"We have again set ourselves a high profit target, even though a more difficult environment is to be expected in the insurance and capital markets this year," Munich Re Chief Executive Nikolaus von Bomhard said in a statement.
Von Bomhard said prices and margins in reinsurance were under some pressure but the company aimed to sustain at least 3 billion euros in annual net profit in the years ahead.
"Results and outlook are in line with our expectations," said DZ Bank analyst Thorsten Wenzel in a note to clients, in which he confirmed a "buy" recommendation and fair value of 150 euros on the share.
Munich Re's 2008 goal is about 500 million euros below the record net profit of 3.9 billion it posted in 2007, which was flattered by real-estate and stock sales as well as a one-off tax gain of 385 million euros.
Munich Re had already given the key points of its 2007 results last month, one of several companies to bring forward its earnings announcement in an effort to calm investor concerns about exposure to U.S. sub-prime investments and bond insurers.