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

Top 10 largest revenue generating family businesses in MENAT

From the UAE to Turkey, these family firms are the largest by revenue in MENAT and cover everything from energy to entertainment

Top 10 metaverse projects in the UAE, including world firsts

As Accenture predicts the metaverse will fuel a US$1 trilion commerce opportunity by 2025, we round up 10 pioneering metaverse projects in the UAE

PwC’s survey shows Middle East CEOs remain upbeat on growth

CEOs in the Middle East are far more optimistic about regional growth than those in North America and Europe, according to PwC’s annual survey

Opinion: “Why we must tackle the digital skills crisis"

Leadership & Strategy

5 Mins With: Kathryn Kaminsky Vice Chair Trust Solutions PwC

Leadership & Strategy

Survey: The Future of Cloud Security in the Middle East

Technology