Saudi Enaya Cooperative Insurance Co. announces the annual financial results for the period ending on 31-12-2016
Element | Current year | Previous year | % Change |
---|---|---|---|
Net profit (loss) before Zakat | -25,824 | -51,996 | 50.33 |
Earning or loss per share, Riyals | -1.29 | -2.6 | - |
Surplus (deficit) of insurance transactions less returns of policy holders investment (operating transactions results) | -28,627 | -47,525 | 39.76 |
Gross written premiums (GWP) | 128,825 | 70,933 | 81.62 |
Net written premiums (NWP) | 97,026 | 42,373 | 128.98 |
Net incurred claims | 33,888 | 20,362 | 66.43 |
Net profit (loss) of policy holders investment | 0 | 0 | - |
Net profit (loss) of shareholders capital investment | 4,962 | -2,673 | - |
Pre operating expenses (first operation year) | - | - | - |
All figures are in (Thousands) Saudi Arabia, Riyals |
Element | EXPLAINATION |
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Reasons of annual financial results | 'The net loss for the year ended 31 December 2016 amounting to SR 25,824K, compared to a net loss of SR 51,996K for the year ended 31 December 2015, improved by SR 26,172K representing an improvement of 50%. This improvement in results is due to a significant growth in the business, improved technical performance, reduced general and administrative expenses, increased investment returns and various other aspects of business. The Gross Written Premiums have increased by SR 57,892K, an increase of 82% compared to the same period last year due to an improved sales strategy and various other initiatives taken by the Company. Net earned premiums improved by SR35,811K represented by an increase of 135%, versus the same period of 2015. The deficit from Insurance Operations for 2016 has improved by SR18,898K (SR28,627K versus 2015 deficit of SR 47,525K). Investment income has improved by SR 7,635K representing a 286% improvement (gain of SR 4,962K for 2016 compared to a loss of SR 2,673K in 2015). |
External auditor's report containing reservation | The joint auditors annual report on the financial statements mentions that the financial statements have been prepared in accordance with International Financial Reporting Standards and not in accordance with the accounting standards generally accepted in Kingdom of Saudi Arabia. However the Company assures that there are no significant differences in the results contained within the financial statements due to using International Financial Reporting Standards rather than the SOCPA accounting standards. |
Other notes | 1.Total shareholders' equity (there is no minority interest) for the period ended December 31, 2016 reached 171,747K SAR compared to 200,271K SAR for the same period last year, a decrease of 14%. 2.Earning per share is calculated by the weighted average number of shares amounting to 20,000K for 2016 and 20,000K for 2015. Noting that earning/loss per share calculated before Zakat and income tax. |
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