Saudi Enaya Cooperative Insurance Co. announces the interim financial results for the period ending on 30-06-2017 (Six Months)

30 July 2017 09:17 AM

ENAYA 8311 66.97% 18.20 7.30

Element	Current quarter	Similar quarter for previous year	% Change current	Previous quarter	% Change previous
Net profit (loss) before Zakat	-3,475	-5,511	36.94	-6,556	47
Surplus (deficit) of insurance transactions less returns of policy holders investment (operating transactions results)	-4,356	-5,538	21.34	-7,204	39.53
Gross written premiums (GWP)	66,246	36,950	79.29	48,995	35.21
Net written premiums (NWP)	65,301	21,973	197.19	47,807	36.59
Net incurred claims	20,452	8,025	154.85	19,620	4.24
Net profit (loss) of shareholders capital investment	1,166	812	43.6	822	41.85
All figures are in (Thousands) Saudi Arabia, Riyals

Element	Current period	Similar period for previous year	% Change
Net profit (loss) before Zakat	-10,031	-15,080	33.48
Surplus (deficit) of insurance transactions less returns of policy holders investment (operating transactions results)	-11,560	-15,496	25.4
Gross written premiums (GWP)	115,241	67,928	69.65
Net written premiums (NWP)	113,108	40,609	178.53
Net incurred claims	40,072	18,101	121.38
Net profit (loss) of shareholders capital investment	1,988	1,454	36.73
Earning or loss per share, Riyals	-0.5	-0.75	-
All figures are in (Thousands) Saudi Arabia, Riyals

Element	EXPLAINATION
Reasons of increase (decrease) for the quarter compared with same quarter last year	The reason for decrease in net loss for Q2 2017 amounting to SR 3,475K, compared to a net loss of SR 5,511K in Q2 2016, improved by SR 2,036K representing an improvement of 37% , due to growth in gross written premiums by SR 29,296K representing an increase of 79% and an increase in net earned premiums by SR 17,507K representing an increase of 109%. Other factor contributing to the improvement in results include improvement of shareholders' investment income by SR 354K representing improvement of 44%.
Reasons of increase (decrease) for the period compared with same period last year	The net loss for six months ended 30 June 2017 amounting to SR 10,031K, compared to a net loss of SR 15,080K for same period of 2016, improved by SR 5,049K representing an improvement of 33%. This improvement in results is primarily due to growth in gross written premiums by SR 47,313K representing an increase of 70% and an increase in net earned premiums by SR 35,601K representing an increase of 128%. Furthermore, shareholders' investment income improved by SR 534K representing an improvement of 37%. and the general and administrative expenses increased by SR 6,310 K representing a 32% increase to cater for the increased volume in operations.
Reasons of increase (decrease) for the quarter compared with the previous quarter	The reason for decrease in net loss for Q2 2017 amounting to SR 3,475 K, compared to a net loss of SR 6,556K for Q1 2017, improved by SR 3,081K representing an improvement of 47%, due to growth in gross written premiums by SR 17,251K representing an increase of 35% and an increase in net earned premiums by SR 3,835K representing an increase of 13% versus Q1 2017. Furthermore, the increase of shareholders' investment income by SR 344K representing an increase of 42% contributed to the improvement in results.
External auditor's report containing reservation	The joint auditors interim review report on the interim condensed financial statements mentions that the interim condensed financial statements have been prepared in accordance with International Accounting Standard 34 and SAMA guidance on accounting for zakat and tax.
Other notes	1-Total comprehensive loss for current quarter is SR 3,475 K compared to SR 5,511 K for the same quarter last year, an increase of 37%, and SR 6,556 K for the previous quarter, an increase of 47%. 2- Total comprehensive loss for the current period is SR 10,031 K compared to SR 15,080 K for the same period last year, an increase of 33%. 3-The accumulated losses as at the end of 30 June 2017 is SR 39,584 K which is 19.8% of the paid up capital. 4- Loss per share for the three months period ended 30 June 2017 of SR 0.17 per share versus SR 0.28 per share for the same period in 2016, improvement of 39%, and SR 0.33 per share for the previous quarter 2017, an improvement of 48%. 5- Total shareholders' equity (there is no minority interest) for the current period reached SAR 160,416K compared to SAR 183,091K for the same period last year, a decrease of 12%, and compared to Q1 2017 amounting to SR 164,491K which represents a decrease of 2.5% compared to Q2 2017.

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