Manama: Arab Insurance Group (B.S.C.) (Arig) announced half-year net profits of US$ 11.4 million (1st HY 2007: US$18.6 million). The company’s core reinsurance business continues to perform better than for the same period last year. However, the volatility of the global financial markets resulted in lower investment income compared to 2007. In order to balance risk from reinsurance against capital market risk, Arig maintains a highly diversified investment portfolio, which is conservatively managed.
Arig’s reinsurance portfolio grew by 39% for the first six months with Gross Written Premium accounting for US$ 184.0 million (1st HY 2007: US$ 132.5 million). Life business and the growth dynamics experienced within the Non-Life portfolio continue to be key drivers of growth.
Shareholders’ equity stood at US$ 289.4 million and book value per share was US$ 1.37 at the end of June 2008.
The Company continues to expand on its already strong competitive position in the Afro-Asian region – despite a growing number of national and international players offering ample capacities to clients.
Financial Highlights as at 30 June 2008
|Gross Written Premium||183,974||132,457||249,968|
|Total Investment Income||15,339||27,446||53,693|
|Total Operating Expenses||16,874||12,480||29,170|
|Book Value per share (US$)||1.37||1.35||1.40|