Spanish insurer Mapfre's 2023 net profit rises 20%, shares down (updated)

Mapfre SA

14/02/2024 08:53

(Adds market expectation in paragraph 3, breaks down Brazil and
reinsurance units profit in paragraph 4)
       Feb 14 (Reuters) - Spain's Mapfre  MAP.MC  on Wednesday
posted a 20% rise in 2023 net profit which fell short of market
expectations, sending its shares lower.       
    The country's second-largest insurance company by premiums
posted a net profit of 677 million euros ($725 million) while
analysts had expected 730 million, LSEG data showed.
    Excluding a 75 million euro writedown related to its U.S.
car insurance business, its net profit stood at 767 million
euros.    
    Mapfre shares were down 3.8% in early trading.
    The company was buoyed by a 62% jump in profit to 233
million euros at its unit in Brazil and by its reinsurance
business, where its profit jumped 75% to 215 million euros.
    Mapfre's premiums rose by 9.7% to a record high 26.92
billion euros. 
    Several disasters, such as the earthquake in Turkey and
Hurricane Otis in Mexico in 2023 had a negative impact on the
results. It noted a higher frequency of weather-related events
in Europe cost the company 115 million euros more than in 2022.
    ($1 = 0.9340 euros)

 (Reporting by Marta Serafinko and Natalia Siniawski; editing by
Inti Landauro and Jason Neely)
 ((Marta.Serafinko@thomsonreuters.com; +48 58 769 66 00;))