Munich Re’s net profit rose sharply

(Reuters) – German reinsurer Munich Re on Thursday reported a better-than-expected 41 percent rise in second-quarter net profit and said it could beat full-year guidance.

The company, the world’s largest reinsurer, highlighted the strength of its life and health reinsurance segment, which helped offset losses due to flood claims in Germany in the quarter.

Second quarter net profit of €1.623 billion ($1.77 billion), compared to €1.154 billion in the year-ago period. Analysts expected a net profit of 1.438 billion euros.

Munich Re is optimistic about reaching its net profit target of 5 billion euros for the full year.

“Our impressive half-year result makes it more likely that we will meet or even exceed our guidance for the full year,” said CEO Joachim Wenning.