SUNCORP GROUP

Suncorp posted a net profit after tax of A$1.03bn for fiscal 2026, with adjusted insurance profit up 4.5% to A$1.64bn. The company announced a final dividend of A$0.52 and a special dividend of A$0.10 per share, plus a A$250m share buyback program for 2027. Gross written premiums rose to A$15.41bn and cash earnings were A$1.04bn. Despite natural disaster costs that exceeded the reserve by A$254m, Suncorp confirmed a positive outlook, demonstrating resilience in its core business. » More on de.investing.com

Suncorp’s shares fell about 3.1% after it downgraded its outlook for growth in gross premium income for fiscal 2026. The company cited continued weakness in its New Zealand commercial business and lower demand in certain Australian segments. Suncorp now expects total investment income of A$750–800m, well below last year’s A$1.2bn. Analysts have already trimmed profit estimates and price targets, heightening concerns about the recovery in premium income. » More on de.investing.com

Morgan Stanley sees Suncorp better positioned than IAG because of stronger premium increases and potential for re-rating. The bank cites March survey data: replacement-value premiums for home buildings +6% y/y, motor new-business premiums only +1% (excluding Allianz +3–4%); Suncorp raised motor prices the most, IAG cut them. In Queensland motor third-party liability premiums rose 9.5%, and Morgan Stanley sees further upside for home-building premiums due to higher input costs (e.g., plastic pipes). For fiscal 2026 the bank forecasts organic gross premium growth of 5.5% for Suncorp Consumer versus 3.5% for IAG. » More on de.investing.com