Finance
Hannover Re boost dividend target
Published by Global Banking and Finance Review
Posted on October 5, 2025
1 min readLast updated: January 21, 2026
Global Banking and Finance Review
Company
Published by Global Banking and Finance Review
Posted on October 5, 2025
1 min readLast updated: January 21, 2026
Hannover Re plans to raise its dividend target to 55% of net profit, integrating special dividends into the main payout from 2025.
MUNICH (Reuters) -Hannover Re, the world's third-largest reinsurer, said it would target bigger dividends in future, aiming to pay out 55% of net profit compared to the 46% it has paid over the past year.
"In view of its very good capitalisation, the payout ratio for the regular dividend will be raised to around 55% of IFRS Group net income," the company said in a statement on Sunday.
Payments until now included a so-called special dividend, which would in future be integrated into the main dividend, it added. The new policy will take effect from the 2025 financial year, it said.
(Writing by Thomas Escritt; editing by Diane Craft)
A dividend is a payment made by a corporation to its shareholders, usually in the form of cash or additional shares, representing a portion of the company's earnings.
Net profit is the amount of money a company has left after all its expenses, taxes, and costs have been subtracted from its total revenue.
The payout ratio is the fraction of earnings a company pays to its shareholders in dividends, expressed as a percentage of the company's total earnings.
Corporate governance refers to the systems, principles, and processes by which a company is directed and controlled, ensuring accountability and fairness in its relationships with stakeholders.
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