Mapfre profit rises 11.5% to 924.3 million euros as Colombia quake costs 83 million

Profit rises despite Colombia quake

Mapfre earned a net profit of 924.3 million euros in the first nine months of the year, up 11.5% from the same period a year earlier, the insurer said on Wednesday, 28 October, when it published its quarterly accounts. Revenue rose 3% to 27,239.7 million euros, while premiums issued and accepted grew 2% to 22,826.7 million. The company said the most significant event in its non-life business was the earthquake in Colombia in August, which carried an estimated net cost of 83 million euros for the group, 75 million of it from reinsurance. Storms in Portugal and Spain in February and an earthquake in Venezuela in June also featured among the year's notable events.

Chairman Antonio Huertas tied the result to the group's strategic plan and to an acquisition in the United States.

“The results reflect the strength of Mapfre in the final stretch of our Strategic Plan.”

Huertas said the purchase of Safety Insurance was proceeding as planned and would strengthen the group's presence in the United States. Vice chairman José Manuel Inchausti described the operating environment as demanding, both economically and geopolitically, and pointed to the business model, diversification and risk management as sources of the result. The company plans to present its next strategic plan early next year.

Regional results and premiums

Iberia was the strongest region, with a net profit of 413 million euros, up 19.0%, and a combined ratio improved to 94.2%. Latin America fell 10.7% to 303 million euros, which the company attributed largely to natural events, mainly the Colombia earthquake. Brazil contributed more than 200 million euros, up 2.0%, with a combined ratio of 75.7%. North America reported 112 million euros, up 12.4%, with a combined ratio of 94.9%.

Iberia413

Latin America303

North America112

Iberia

413 million euros

Latin America

303 million euros

North America

112 million euros

Data from the article text

Premiums in non-life business rose 1.1% to 17,493.3 million euros, with motor up 2.1% to 5,045.1 million, general insurance down 1.7% to 6,467.8 million and health and accident up 9.8% to 2,080.1 million. Life premiums grew 5% to 5,333.4 million euros, led by risk products up 6.6% to 2,167.8 million and savings products up 3.7% to 2,716.5 million. The non-life combined ratio rose 0.9 points to 93.5%, while return on equity reached 12.8%.

Interest rates and the dividend

José Luis Jiménez, Mapfre's chief financial officer, said the expected rate rises could benefit the group, especially in asset management and savings products. Funds and pension plans would gain, and savings products yielding around 3% sold out in a matter of days.

“We think the expected interest rate rises could be a significant boost for the savings business.”

Jiménez said a rise to an extraordinarily high level could weigh on consumption and investment across the economy, but Mapfre does not expect that and anticipates rises of 25, 50 or 75 basis points in the short and medium term. The board approved an interim dividend of 0.08 euros per share on account of 2026 results, 14.3% above the prior year's interim payment. The total dividend paid during 2026 will reach 0.19 euros per share, a rise of 15.2% on 2025. The last trading day with entitlement is 23 November, shares trade ex-dividend from 24 November and the record date is 25 November.

Línea Directa nine-month results

Línea Directa reported a net profit of 80.4 million euros for the first nine months, up 34.8%, and attributed the gain to revenue growth across motor, home, health and other lines and to a better combined ratio. Premiums issued rose 8.9% to 919 million euros, while earned premium income reached 879.8 million, up 10.8%. The insurer's client base grew 6.9% to 3.9 million, adding more than 253,000 insureds over the period. Motor premiums rose 9.5% to 749.98 million euros, and the line added 211,788 new policies, up 7.9%. Health premiums climbed 17% to 35.69 million euros, and home premiums rose 2.6% to 128.86 million. The combined ratio improved to 91.3% at the end of September.