Tower has revised its guidance for the financial year ending September 2025, expecting underlying net profit after tax to be in the range of $100 million to $110m.
This is a significant increase from the previous guidance of $70m to $80m.
The company attributed the change to the assumption of full utilisation of the $50m large events allowance.
Tower has so far recorded $7m in large events costs in FY25, and if this remains unchanged, $31m will be returned to underlying NPAT at year-end.
Tower's customer base has grown by 5% to 318,000, with a 4% increase in policy numbers, primarily in the New Zealand house insurance portfolio.
However, the company revised its guidance for gross written premium growth to 2% to 3% and for the management expense ratio to around 31%.
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