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Arig’s Revenues And Profits Up For First Quarter

Source: Corporate Communications

Arig’s Revenues And Profits Up For First Quarter

Bahrain: The Arig Group announces consolidated net profits of US$ 2.8 million for the first quarter of 2014 (Q1 2013: US$ 2.2 million). A marginally higher combined ratio of 82.1% (Q1 2013: 82.0%) and lower underwriting returns of US$ 0.5 million (Q1 2013: US$ 0.7 million) were offset by higher income from investments of US$ 6.8 million (Q1 2013: US$ 6.5 million).

Gross premium income increased by 15.2% to US$ 207.4 million (Q1 2013: US$ 180.0 million) over the quarter. Organic growth from Arig’s engagement in the Lloyd’s market and income from the parent company’s Specialty and Life business contributed to the growing portfolio while strategic cutbacks at its consolidated subsidiary Takaful Re moderated an otherwise solid start into the year.

Yassir Albaharna, CEO of Arig, commented: “The strengthening of our reserves following some mid-size losses on the Indian Sub-continent placed a slight blemish on what I would otherwise have called a strong first quarter. But key figures are all pointing into the right direction which gives us confidence in a highly challenging business environment.”

Arig’s shareholders’ equity increased to US$ 254.4 million on 31st of March, 2014 (end of 2013: US$ 249.2 million), with a book value per share of US$ 1.28 for the same period (end of 2013: US$ 1.26).

Financial Highlights as at 31 March 2014 (in US$ million)

As at 31 March Full Year
2014 2013 2013
Gross premiums written 207.4 180.0 262.0
Net premiums written 189.9 176.7 246.3
Technical result 2.0 2.2 20.8
Underwriting result 0.5 0.7 13.4
Combined ratio 82.1% 82.0% 97.8%
Investment income 6.8 6.5 20.4
Operating expenses 7.7 6.8 28.9
Net profit 2.8 2.2 18.6
Investment assets 677.0 645.7 642.2
Net technical provisions 760.9 726.9 619.6
Shareholders’ equity 254.4 237.2 249.2
Total assets 1,211.3 1,146.8 1,056.6
Book value per share (US$) 1.28 1.20 1.26

About Arig

Arig is one of the largest Arab-owned, professional reinsurance providers in the Middle East and North Africa. Arig is listed on the stock exchanges in Bahrain and Dubai and offers a wide range of reinsurance products and services. Arig’s subsidiaries include Takaful Re (Dubai), Gulf Warranties (Bahrain) and Arig Capital Ltd. (UK). Arig is also an equal partner in the joint venture Hardy Arig Insurance Management HAIM (Bahrain). Additional information about Arig can be obtained at www.arig.net

For further information, please contact Amel Dardour, Corporate Communications, Tel: +973 17 544 357, Fax: +973 17 531 155, or email: dardour.a@arig.com


© 2022 Arab Insurance Group (B.S.C.) is a reinsurance firm regulated by the Central Bank of Bahrain