QBE Says Full Year Profit Outlook Uncertain

Post by NeilMc on April 8, 2009 · Under news · Comment

Australian insurance major QBE Insurance Group during its annual general meeting said that the full year outlook for profits is uncertain, and that if it achieved the same profitability as it did last year, it would be very pleased.

“We expect 2009 to be another difficult year for investment yields given global economic uncertainty, In these circumstances we would be pleased if we are able to maintain or increase profitability over 2008 levels.” QBE chairman John Cloney told investors at the meeting.

Last year QBE produced a net profit of A$1.86 billion

QBE said that it was still on track to deliver its full year insurance profit margin target of between 16 to 18 per cent.

Chief Executive Frank O’Halloran said that he believes average insurance premiums will increase by 4 per cent this year. He also suggested that gross written premium and net earned premiums would increase by 20-25 per cent in 2009

He also said the insurer’s businesses and balance sheet are well placed to take advantage of future opportunities.

Compare Australian Insurance Deals