Good morning, and thank you very much for joining us today. We are going to be addressing the issue of earnings, a general presentation, and then we will be happy to take questions.
Thank you, Javier, and good day. As we have been doing recently, I am going to first take a look at how our business has evolved, and then José Luis Jiménez will focus on the main numbers. As you know, financial information, according to IFRS, is shared on a half-yearly basis. Every quarter, because we are transparent, we provide updates to the market regarding the evolution, local homogenous, banded rules and regulations. From a macro point of view, we are living demanding times, although economic activities globally continues to grow in a healthy manner. But we observe that there is a slight cooling down in some markets.
High debt levels and inflation, which continues to condition the behavior and performance of families, households, and companies. Central banks are therefore tightening their policies, hiking interest rates, and this affects, of course, a part of our business. All of this is in the midst of a geopolitical context, which, as you well know, is very complex and calls for a very prudent approach. Despite this environment and setting, let me underscore that our earnings are very solid. We have obtained those EUR 924 million. That is more than what we had in the previous period last year. Premiums, as you can see, EUR 22,827 million, and that consolidates the hike that we have seen this year. Let me also underscore the fact that these earnings, these results, onboard the results of the earthquake in Colombia in August. That has had an effect of EUR 83 million for the group.
Even despite an event of this nature, MAPFRE sees this double-digit growth, which again underscores that our business model is robust because we are diversified and we are disciplined in risk management. We continue to improve our profitability. Combined ratio is 92.3%, and our ROE is at 12.8%. We see that this is proof of the capacity we have to continue to grow profitably, sustainably, even as I said, in less favorable economic settings. Our diversification, geographies, business areas-wise, continues to be one of the main factors that make us a little bit different. Our performance, I would say, is spectacular. Iberia, Brazil, North America, and MAPFRE RE. There will be questions, but I am going to step ahead, and I am going to say that in July, we talked about Safety Insurance acquisition and the investment in Tuio. Well, they are coming along as forecast.
Before I go into the specifics of the numbers in question, let me just say that our healthy results allows us to think about EUR 0.08 per share in the interim dividend. This is going to happen on November 26. Now I am very happy to give the floor to José Luis Jiménez.
Good morning, all. Thank you, José Manuel. You see here the first nine months of the year. We see that we are talking about EUR 924 million, a growth of 11.5% if we compare like for last year. Premiums are at EUR 22,827 million. That is a growth of 2% and 0.7% at constant exchange. Main lines of business, we see that 10% is what is represented in accident and health and motor 2.2%. We see that there is a positive evolution in practically all regions. We see that 3.7% growth in life savings. In the second quarter of 2025, we saw that without that, growth would be 12.6%. In a nutshell, we observe that the trends that we have been addressing throughout this fiscal year continue and consolidate quarter after quarter. We see that we are doing well in all of the currencies we have a presence in.
Now, by regions and units, this is how we have grown. Iberia, EUR 413 million, which is 19.19% more, and Spain contributes EUR 404 million thanks to ongoing improvement in the profitabilities and combined ratio realities. In Brazil, over EUR 203 million. We see that in fact, the profitability is excellent technically, and a combined ratio of 76.5%. The rest of LATAM, we see EUR 100 million. That is the profit. Evolution has been conditioned by more catastrophes, more adverse weather events, and I would underscore the earthquake in Colombia, as well as the impact of different fiscal and regulatory measures that have been implemented in some markets, especially Colombia and Mexico. This has been addressed on previous occasions.
Despite these impacts, let me underscore that the region continues to grow premiums-wise, especially life and health evolving in a healthy way. In North America, we evolve in a solid way, a profit of EUR 112 million, which is 12.4% more than in the past year, and an improvement in the combined ratio. EMEA continues to be subject to Italy. We see profits in the rest of the region. Finally, MAPFRE RE continues to do in a very satisfactory way. The number is EUR 286 million in profits, which is 11.8% more, even if we discount the Colombia earthquake effect with an impact of approximately EUR 75 million. Also, positive when we talk about MAWDY, that is also doing well.
Now, as to investments and cash, we continue to have a prudent and balanced structure. We see that equities and mutual funds are EUR 9.5 billion, which is 5.4% more ever since the beginning of our fiscal year. This is thanks to our earnings and to the healthy performance of currencies. We benefit from a setting which continues to be very good for our investments and continues to help us generate financial revenues. From a technical point of view, we would see that 93.5% is non-life, and this within our strategic planning, that is 93% and 94%. I would especially underscore auto. The combined ratio is at 99%. We have progressed notably in Iberia and North America.
Also, general insurance has a combined ratio of 81.8%. Our solvency ratio is at 208.8%. That is our solvency ratio, which is well beyond the group's aim, and which reflects a very, very positive stance. I would say also that the board has approved these EUR 0.08 per share as interim dividend, which will be paid out on November 26, which is 14.3% more than the interim dividend in the last year. This is the sixth increase, the sixth hike in the past few years. The total payout for the year 2026 will be of EUR 0.19 per share or EUR 585 million. That would be the total dividend. In the past five fiscal years, we have distributed a total amount of over EUR 4.6 billion. Finally, as José Manuel pointed out, we acquired Safety Insurance.
Everything is advancing according to our plans, and we will be seeing novelties at the beginning of 2027. Once the Safety board approves it, we will be issuing debt in order to finance the transaction, but always controlling our appetite, thinking about our solvency ratio and our leverage ratio, which continue to be reduced for a company such as ours. We're convinced that this is going to bolster our position in one of the most relevant markets for us.
Well, thank you so very much, José Luis. I would conclude by saying that the first nine months of the year have seen solid growth, a very solid year. We see a robust model. We see that we're supported by diversification. This speaks for the solid nature of our model, which is based on discipline, financial prudence, and an execution which falls in line with our strategy. We continue to improve our profitability, we continue to be competitive, and we continue to achieve the objectives which we set forth in our strategic plan, which is coming to an end now. Of course, we continue to carefully address the risks that are a part of our lives because of the setting. But the final portion of this fiscal year is based on the earnings of a solid year.
Our teams, our capacity within MAPFRE to create value in a sustainable manner. The acquisition, which we recently announced in the U.S., allows us to be very optimistic when we think about our upcoming strategic plan, which will again focus on profitable growth. We've been working on this for months now, and we will be giving further details in the upcoming year. Thank you so much for accompanying us, and we have time now for questions.
Questions now from Rafael Sierra from SegurosNews, who says, "MAPFRE growth in Spain is less than the average and actually shrinks in auto. Does this have to do with pricing strategy?"
My response, Rafael, is thank you for the question. Secondly, let me again underscore the outstanding economic results with our combined ratio in MAPFRE of 94.2%, which I think is very close to those historical ratios that we've seen in Iberia. Furthermore, we need to underscore that MAPFRE Spain's issue is affected by two major policies that were issued in 2025. One was life and savings, and the other one was transport. Without these two events, our underlying growth for MAPFRE España, MAPFRE Spain, would have been around 7%, which is positive. There are positive increases also in health and double-digit, about 15.5%, in the agreement reached with Banco Santander and also with our digital channels.
Apart from all of this, I would also want to underscore that we believe that the relevant number isn't really the number of policies, but the number of customers. Customer-wise, we fortunately continue to grow in MAPFRE Spain in a very systematic manner. Why? Well, because it's the consequence of the service we provide, which has just been published and studied at a market level by ICM, and we see that our NPS is of 21%, which is approximately twice what the rest of the market has. Our best NPS in auto and in home insurance, we have an NPS, a net promoter score, of 23%. So, we're fine. We're optimistic, and we continue to work in order to ensure that the growth of Spain continues to be as solid as always.
A question now from Julio Muñoz from Capital Madrid. Well, actually it's two questions. If we think about Brazil, could you talk about the impact of the elections in the country? Miguel Moreno has the same question. Are we expecting short-term impacts?
Let me answer the first part of the question. As you know, first and foremost, we do not really issue statements regarding policies, and we are comfortable working with any government, any administration that is voted into power after democratic elections are held. This is the case. We have just seen that our earnings, our results have been excellent under the current administration, and we believe that we are not going to have to overcome notable difficulties.
The second part of the question has to do with the European Central Bank's tightening policy. The journalist says, "Would this be good for non-life and savings? But it might affect us because there might be a lesser investment in insurance." What would you say?
Thank you, Julio. I think that the increase in rates that we have seen throughout this fiscal year, I would say that technically speaking, this is good for insurance companies, life and non-life. I am talking about the investment portfolio. As a matter of fact, we have increased the acquisition RRI by approximately 55 points throughout the exercise, and this speaks for more financial revenues, and this is reflected in our bottom line. Now, as to savings, I think that there is an advantage there because this is a very competitive market that we are in, and we are launching savings and investment products that are very interesting. So it is good because we can actually manage assets, funds, pension plans, about 11%.
But also, as we have seen over the past few months, we have launched products with the profitability of approximately 3%, which have been very attractive and which we have successfully placed in the market because our customers understand that it is an interesting alternative. Now, we know that if the hikes were to be very notable, of course, it would affect the economy in general, but we do not think we are quite there yet. So foreseeably, the hikes in interest rates, we are talking about 25 basis points, 50 basis points, 75 basis points. This would be what the BCE thinks. Well, that might be definitely something that would affect the savings area, especially perhaps for MAPFRE, because MAPFRE is focusing on planning.
Now, a question from David Leonor asking about the premiums in Iberia.
Let me respond by insisting that we have answered before. The number of clients is growing, and we, on occasion, have customers who remain with us as clients in one of the business lines, that would be auto, which is of course very price sensitive. But for the most part, those customers return. They come back because the service is different. And these are customers who, in the midterm, usually return to the company.
Yes, another question about Iberia from Aitor Caballero from el Economista. And the piggyback to that question is, where do you stand in Italy or Turkey where there are profitability issues?
Let me answer by saying that in EMEA, Germany, Malta, Turkey, Germany, again, I would summarize by saying Malta is doing very nicely. The growth and the profitability are extraordinary. Germany has turned around, if you think about the business, and it is now growing with combined ratios that are not at 100%. Italy now is a different case. In the second quarter, there was an increase in the provisions because of inflation and some channels we are no longer present in. Right now, our Italy unit continues to grow, but we know that we need more critical mass in order to make this transaction profitable. We're, I think, on the right path. Turkey now. Turkey is a little bit different.
Turkey is a country that has been harder hit by the reality of life in the Middle East, especially if you think about the effects of inflation. Specifically, business-wise, health, that business line has suffered a little bit more than forecast. We've also observed that weather has been a major claim in Turkey, but the interest rates in the country allow us to see that our financial revenues continue to grow. We trust that Turkey, as soon as the region recovers stability, will continue to contribute in a stable manner as it has done for years.
Marta Serafino from Reuters has a question. Would you say that there's going to be a manifesto regarding AI, and how have you been affected over the past few months when you think about those Rebel AI agents. Are they doing what they should be doing? Has your vision changed regarding the use of AI? Have you bolstered controls on your software?
Let me answer by saying that the evolution of these so-called agents, the rebel agents, I think that all of us are concerned. Everyone is concerned. We were strongly defended within the company. We were secure, and we do have a specific development which will have our AI within MAPFRE being within those limits, if you will. We have a plan. It's been approved by our executive committee. It is underway, and we know that all AI development within MAPFRE, in any one of our countries, will be subject to common platforms which have security ingrained. So, we know that AI development, AI progress, is going to be subject to limitations.
Now, we believe that AI, of course, there are implicit risks which we need to take into account, but it will allow us to improve the business activity and improve the customer experience. We have hundreds of cases, and we know that AI is working for our customers and for our productivity.
Miguel Moreno from El País asks about the elections in Brazil. That's been answered. He also asks what factors would explain that 32% growth in investment funds.
My answer to that would be it has to do with financial planning, I would say. We need to remember how families and companies and households want to plan for their future. As we grow older, we want to face our future years, and we are doing our absolute utmost to provide advisory services to our customers. We see this in Spain, of course. We're doing it via MAPFRE Spain and specialized units, MAPFRE AM, MAPFRE Patrimonial. We're working, we're striving to help our customers plan. Also, Brazil comes to mind. Right now, the very high interest rates explain that our products on the market actually be much sought-after. MAPFRE has always had a very good track record.
We are a committed and engaged investor. We abide by the same strategies and remember what we do with our portfolio and the products that we manage or recommend, and that guarantees that our framework is very much, as I said before, sought after by investors.
Miguel Moreno also wants to know about debt incurred to acquire Safety.
The answer is that our number is about EUR 1.3 billion. We provided this update in June. We are updating, and we are going to be issuing debt that would be subordinated and senior debt, and we will see as the market evolves, what the amounts actually are. But in principle, we said EUR 700 million senior, EUR 500 million subordinated. Maybe it will be a little bit less senior, a little bit more syndicated, but we will see this in upcoming weeks. First, on November 3rd, the Safety EGM needs to approve the transaction, and then we will see what the markets do in order to really choose the best possible moment.
Ladies and gentlemen, we have no further questions. Of course, should you have further questions throughout the day, we will be available. Just let us have your questions or comments, and we will be happy to respond. Thank you all so very much for having joined us this morning, and good day.