Suncorp delivers full year results for FY25

Suncorp Group Limited today reported a Net profit after tax (NPAT) of $1,823 million, including $252 million from the one-off gain on sale of Suncorp Bank and $99 million for New Zealand Life. The result also benefitted from favourable natural hazard experience ($205 million below the allowance) and positive net investment income of $766 million.ⁱ

"Suncorp’s FY25 performance demonstrates the strength and resilience of our business built over the past five years, and our ongoing commitment to creating value for our customers, communities and shareholders. 

Following the disciplined execution of our strategic and operational priorities, including the successful completion of our simplification journey with the sale of Suncorp Bank and New Zealand Life, Suncorp’s full focus as a pure-play general insurer is on improving the insurance products and services we offer our customers across Australia and New Zealand. 

Our strong set of results delivered this year included the one-off profits on the sale of Suncorp Bank and New Zealand Life, significantly higher investment returns and weather costs across Australia and New Zealand that were favourable to allowance by more than $200 million. Suncorp, however, dealt with 17 declared weather events and more than 120,000 natural hazard claims this year. 

We recognise the cost pressures businesses and households across Australia and New Zealand continue to experience, including the impact of premium increases in recent years. Pleasingly, the increases in customer premiums continue to moderate as supply chain inflation eases and reinsurance markets stabilise.

It's encouraging to see our advocacy through our four-point plan for a more resilient Australia and New Zealand is having an impact. We believe increased investment in new mitigation projects, incentives for customers who invest in their own resilience initiatives, improved planning laws and lower taxes on insurance products are key to protecting people and addressing insurance affordability and accessibility. 

Given the important role insurance plays in our economy, taxing insurance products adds to cost of living pressures and should be front and centre of the current productivity discussions. Suncorp’s advocacy agenda is also expanding to include issues inside the home such as sub-standard flexi piping and lithium-ion batteries, which have the potential to impact home insurance premiums in future years.

• New Policy Administration System (AAI New Zealand): Enables faster, simpler, and more digital policy quoting and issuance.

• Home claims call scheduler: A new online tool allowing customers with a Natural Hazard claim to schedule calls with their claim manager, reducing missed calls and follow-ups.

• Vero Specialty Lines: A new suite of niche products supporting brokers and customers with complex risk needs.

• Interactive Haven tool: A digital tool using property, location, weather, and natural peril risk data, to allow Australian homeowners to better understand their home’s extreme weather risks.

• Mobile Disaster Response Hubs: Five new hubs to support customers in disaster-affected communities. 
• Disaster Management Centre: A state-of-the-art national centre opened to coordinate response efforts. 
• Investment in resilience: $3 million invested in technology, research, and training to help communities prepare for extreme weather. 
• Townsville Regional Hub: Greater insights and communication with local customers and stakeholders during severe weather events.

• Conversational AI: 2.8 million digital customer interactions handled automatically by Conversational AI (up 22% on FY24). 
• GenAI claims summary: 2.0 million + claims summaries produced through the “Single View of Claims” platform. 
• GenAI Customer Service support: 14,350+ hours saved (since October 2024) by “Smart Knowledge” equipping frontline teams with succinct and accurate information to support customers.

i. Net investment income is investment income on insurance funds and shareholders’ funds net of discount unwind and rate adjustments on claims liabilities.

ii. Dividends per share are presented on the basis on which they were reported, calculated using the number of shares on issue on the record date. The FY25 interim ordinary dividend of 41 cents per share reflects the share count prior to the consolidation associated with the Bank capital return and has not been restated. The FY25 final ordinary dividend of 49 cents per share is calculated using the post-consolidation share count.

iii. All changes refer to the prior corresponding period unless otherwise stated.

iv. Excludes emergency services levies, transitional excess profits and losses (TEPL) provision, commission and restructuring expenses.

v. RFI Global – Atlas. NPS is tracked and reported internally on a monthly basis, using a six-month rolling average. Performance is measured as at June each financial year amongst an aggregate of Suncorp Group Australian consumer insurance customers.

vi. Home, Motor and CTP products for mass brands.