IAG has responded to a query from the Australian Securities Exchange after its shares fell 12% on February 13 following a first-half earnings report. 

Share price moves of more than 10% are an automatic trigger for the ASX to check if there has been a breach of rules requiring continuous disclosure of price-sensitive information.  

The insurer’s first-half gross written premium rise of 6% to $8.43 billion compared with an increase of 12.5% a year earlier and 11.3% across fiscal 2024.  

“IAG does not consider that any measure of its statutory or underlying earnings for the half-year results ... differed materially from the market’s expectations,” IAG told the ASX. “IAG’s first-half results aligned to full-year market guidance, after the benefit of $215 million in favourable natural perils was excluded.”

The 6% GWP growth was consistent with guidance in August for “mid to high single digit” gains, and its insurance margin of 19.4% was above guidance of 13.5%-15.5%.

The half-year insurance profit of $957 million was above the expected contribution to an estimate for full-year profit of $1.4-$1.6 billion.

CEO Nick Hawkins said cost pressures have eased and a “moderation in premium increases we’re seeing across our portfolios is, of course, a positive for our customers”.