Munich Re Posts $641 Million Q1 Profit

Munich Re announced excellent first quarter results, posting a profit of 534 million euros ($641.3 million) and a combined ration of 96.3 percent.

The brief announcement was made prior to the company’s 117th Annual General Meeting, which will take place at the International Congress Centre in Munich, at 10 a.m. today. Further details will be released at that time. The full report is scheduled to be published on June 3.

Dr. Nikolaus von Bomhard, Chairman of Munich Re’s Board of Management, commented: “Our hard work is bearing fruit. We have made a good start to the year. Our reinsurance business is continuing to go well, primary insurance has returned to the profit zone, and the investment result is back to normal.”

The statement also noted that gross premiums fell by 4.3 percent, “albeit from a high level,” to 10.4 billion euros ($12.5 billion). The Group’s investment result totaled 1.854 billion euros ($2.226 billion), compared to a loss in the same period of 2003 of 812 million euros ($975 million) (as restated). Shareholders’ equity increased to 19.5 billion euros ($23.42 billion) from 18.9 billion ($22.7 billion) at the end of December 2003.