Munich Re eyes growth in profits for 2018, digital transformation investment continues

By Johan De Mulder

German insurer Munich Re believes its profits will grow to between €2.1bn and €2.5bn in 2018.

Projections were released by the multinational firm this week as it seeks to steady the ship after a number of natural catastrophes in 2017 led to a significant payouts.

Munich Re is targeting the profit figure, which represents an increase on its guidance for last year, after admitting that as a cost-saving measure it will be cutting around 900 jobs in Munich and the United States.

See also:


Digital transformation is high on its agenda as it looks to respond to the growing demand for digital solutions in the insurance market. 

"Munich Re is again poised for growth," said Chairman Joachim Wenning. "Our target for 2018 is slightly higher than the profit guidance for the previous year.

"Our growth initiatives in reinsurance are benefiting from tailwinds as prices rise. We are investing heavily in digitalisation and are cutting costs to prepare for digital transformation and make Munich Re fit for the future."

The company also announced that it would launch another share buy-back programme to repurchase €1bn worth of shares before the 2019 Annual General Meeting. A buy-back programme of the same scale is ongoing and scheduled to be completed before this year’s AGM.

Share

Featured Articles

Meet the COO: Brook Sims of MAC Diversity Recruiters

Passionate about helping others find their voice, diversity leader and COO Brook Sims talks powerful leadership, diverse teams and being a change agent

Best business books to improve leadership strategy

From strategic guides to inspiring CEO memoirs, these new books dish up plenty of principles, strategies, and anecdotes to help you become a better leader

Shoplazza founder and CEO Jeff Li, ex Baidu, on leadership

Named in Fortune China’s 40 under 40 for 2022, former Baidu head Jeff Li is the entrepreneurial founder and CEO of ecommerce platform Shoplazza

The office shifts to new way of working – workplace special

Leadership & Strategy

Trailblazer: Clorox's DEI leader Shanique Bonelli-Moore

Sustainability

The inspirational CEO story – Dean Forbes of Forterro

Leadership & Strategy