Key figures for Vienna Insurance Group
in % |
2017 |
2016 |
2015 |
2014 |
Earnings per share (in EUR) |
2.23 |
2.16 |
-0.27 |
2.46 |
Return on Equity |
8.3 |
8.9 |
1.1 |
11.1 |
Combined ratio |
96.7 |
97.3 |
97.3 |
96.7 |
Claims ratio |
66.3 |
66.9 |
66.7 |
65.8 |
Cost ratio |
30.4 |
30.4 |
30.6 |
30.9 |
Earnings per share
Earnings per share is a key figure equal to annual profit for the Group (less non-controlling interests and interest on hybrid capital) divided by the average number of shares outstanding. Earnings per share were EUR 2.23 in 2017 (2016: EUR 2.16), slightly higher than the previous year level.
Return on equity (RoE)
RoE is the ratio of Group profit before taxes of the total average shareholders’ equity of Vienna Insurance Group.
The Group earned a return on equity before taxes of 8.3% in 2017 (2016: 8.9%).
Combined ratio significantly below 100%
The combined ratio is calculated as the sum of all underwriting expenses and income, and net payments for claims and insurance benefits, including the net change in underwriting provisions, divided by net earned premiums in the property and casualty line of business.
The Group combined ratio (after reinsurers’ share, not including investment income) improved to 96.7% in 2017, primarily due to the increase in the underwriting result, particularly in Austria and Poland (2016: 97,3%). As a result, VIG was able to keep the combined ratio significantly below the 100% mark in spite of many adverse weather events and Storm Herwart.