Tryg lifts dividend despite drop in quarterly profit

Investing.com -- Danish insurer Tryg A/S raised its quarterly dividend after reporting lower profit for the third quarter of 2025, as weaker investment income offset higher earnings from its core insurance operations, the company said Friday.

The Copenhagen-based company declared an ordinary dividend of DKK 2.05 per share, up from DKK 1.95 a year earlier, an increase of more than 5%. 

Profit after tax fell to DKK 1.48 billion from DKK 1.61 billion, while profit before tax declined to DKK 1.98 billion from DKK 2.13 billion.

Tryg, one of Denmark’s largest non‑life insurers, reported an insurance service result of DKK 2.18 billion for the quarter, compared with DKK 2.05 billion in the same period last year. 

The combined ratio improved to 78.6% from 79.1%, reflecting continued operational efficiency. The expense ratio remained unchanged at 13.3%.

The insurer’s investment result fell to DKK 177 million from DKK 526 million in the third quarter of 2024. 

Tryg said its solvency ratio rose to 204% at the end of the quarter, compared with 199% at the end of the second quarter of 2025.

For the first nine months of 2025, Tryg posted a profit before tax of DKK 5.51 billion, up from DKK 5.27 billion in the same period last year.

The company’s insurance service result for the period was DKK 6.03 billion, compared with DKK 5.35 billion. The combined ratio improved to 80.0% from 81.5%, while the expense ratio was 13.4%, compared with 13.5% last year.

Insurance revenue for the first nine months increased 3.7% in local currencies, or 4.3% adjusted for one‑off items. Investment income for the period totaled DKK 607 million, down from DKK 1.18 billion. 

Tryg declared an ordinary dividend of DKK 6.15 per share for the first three quarters, up from DKK 5.85 in the same period of 2024.

The company said customer satisfaction for the third quarter was 82, compared with a baseline score of 81 for 2024.

Group CEO Johan Kirstein Brammer said the results reflected the performance of Tryg’s core business and its focus on maintaining a resilient operation. He said the company had handled more than 1.5 million claims so far this year and noted progress in streamlining its IT systems.

Brammer said Tryg continued to strengthen its commercial activities and that its Swedish private business was showing positive results through new partnerships in the motor segment.

The insurer also confirmed changes to its accounting policy related to the hedging of inflation risk for long‑tailed lines of business. 

The adjustment, announced in March 2025, led to restated comparison figures in accordance with accounting regulations.

 Tryg said the restatement shifted income between the insurance service result and the investment result, with no effect on profit before tax.