Berlin - AFP
German reinsurer Hannover Re said Wednesday it is sticking by its full-year profit targets, even though bottom-line earnings fell in the third quarter. Despite losses from natural catastrophes and a "challenging capital market environment," the third-quarter and nine-months earnings constituted "a good platform for achieving our profit target of at least 500 million euros ($690 million) for the full financial year," chief executive Ulrich Wallin said in a statement. In the period from July to September, Hannover Re saw its net profit fall by 39.9 percent to 163.2 million euros, despite a 5.1-percent increase in gross premiums to 3.02 billion euros. In the nine months to September, net profit fell by 34.4 percent to 381.7 million euros and gross premiums rose by 6.0 percent to 9.065 billion euros. Hannover Re also raised its dividend for the current year, saying it "aims to pay a dividend which could even exceed 40 percent of group net income." Previously, the reinsurer had been projecting a dividend of 35-40 percent of net profit.