Corporate results: Insurance companies post profits

Pakistan Reinsurance Company’s earnings decline 15.2%.

KARACHI:

Pakistan Reinsurance Company posted a net profit of Rs505.8 million for the first six months of 2014, down 15.2% from January-June 2013 when its earnings totalled Rs596.7 million.

In its directors’ report released on Wednesday, Pakistan Reinsurance told its shareholders that the company’s gross written premium for the half year ending on June 30 amounted to Rs3.3 billion, which was down 0.3% or Rs11 million from the corresponding figure of Rs3.4 billion recorded at the end of June 2013.

Net claims remained Rs1.1 billion, 6.6% up from Rs1 billion that the company received in the same six-month period of the last year.

The underwriting results after management expenses for the half year amounted to Rs466 million, up 22% from Rs382 million for the corresponding period of the last fiscal year.

Separately, East West Life Assurance Company posted on Wednesday a net profit of Rs3.5 million for the January-June period, which was in stark contrast with a net loss of Rs6.9 million that the company made in the comparable period of the preceding year.

Total net income for the six-month period clocked up at Rs71.8 million, down 21.6% from total net income of Rs91.6 million the company made in the same period last year.

IGI Insurance also released its half-year financial results on Wednesday. The company made a net profit of Rs377.9 million, up 32.4% from the earnings recorded in the first six months of 2013. Its earnings per share clocked up at Rs3.08 as opposed to Rs2.33 at the end of June 30, 2013.

Published in The Express Tribune, August 28^th, 2014.

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