SCOR (SCR) Q3 2024 earnings summary

Executive summary

• Q3 2024 featured strong P&C and investment performance, but significant one-offs from the Life and Health (L&H) assumption review led to a group net loss and negative ROE, though underlying profitability remains solid when excluding these impacts.

• Group solvency ratio stands at 203% at Q3 2024, reflecting balance sheet resilience and effective management actions.

• Adjusted net income for 9M 2024 was EUR 512 million (ROE 14.0%) excluding one-offs; reported net income was EUR -224 million (ROE -6.6%).

• Economic Value decreased by 7.0% in 9M 2024, now at EUR 8.4 billion.

• Three-step plan to restore L&H profitability is underway, with full details to be presented at Investor Day in December 2024.

Financial highlights

• Q3 2024 insurance revenue was EUR 3,944 million, with net income at EUR -117 million; adjusted net income at EUR 150 million excluding one-offs.

• Gross written premiums rose 2.4% to EUR 4,985 million in Q3 2024.

• Investment income reached EUR 229 million in Q3; regular income yield at 3.5%, return on invested assets at 4.0%.

• P&C combined ratio improved to 88.3% in Q3 (from 90.2%); 87.4% for 9M 2024.

• Operating cash flow for Q3 2024 was EUR 420 million, down 35.8% year-over-year.

Outlook and guidance

• P&C reinsurance market expected to remain attractive in 2025, supporting continued profitable growth.

• L&H remedial strategy and updated 2026 targets to be detailed at Investor Day in December 2024.

• Group Economic Value per share at EUR 47, but 9% per annum growth target unlikely to be met for 2024.