Swiss Re has reported first-quarter net income of almost $US656 million ($876.16 million), down from $US1.23 billion ($1.64 billion) in the corresponding period last year.

The reinsurer has described the result as “solid” in the face of $US350 million ($467.46 million) in claims from Cyclone Debbie and a challenging market environment.

There were also large one-off prior-period gains.

Gross written premium dropped 10.5% to $US10.2 billion ($13.62 billion) due to a “disciplined underwriting approach”, and the combined operating ratio worsened slightly to 95.6%.

CEO Christian Mumenthaler says he is satisfied with the performance.

“We have responded decisively to the continued pricing pressure across the industry by not accepting unprofitable business, and our top line clearly shows that,” he said.

“Events such as Cyclone Debbie do take a toll on our short-term performance, but more than anything, they take a toll on people’s lives, destroy infrastructure and weaken economies.

“At the same time, natural catastrophes like this one underscore the purpose of the insurance industry overall.

“It is during such times that we can deliver our core services and demonstrate the value we provide to our clients and to society.”