Zurich Insurance FY20 Net Profit, BOP Down; P&C Premiums Up; Proposes Stable Dividend

(RTTNews) - Zurich Insurance Group AG (ZURVY) on Thursday reported weak profit in fiscal 2020, with the first half impacted by COVID-19 and a return to growth in the second half.

For the year, net income attributable to shareholders declined 8 percent to $3.83 billion from $4.15 billion last year.

Earnings per share were 23.98 Swiss francs, down 13 percent from 27.51 francs a year ago.

Business operating profit or BOP was $4.24 billion, down 20 percent from prior year's $5.30 billion driven by COVID-19-related impact and higher catastrophe losses.

The COVID-19-related impact was $852 million, including $450 million in the property and casualty business as previously reported. In addition, catastrophe losses were$588 million higher than in 2019.

Business operating profit return on common shareholders' equity or BOPAT ROE was 11 percent, down from 14.2 percent last year.

Property & Casualty or P&C gross written premiums and policy fees increased 4 percent to $35.52 billion. Life gross written premiums, policy fees and insurance deposits declined 18 percent to $27.62 billion.

Further, the company proposed stable dividend of 20 francs per share.