We are pleased to report that our net income reached KRW 316.7 billion in 2024, exceeding our target level.
In 2024, Korean Re remained committed to strengthening our profit fundamentals, enhancing risk management, and optimizing our portfolio. These efforts led to outstanding financial results for the year. As we strategically capitalized on the hard market conditions caused by frequent natural catastrophes, we delivered record-high earnings for the second consecutive year. Another key driver behind this robust profitability was an improvement in our international business results in spite of major natural catastrophes, such as floods in Dubai and significant loss creep related to the 2023 hailstorm in Italy.
We are pleased to report that our net income reached KRW 316.7 billion in 2024, exceeding our target level. Total assets grew by KRW 1,094.1 billion year on year to KRW 13,160.4 billion, while invested assets increased by KRW 1,100.4 billion to KRW 10,834.1 billion, successfully meeting our financial targets. In light of these strong results, we have declared a dividend payout ratio of about 30% after gaining approval from the Board of Directors and general shareholders’ meeting. Moving forward, we remain committed to a consistent dividend policy to enhance shareholder value and reward investor confidence.
While our financial performance was strong, the business environment was not easy. In particular, insured losses from natural disasters have continued to rise globally. In 2024, economic losses from natural disasters worldwide reached USD 320 billion, with 93% attributed to weather-related events. Insured losses exceeded USD 140 billion, marking the third-highest level since 1980. Climate change presents both risks and opportunities for the reinsurance industry, making predictive analytics and risk management critical for future growth.
Additionally, as the reinsurance pricing cycle has likely passed its peak and entered into a soft market phase, we expect competitive pressures to increase across many markets in the coming year.
In 2025, we will continue to reinforce our core strengths while advancing our expertise in risk management to better navigate natural catastrophe risks and other emerging challenges. Utilizing sophisticated risk assessment tools such as catastrophe (CAT) models, we will further refine our ability to forecast large-scale disasters and manage potential losses. Our commitment to climate risk management will also enable us to provide our clients with stable and sustainable solutions.
Furthermore, we are strengthening our ESG initiatives to drive long-term sustainable growth. Since 2022, we have embedded ESG principles into our operations, establishing a strong foundation for sustainable management. In 2023, our ESG Committee defined clear improvement objectives and published a strategic roadmap. These efforts were recognized in 2024 when Korean Re received an upgraded rating of A+ (Highly Outstanding) in the Social (S) category from the Korea Institute of Corporate Governance and Sustainability, while maintaining an overall ESG rating of A. We firmly believe that long-term business success must go hand in hand with sustainability, and we are committed to positioning Korean Re as a leader in ESG.
A significant milestone for this year is our head office relocation, as we prepare for a major redevelopment project. While we are temporarily moving out of the head office building that has been our home for nearly four decades since 1985, this transformation marks the beginning of an exciting new era. Our new headquarters will be an ecofriendly, cutting-edge building, designed to reduce carbon emissions, enhance connectivity with the community, and incorporate state-of-the-art smart office features. We are excited to embark on this new chapter and greatly appreciate your continued support and encouragement throughout this transition.
As the only reinsurance company in Korea backed by domestic capital, we take immense pride in leading the advancement of risk management practices and establishing ourselves as a global top-tier reinsurer. Although challenges undoubtedly lie ahead, we are prepared to meet them with resilience and adaptability.
I extend my deepest gratitude to our shareholders for your unwavering support and trust. I wish you and your loved ones a healthy and prosperous year ahead, and look forward to your continued partnership with Korean Re.
Thank you.
Jong-Gyu Won
President and CEO
We are pleased to report that our net income reached KRW 316.7 billion in 2024, exceeding our target level.
In 2024, Korean Re remained committed to strengthening our profit fundamentals, enhancing risk management, and optimizing our portfolio. These efforts led to outstanding financial results for the year. As we strategically capitalized on the hard market conditions caused by frequent natural catastrophes, such as floods in Dubai and significant loss creep related to the 2023 hailstorm in Italy. Another key driver behind this robust profitability was an improvement in our international business results in spite of major natural catastrophes, such as floods in Dubai and significant loss creep related to the 2023 hailstorm in Italy.
We are pleased to report that our net income reached KRW 316.7 billion in 2024, exceeding our target level. Total assets grew by KRW 1,094.1 billion year on year to KRW 13,160.4 billion, while invested assets increased by KRW 1,100.4 billion to KRW 10,834.1 billion, successfully meeting our financial targets. In light of these strong results, we have declared a dividend payout ratio of about 30% after gaining approval from the Board of Directors and general shareholders’ meeting. Moving forward, we remain committed to a consistent dividend policy to enhance shareholder value and reward investor confidence.
While our financial performance was strong, the business environment was not easy. In particular, insured losses from natural disasters have continued to rise globally. In 2024, economic losses from natural disasters worldwide reached USD 320 billion, with 93% attributed to weather-related events. Insured losses exceeded USD 140 billion, marking the third-highest level since 1980. Climate change presents both risks and opportunities for the reinsurance industry, making predictive analytics and risk management critical for future growth.
Additionally, as the reinsurance pricing cycle has likely passed its peak and entered into a soft market phase, we expect competitive pressures to increase across many markets in the coming year.
In 2025, we will continue to reinforce our core strengths while advancing our expertise in risk management to better navigate natural catastrophe risks and other emerging challenges. Utilizing sophisticated risk assessment tools such as catastrophe (CAT) models, we will further refine our ability to forecast large-scale disasters and manage potential losses. Our commitment to climate risk management will also enable us to provide our clients with stable and sustainable solutions.
Furthermore, we are strengthening our ESG initiatives to drive long-term sustainable growth. Since 2022, we have embedded ESG principles into our operations, establishing a strong foundation for sustainable management. In 2023, our ESG Committee defined clear improvement objectives and published a strategic roadmap. These efforts were recognized in 2024 when Korean Re received an upgraded rating of A+ (Highly Outstanding) in the Social (S) category from the Korea Institute of Corporate Governance and Sustainability, while maintaining an overall ESG rating of A. We firmly believe that long-term business success must go hand in hand with sustainability, and we are committed to positioning Korean Re as a leader in ESG.
A significant milestone for this year is our head office relocation, as we prepare for a major redevelopment project. While we are temporarily moving out of the head office building that has been our home for nearly four decades since 1985, this transformation marks the beginning of an exciting new era. Our new headquarters will be an ecofriendly, cutting-edge building, designed to reduce carbon emissions, enhance connectivity with the community, and incorporate state-of-the-art smart office features. We are excited to embark on this new chapter and greatly appreciate your continued support and encouragement throughout this transition.
As the only reinsurance company in Korea backed by domestic capital, we take immense pride in leading the advancement of risk management practices and establishing ourselves as a global top-tier reinsurer. Although challenges undoubtedly lie ahead, we are prepared to meet them with resilience and adaptability.
I extend my deepest gratitude to our shareholders for your unwavering support and trust. I wish you and your loved ones a healthy and prosperous year ahead, and look forward to your continued partnership with Korean Re.
Thank you.
Jong-Gyu Won
President and CEO