The Talanx Group, parent company of HDI Global, has reported a record group net income of €1,964 million for the first nine months of 2025, up from €1,592 million in the same period last year.
Based on this performance, the company has raised its full-year net income forecast for 2025 to more than €2.4 billion, having previously increased it to roughly €2.3 billion after the first half. Talanx now expects to reach approximately €2.7 billion in group net income in 2026, a year ahead of its original 2027 target.
The revised outlook comes after a strong first half of 2025, when Talanx posted net income of €1.37 billion, compared to €1.09 billion a year earlier. The company noted that all divisions contributed to this result, with normalised large loss payments and favourable currency effects supporting the increase.
In particular, the first quarter of the year saw Talanx achieve its highest-ever quarterly net income at €604 million, surpassing market expectations. Primary insurance accounted for about 60% of this total, while reinsurance made up the remainder.
Looking ahead, Talanx expects a return on equity of more than 19% for 2025. The company’s outlook for 2026 is for group net income of approximately €2.7 billion, subject to stable currency and capital markets and loss experience in line with expectations.
CEO Torsten Leue (pictured above) said, “We have generated record results after nine months and have already almost reached our full-year net income for 2024. This shows that our business model, which is based on diversification, decentralisation and cost leadership, is competitive in all market phases.”
He added that the company is optimistic for the rest of the year and for 2026, aiming to reach its 2027 earnings target a year early.
Profit growth for the period was attributed to strong operating results and a favourable claims experience in the third quarter. Both primary insurance and reinsurance contributed nearly equally to group net income, at 51% and 49% respectively.
Insurance revenue remained steady at €36.0 billion, with a 3% increase when adjusted for currency effects. The insurance service result rose by 6% to €4.0 billion, and the return on equity reached 21.5%.
Large loss payments for the first nine months totalled €1.5 billion, which was €0.7 billion below the budgeted amount. Man-made losses stood at €686 million, while natural disaster-related payments reached €836 million. The largest single loss was €626 million from California forest fires in the first quarter.
Other significant events included an earthquake in Myanmar (€91 million), tornadoes in the US Midwest (€51 million), and a typhoon in Asia (€20 million). The combined ratio improved to 89.8%.
The net insurance financial and investment result before currency effects increased by 4% to €993 million. Operating profit rose 11% to €4.1 billion, while the Solvency 2 ratio stood at 233% as of 30 September 2025.
Talanx has announced plans to change its legal form to a European Company (Societas Europaea, SE), with shareholders to vote on the proposal at the 2026 Annual General Meeting. The company stated that the reorganisation aims to reflect the growing importance of its international business and will not affect existing contractual relationships or shareholder rights.
While Talanx reported a record group net income of €1.96 billion for the first nine months and raised its full-year forecast to over €2.4 billion, Chubb achieved a significantly higher net income of $7.1 billion (approximately €6.6 billion) for the same period.
Chubb’s year-over-year net income growth was 6%, compared to Talanx’s 23%, but Chubb’s absolute earnings and global scale remain much larger.
Both companies are experiencing strong underwriting and investment results, with Chubb projecting continued double-digit EPS growth and a core operating ROE of 14% or higher, while Talanx is accelerating its targets, now expecting to reach €2.7 billion in net income by 2026, a year earlier than planned.
Allianz, another major European insurer, reported net income of €2.7 billion in Q2 2025 alone – already surpassing Talanx’s full-year forecast. Allianz’s profit margin improved to 8.3% and EPS reached €7.03, with the company forecasting annual revenue growth of 21% over the next three years, well ahead of the industry average.
