Korean Reinsurance (003690) Q1 2025 earnings summary

Executive summary

• Net income for Q1 2025 rose 42.6% year-over-year to KRW 90.6 billion, driven by improved underwriting and investment results.

• Operating income increased 45.6% year-over-year to KRW 117.5 billion, reflecting lower insurance losses and higher investment income.

• Gross premiums grew 5.8% year-over-year, and net premiums rose 7.3% year-over-year.

• Overseas business now represents 46% of the total portfolio, up from 35% in FY2022, supporting diversification.

Financial highlights

• Revenue for Q1 2025 was KRW 1,553.6 billion, up 0.8% year-over-year.

• Investment profit reached KRW 104.0 billion, a 45.7% increase year-over-year, aided by higher bond yields and a base effect from loan loss reserves.

• Return on equity (ROE) for Q1 2025 was 10.6%.

• Shareholders’ equity stood at KRW 3,396.1 billion at the end of Q1 2025.

Outlook and guidance

• Continued focus on expanding profitable overseas business and reducing exposure to underperforming contracts.

• Ongoing diversification of the portfolio by region and line of business, with a shift toward Europe and the Americas.

• Pursuing new long-term product development and coinsurance to address regulatory changes.