IRB (IRBR3) obtained a net profit of R$37.9 million in the last fourth quarter of 2023, marking a turnaround compared to the loss of R$38.8 million recorded in the same period of the previous year.
The results were positive when we consider performance throughout the year. In 2023, the company ended the year with a net profit of R$114.2 million, reversing the loss of R$630.3 million recorded in 2022.
According to the statement, this improvement is attributed to a comprehensive review strategy in contracts and risk diversification, along with a boost in portfolio optimization, resulting in a more robust and profitable portfolio.
In the last quarter of last year, the reinsurer presented a positive result of R$105 million in underwriting, in contrast to a negative amount of R$153 million in the same period of the previous year.
In 2023, the subscription result increased to R$155 million, compared to a negative result of R$1.4 billion in 2022.
In relation to the total premium written, it was R$1.575 billion in the last quarter of 2023, reflecting a 12% drop compared to the previous year. In the Brazilian domestic market, there was an increase of 4.9%, reaching R$1.305 billion, while in the international market, there was a reduction of 50.4%, totaling R$270.3 million.
The accident rate, which measures the relationship between compensation paid and premiums collected, registered 55.2% in 4Q23, an improvement of 38.6 pp compared to 4Q22 and 18.8 pp compared to 3Q23. For the entire year, the accident rate reached 70.0%, an increase of 34.2 pp compared to 2022.
The company
IRB is one of the main reinsurers in Brazil. Founded in 1939, the company enjoys a prominent position in the Brazilian and Latin American reinsurance market. Reinsurance is an activity in which an insurer transfers part of the risk of insurance contracts it has issued to other companies, called reinsurers, in exchange for a fee (premium).
The IRB acts as a kind of “insurer of insurers”, helping to ensure that insurers can cover major risks and protect their clients in the event of serious losses, such as natural disasters or extraordinary events.
