QBE CEO John Neal has reshaped the management of the group and devised a more “global” strategic focus in changes revealed this morning at the company’s 2012 results announcements.

He is replacing CFO Neil Drabsch and North American CEO John Rumpler and bringing Europe CEO Steve Burns to Sydney.

The group announced a cash profit of $US1.04 billion ($1.01 billion), up 32% on the 2011 result, and an 8% rise in net profit after tax of $US761 million ($740.8 million) – below the “greater than $US820 million” guidance given in November.

Overall gross written premium rose only 1%.

The insurance profit was up 16% to $US1.26 billion ($1.22 billion), supported by a strong investment result. By contrast, the underwriting result was “disappointing”.

The group’s Australian and New Zealand operations recorded premium growth of 12% to $US4.81 billion ($4.68 billion).

The changes at the top put a virtually new team in place, with the departure of CFO Neil Drabsch and North American Operations CEO John Rumpler marking the end of the executive group that surrounded Mr Neal’s predecessor, Frank O’Halloran.

Mr Burns will move from heading up the European Operations in London to take over as CFO from Mr Drabsch, who has been in the position for 18 years and will retire in February. Mr Burns’ replacement from November is Deputy CEO European Operations Richard Pryce.

Mr Rumpler will be replaced from April 1 by former XL Group CEO of Insurance Operations David Duclos. Mr Neal said this morning that he “cannot overplay the depth and breadth of local US insurance industry experience and pedigree that David brings to the role”.

The appointment of former Allianz Asia-Pacific Regional CEO David Fried to head up QBE’s Asia-Pacific division was announced on January 8.

Mr Neal says the group will now move to a new strategic focus, evolving from “a regionally focused multinational to a fully integrated global insurer”.

He says the key points of the new strategy are a focus on the group’s key businesses; collaboration between the worldwide businesses to achieve economies of scale; a strong, flexible and efficient financial model; and expansion into new markets and territories “where we can build leadership positions”.

Mr Neal says the year ahead will see premium rates firming by an average of 5%, most notably in Australia, New Zealand and the US.

More information and market reaction in our regular bulletin on Monday.