The dip was caused by a writedown of €75m by the insurer for its business in the US as higher interest rates and surging inflation impacted its auto insurance business.
Excluding the writedown, Mapfre’s net income for the period stood at €546m, an increase of 11.7% versus a year ago.
For the nine months ending 30 September 2023, the company’s total premiums, including non-life and life, increased by 11% to €20.68bn from €18.64bn a year earlier.
Mapfre said its results also benefitted from a €46.5m “positive net impact” pertaining to arbitration over the alliance termination with Spanish bank Bankia, which was taken over by CaixaBank.
Revenue for the first nine months of 2023 was €22.20bn, down by 10.8% from €24.59bn in the same period a year ago.
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below formBy GlobalData
In a press statement, the company said: “The 10.8% increase in revenue consolidated the trends from recent quarters and reflects both a relevant increase in business volume, as well as an improvement in financial income.”
Mapfre chairman and CEO Antonio Huertas said: “Our business continues to show robustness, both in revenue and premium growth, as well as in the result, based on a high level of diversification and ability to adapt to the context.
“Mapfre is overcoming the difficulties presented by inflation, thanks to continuous improvement based on our technical management.”
Mapfre’s premiums, which include the reinsurance and global risks business, improved by 9.3% to nearly €6.1bn.
The company said the significant increase in the combined ratio is supported by sufficient pricing in the reinsurance market.
The company also announced plans to offer an interim dividend of €0.06 per share for 2023.