Coface confirms its very good start to the year with first-half net income of €128.8m

Exceeding expectations, Coface achieves 14.3% annualized RoATE (Return on Average Tangible Equity), surpassing mid-cycle targets. The new strategic plan will be presented on 5th March 2024.

A double-digit growth

Turnover for the first half of the year: €960m, up 11.1% at constant FX and perimeter and 9.9% on a reported basis

  • Trade credit insurance rose +11.2% at constant FX, driven by increased client activity and growth in fee and commission income (+11.3%)
  • Client retention stood at a record high (94.4%); the price effect was still negative (-2.0%) but less so than in H1-22
  • Business information momentum continues with double-digit growth (+14.8% at constant FX); factoring up by +5.4%, reflecting clear economic slowdown in Germany and Poland


Net loss ratio at 40.3% in H1-23, up by 3.8 ppts; net combined ratio at 65.5%, up by 2.2 ppts (and +8.3 ppts compared to H1-22, excluding the impact of government schemes)

  • Gross loss ratio at 39.4%, up 7.4 ppts in a risk environment that is still normalising
  • Net cost ratio down by 1.6 ppt to 25.2% as a result of an improved product mix and high reinsurance commissions, while investments continue


Net income (group share) at €128.8m, including €67.7m for Q2-23; annualised RoATE at 14.3%

Estimated solvency ratio at 192% above the target range (155% - 175%)


Coface CEO's statement

In the first half of the year, Coface’s turnover grew by 11.1%, against a backdrop of falling commodity prices with lower energy prices easing, at least temporarily, inflationary pressures. With economic growth still weak particularly in China and Europe, and rising financing costs, the financial health of many companies is deteriorating. Since the beginning of the year, Coface, in close collaboration with its customers, has thus significantly stepped up its preventive actions on its risk portfolio.
Over the past quarter, Coface’s results amounted to €68m, a high level reflecting our proactive management of an increasing loss environment and tight cost control. Combined ratio for the quarter stands at 65.5% under the new IFRS 17 accounting standards.
Our strong performance is also reflected in the growth of services, such as business information, which recorded another quarter of double-digit increase (+14.8% during the first semester). All these elements have enabled Coface to deliver an annualised RoATE of 14.3% since the beginning of the year, well above its mid-cycle targets.
Finally, Coface will present its new strategic plan on 5th March 2024.

- Xavier Durand, Coface’s Chief Executive Officer