Earnings Document

Group Annual Report 2022

Munich Re

Key figures (IFRS)1

Munich Re at a glance

		2022	2021	2020	2019	2018
Gross premiums written	€m	67,133			59,567		54,890		51,457	49,064
Net earned premiums	€m	63,462			55,202		51,223		48,280	45,735
Net expenses for claims and benefits	€m	-46,957			-45,383		-43,077		-39,685	-35,116
Net operating expenses	€m	-15,907			-13,674		-12,815		-13,056	-12,587
Operating result	€m	3,582			3,517		1,986		3,430	3,725
Taxes on income	€m	-580			-552		-269		-483	-576
Consolidated result	€m	3,419			2,932		1,211		2,707	2,275
Attributable to non-controlling interests	€m	-13			-1		0		-17	-34
Earnings per share	€	24.63			20.93		8.63		18.97	15.53
Retuon equity (RoE)2	%	13.5			12.6		5.3		11.7	8.4
Retuon investments (RoI)	%	2.1			2.8		3.0		3.2	2.8
Dividend per share3	€	11.60			11.00		9.80		9.80	9.25
Dividend payout3	€m	1,590			1,541		1,373		1,373	1,335
Share price at 31 December	€	304.00			260.50		242.80		263.00	190.55
Munich Reinsurance Company's
market capitalisation at 31 December	€bn	42.6	36.5	34.0	38.0	28.5
Carrying amount per share	€	153.02			220.06		213.38		215.32	180.86
Investments	€m	219,797			240,300		232,950		228,764	216,852
Insurance-related investments	€m	11,128			12,283		11,033		9,163	8,424
Equity	€m	21,202			30,945		29,994		30,576	26,500
Off-balance-sheet unrealised gains and losses4	€m	5,494			18,888		21,298		19,913	16,067
Net technical provisions	€m	232,456			234,044		221,480		217,941	208,270
Balance sheet total	€m	298,570			312,405		297,946		287,553	270,168
Staff at 31 December		41,389			39,281		39,642		39,662	41,410
Reinsurance

		2022	2021	2020	2019	2018
Gross premiums written	€m	48,075		41,354		37,321	33,807	31,286
Investments
(incl. insurance-related investments)	€m	97,714	103,226	94,631	92,429	85,605
Net technical provisions	€m	97,448		89,461		78,190	77,166	72,407
Major losses (net)	€m	-4,173			-4,304		-4,689		-3,124	-2,152
Natural catastrophe losses	€m	-2,430			-3,139		-906		-2,053	-1,256
Combined ratio property-casualty	%	96.2		99.6		105.6	100.2	99.4
Investment result	€m	1,520		3,422		3,193	3,318	2,543
Consolidated result	€m	2,593		2,328		694	2,268	1,864
Thereof: Reinsurance - Life and health	€m	737		325		123	706	729
Thereof: Reinsurance - Property-casualty	€m	1,856		2,003		571	1,562	1,135
Retuon equity (RoE)5	%	13.8		13.4		4.1	13.3
ERGO

		2022	2021	2020	2019	2018
Gross premiums written	€m	19,058		18,213		17,569	17,650	17,778
Investments
(incl. insurance-related investments)	€m	133,211	149,357	149,352	145,497	139,671
Net technical provisions	€m	135,008		144,583		143,290	140,776	135,863
Combined ratio property-casualty Germany	%	90.6		92.4		92.4	92.3	96.0
Combined ratio International	%	94.3		92.9		92.7	94.3	94.6
Investment result	€m	3,383		3,734		4,206	4,504	3,983
Consolidated result	€m	826		605		517	440	412
Thereof: Life and Health Germany	€m	485		164		130	187	264
Thereof: Property-casualty Germany	€m	185		234		157	148	45
Thereof: International	€m	155		207		230	105	103
Retuon equity (RoE)5	%	12.5			10.1		8.8		7.4

You can download this information as an Excel file; please refer to the Financial Supplement underwww.munichre.com/results-reports
We changed the calculation of RoE in 2020. The figure for 2019 was adjusted accordingly. Comparability with 2018 is thus limited. Further information about this indicator can be found in the combined management report in the sections "Strategy" and "Tools of corporate management and strategic financial objectives". Information about the calculation of RoE can be found in the Notes to the consolidated financial statements, in the section entitled "Segment reporting, Notes on determining the retuon equity (RoE)".
Subject to approval by the Annual General Meeting.
Including those apportionable to minority interests and policyholders.
Since the publication of our Ambition 2025 in December 2020, RoE has now become a target figure for our fields of business. Further information about this indicator can be found in the combined management report in the sections "Strategy" and "Tools of corporate management and strategic financial objectives". Information about the calculation of RoE can be found in the Notes to the consolidated financial statements, in the section entitled "Segment reporting, Notes on determining the retuon equity (RoE)". We do not report this indicator for 2018.

Contents	Group Annual Report 20221	1


	Munich Re at a glance
	Key figures (IFRS)	Inside front cover
	Quarterly figures	Inside back cover
	Important dates	Back cover

	Letter to shareholders	3

	Combined management report	9
	Strategy	12
	Tools of corporate management and strategic financial objectives	16
	Macroeconomic and industry environment	19
	Munich Re Group	20
	Combined non-financial statement	25
	Business performance	57
	Financial position	73
	Risk report	77
	Opportunities report	89
	Prospects	91
	Munich Reinsurance Company (information reported on the basis of
	German accountancy rules)	93

	Corporate governance	101
	Report of the Supervisory Board	103
	Statement on Corporate Governance	110

	Consolidated financial statements and notes	129
	Consolidated balance sheet	132
	Consolidated income statement	134
	Statement of recognised income and expense	135
	Group statement of changes in equity	136
	Consolidated cash flow statement	138
	Notes	139

	Independent auditor's report	231

	Independent auditor's report on a limited assurance engagement	239

	Responsibility statement	242

	Imprint/Service	243

More detailed lists of contents are provided on the pages separating the individual sections.

Due to rounding, there may be minor deviations in summations and in the calculation of percentages in this report.

This document is a translation of the original German version and is intended to be used for informational purposes only. While every effort has been made to ensure the accuracy and completeness of the translation, please note that the German original is binding.

1 The format of this publication does not correspond to the European Single Electronic Format (ESEF). The legally required preparation in ESEF format will be submitted to the authority responsible for operating the German Company Register and will be published in the Company Register.

Munich Re Group Annual Report 2022

To our shareholders

Dr. Joachim Wenning

Chair of Munich Reinsurance

Company's Board of Management

When we set out our result target for 2022, no one could have imagined the geopolitical and macroeconomic upheavals the year would have in store: the Russian war of aggression and the ensuing economic turbulence were not foreseeable. As a consequence, our investments in particular were subject to significant volatility. While the sharp increase in interest rates is welcome in the long run, it has wiped out hidden reserves and led to substantial impairment losses in the short term. Energy scarcity owing to the war further fuelled global inflation, which had already been on the rise; we have made provisions for increased claims expenditure as a result of rising inflation.

Despite the challenges, we delivered a profit of €3.4bn and thus even slightly exceeded our €3.3bn result target. With earnings per share increasing by 17.6%, a retuon equity of 13.5% and a solvency ratio of 260%, we are on track to also meet the medium-term targets set out in our Ambition 2025.

The resilience of our business model is also recognised on the capital markets: despite a difficult stock market environment in 2022, Munich Re's shares ended the year with just shy of a 17% gain on the previous year. Only one DAX 40 company managed to outperform this increase. As regards total shareholder return, we occupied the top spot among the world's eight leading reinsurers and European primary insurers between 2019 and 2022. As usual, our shareholders will benefit greatly from our gratifying performance: we are proposing that the Annual General Meeting approve a dividend increase of 5.5% to €11.60 per share. In addition, we have now approved a new share buy-back with a volume of €1bn.

Munich Re Group Annual Report 2022

Attachments

Disclaimer

Munich Re Group - Münchener Rück AG published this content on 16 March 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 16 March 2023 07:34:12 UTC.

Earnings Document

Advisor News

Annuity News

Health/Employee Benefits News

Life Insurance News

Earnings Document

Advisor News

Annuity News

Health/Employee Benefits News

Life Insurance News

Sign in with your Insider Pro Account