Suncorp Group's shares plummeted to near two-year lows on Wednesday after the insurer reported a catastrophic first-half profit dive. Net profit after tax plunged to A$263 million from A$1.1 billion a year earlier, crushed by a surge in natural disaster claims and weaker investment returns. Sydney-listed shares tumbled nearly 5% to A$15.225, reaching their lowest level since March 2024. The company faced nine declared weather events during the half, generating over 71,000 claims at a net cost of approximately A$1.3 billion, driven by severe thunderstorms and hailstorms across eastern Australia.

Cash earnings also collapsed to A$270 million from A$828 million. Despite the earnings hit, Suncorp stated its underlying insurance margins remained resilient, with its trading ratio at 11.7%, near the top of its target range, supported by premium increases and growth in its consumer portfolio. The insurer declared a fully franked interim dividend of 17 Australian cents per share and reiterated guidance for gross written premium growth at the lower end of the mid-single-digit range in fiscal 2026.