Street View: Australia's Suncorp set to improve margins in FY25

Citi Trends

19/08/2024 22:55

** Suncorp  SUN.AX  posted a 17% rise in annual cash profit
on Monday, but warned of slower growth in gross written premiums
for FY25
    ** Shares of the insurer closed 1.3% higher after falling
2.2% in early trading
    ** Co's general insurance gross written premiums rose 14% to
A$14.1 bln ($9.49 bln)
    
SALE OF BANK UNLOCKS OPPORTUNITIES GOING FORWARD
    ** Jefferies raises PT on SUN to A$18.35/shr; Citi raises PT
to A$17.70/shr
    ** Citi, Morningstar and Jefferies expect majority of
proceeds from SUN bank sale to be returned to shareholders
    ** Citi and Morningstar also see potential for buybacks for
SUN going forward
    ** All three brokerages see insurance margins improvements
for SUN in FY25 as well

($1 = 1.4857 Australian dollars)

 (Reporting by Shivangi Lahiri in Bengaluru)
 ((shivangi.lahiri@thomsonreuters.com))