Zurich Financial Services Group has reported net income of $4.2 billion for the first nine months of 2007, a 25% increase over the same period last year.

Business operating profit (BOP) of the company was $4.9 billion, an increase of 10%. The company recorded an annualized return on equity (ROE) of 21.4% and annualized BOP ROE after tax of 18.9%.

General Insurance gross written premiums and policy fees were $27.3 billion, up 4%. Global Life new business value was up 44%. The company said that shareholders’ equity was $28.4 billion, an increase of 11% over year end after paying both the dividend and completing the share buyback.

James Schiro, CEO of Zurich Financial, said: I am pleased with the performance of our businesses as they are generating record profits in today’s challenging financial markets. As our results indicate, we are growing in our selected markets, maintaining a keen focus on profitability, and benefiting from sound risk and investment management strategies.