FBD Holdings has reported a profit before tax of €77 million for 2024, which is down from €81.4 million in the previous year.

The company said that the performance was underpinned by continuing growth in insurance revenue, positive underwriting results, including "favourable" prior year reserve development of €26.9 million and positive investment returns of €26.1 million.

Total operating profit was down from €92.64 million in 2023 to €86.45m last year.

Insurance revenue was 10% higher last year at €441 million. Gross written premium, which is the largest part of insurance revenue, was up 12.5% on 2023 at €460.2 million.

FBD Holdings said that farmer, business and retail sectors all experienced growth in 2024. It added that "new business growth has remained consistently strong in our farmer sector".

The insurer's policy count increased by 6.3%, with 33,000 additional policies written in 2024.

The financial results show that property notifications increased 23% compared to 2023, with Storm Isha in January 2024 and Storm Darragh in December 2024 contributing significantly to this.

The average cost of property claims increased by 20% in 2024, due to a change in mix of claims, inflation and business interruption settlements.

When it comes to motor damage claims, the company said these costs are beginning to stabilise in the second half of 2024.

However, it added that there is evidence of continued inflationary pressure in commercial motor damage claims.

Weather and large claims were higher than that in 2023, primarily driven by Storm Isha and Storm Darragh, with a net cost to FBD Holdings of €14.7 million.

Average injury average settlement costs were in line with the previous year, but were 7% lower than 2020.

The company said that this signalled "a generally positive trend since the introduction of the Personal Injury Guidelines in 2021".

The average insurance premium increased by 5.8%, due to customers increasing their level of insurance cover, changing business mix and inflationary impacts.

The company said that private motor average premium increased by 5.5%, in response to high levels of inflation and frequency experienced over 2022 to 2024 in relation to damage claims.

Home and farm average premiums increased by 10.3% and 8.1% respectively, which the company said reflected increases in property sums insured as rebuild costs continued to rise.

As previously reported, Storm Éowyn, which occurred on January 24, is set to be the single biggest storm in FBD's history.

The storm followed the very cold spell of early January, which led to a significant amount of snow related damage.

"While it is still too early to determine the total number and gross cost of claims from the weather events of January 2025, FBD's reinsurance programme provides cover for extreme events, and this will mitigate the financial impact to FBD," the company said.

The overall net cost (including reinstatement premium) for the January 2025 weather events is currently expected to be approximately €30 million.

FBD said that the economic outlook for 2025 is positive with the Irish economy expected to operate at close to its sustainable capacity.

It warned that "the outlook beyond 2025 is less certain due to the potential impact of policy changes from the new US administration which may result in tariffs and trade wars, with a resultant impact on inflation".

Tomás Ó Midheach FBD Holdings group chief executive, said that 2024 "has been another year of strong performance".

"This result is underpinned by increased business growth, positive underwriting results and increased investment returns," he said.

"Our sustained growth and prudent capital management has enabled us to deliver four successive years of dividends, demonstrating the strength of the business.

"Annual dividend sustainability while maintaining a strong capital position, continues to be one of our key goals," he added.

The board has proposed to pay an ordinary dividend of 100 cent per share for the 2024 financial year, which is unchanged from the previous year.

Subject to the approval of shareholders at the Annual General Meeting (AGM) to be held on May 8, 2025, the final dividend for 2024 will be paid on June 11, 2025 to the holders of shares on the register on May 2, 2025.

The FBD Holdings group chief executive also acknowledged the impact of recent weather events.

"We are wholly committed to supporting those who rely on us at a time like this. Our priority is to ensure that claims are processed quickly and fairly," Ó Midheach said.