Wüstenrot & Württembergische AG ($WUW (+0,85%) ) presented its half-year results for 2026 today. My impression: Operationally solid, but with some question marks regarding new business and risks.
Key figures 👇
• Consolidated net income: €105 million → +15% compared to €91 million in the previous year
• Earnings per share: €1.11 → up from €0.96
• Equity: €5.0 billion
• Mortgage loan portfolio: €30.9 billion → +2.5%
• Net financial income: €213 million → more than doubled compared to €91 million
• Consolidated comprehensive income: €146 million
The Property and Casualty Insurance. Earnings came in at €108 million, slightly above the previous year’s level. Premium adjustments, portfolio growth, and low storm-related losses contributed to this result.
However: Home insurance remains a work in progress 🏠
New business volume in the residential segment fell by about 11% to €7.55 billion.
It’s interesting, however, to look at net new business by home savings total: This rose by 3.3% to €4.34 billion.
According to W&W, the decline in total new business is primarily the result of a more profit-oriented underwriting policy. Reducing volume at any cost can certainly make sense in the long term.
At the same time, the Housing segment’s earnings rose from -€51 million to -€12 million . Not yet a profit, but a clear improvement.
Personal Insurance: Ups and Downs
Premium income from new life insurance business rose by 5.2% to €1.86 billion.
Occupational pension plans performed particularly well, with +13.2%. Unit-linked insurance policies also grew by around 14%, according to the report.
The segment’s profit, however, fell from 33 to €26 million.
Property and Casualty Insurance Remains the Profit Driver
For me, this is the most important point of the first half of the year.
The segment generated €108 million in earnings , which is practically on par with the previous year.
Insurance revenue rose by 4.4% to €1.51 billion.
However, the net combined ratio deteriorated from 87.7% to 90.3%. This shows that profitability remains strong, but the tailwind from the exceptionally strong previous year is fading.
And the stock? 💰
At the end of the first half of the year, the W&W stock was trading at €14.60.
Since the beginning of the year, that represented a gain of just +0.4%. However, including the dividend of €0.65 per share, the stock posted a total return of 4.9%.
This means that, in my view, W&W remains more of a stock for investors focused on dividends, net asset value, and long-term operational improvement —rather than short-term growth.
Outlook for 2026
W&W confirms its previous forecast:
👉 Consolidated net income after taxes: €120–150 million
With €105 million already reported in the first half of the year, the target is fundamentally achievable.
At the same time, the environment remains challenging: W&W itself cites high interest rate sensitivity, rising loan loss provisions, geopolitical uncertainties, and potential headwinds from claims inflation and capital markets as key risks.
My Conclusion
The first half of the year is better than a first glance at individual new business figures might suggest.
✅ Earnings up 15%
✅ Construction loan portfolio growing
✅ Life insurance performing well
✅ Property and casualty insurance remains highly profitable
✅ 2026 forecast confirmed
❌ Residential segment continues to post a negative result
❌ New residential business down significantly
❌ Combined ratio worsens
❌ High dependence on interest rate and capital market developments
For me, W&W therefore remains an interesting value/dividend stock with turnaround potential. The key will be whether the residential segment can sustainably return to profitability and how stable the insurance results remain.
What’s your take on W&W after the half-year results—buy, hold, or stay away?
Source: Wüstenrot & Württembergische AG, Half-Year Financial Report as of June 30, 2026. (W&W Gruppe)
