14.1 billion euros, and attributable result reached 385.7 million euros.

Results June 2018

Revenue June 2018

MAPFRE consolidated revenue reached 14.1 billion euros, with a reduction of 8.7%, mainly due to the depreciation of the main currencies of the countries where MAPFRE operates, and the fall in financial returns.

Premiums reached 12 billion euros, with a decline of 8.4%, due to the effect of currency depreciation and discreet development of premium issuing in Brazil, United States, Turkey, Colombia and Chile. At constant exchange rates, premium variation would be -2.3%.

Revenue from investments reached 1.3 billion euros, below the previous period, due to the recurrent low-interest rate environment in Europe and the fall in interest rates in Brazil and other countries in LATAM, as well as lower financial gains. The absence of gains from the sale of real estate in 2018 is also relevant.

Revenue June 2018

Premiums June 2018

Non-Life premiums fell by 9.6%, while Life premiums receded 4.2%. By Non-Life business type, Automobile is the most important line, with 3.6 billion euros in premiums. General P&C holds second place, with 3 billion euros and Health and Accidents is in third place with 926 million euros in premiums. At a constant exchange rate, the variation in premiums would be -3.4% in Non-Life and +1.8% in Life.

Premiums June 2018

Combined ratio June 2018

The improvement in the combined ratio is based on an excellent loss experience in Spain and MAPFRE RE, improved loss experience in LATAM NORTH and SOUTH, and improved loss experience in the GLOBAL RISKS business unit, which was very affected last year by claims with a high level of intensity. This favorable development limits the effect coming from the storms on the East coast of the United States in the first quarter of the year.

Combined ratio June 2018

Net result June 2018

The attributable result reached 385.7 million euros, decreasing by -7.1%, primarily as a result of the following events occurring in the first half of 2018:

  1. The fall in net financial income, due mainly to the decrease in interest rates in Brazil and other LATAM countries, as well as the low-interest rate environment in Europe.
  2. The absence of atypical operations with relevant contributions to earnings for the period. It is important to point out that in the Life business from the previous period, non-technical revenue included the cancellation of a provision for contingent payments in the bancassurance channel in Spain totaling 27.2 million euros, net of taxes. Additionally, the sale of real estate on calle Luchana in Madrid contributed a 29.0 million net profit in 2017.
  3. Expenses from the restructuring operations in Brazil and the United States.
Net result June 2018