Surplus (deficit) of insurance transactions less returns of policy holders investment (operating transactions results)
16,045
15,807
1.51
11,828
35.65
Gross written premiums (GWP)
157,114
160,437
-2.07
148,937
5.49
Net written premiums (NWP)
142,395
108,183
31.62
104,697
36.01
Net incurred claims
95,488
75,751
26.06
87,723
8.85
Net profit (loss) of policy holders investment
1,243
1,805
-31.14
576
115.8
Net profit (loss) of shareholders capital investment
1,215
1,746
-30.41
933
30.23
All figures are in (Thousands) Saudi Arabia, Riyals
Element
Current period
Similar period for previous year
% Change
Net profit (loss) before Zakat
37,308
40,640
-8.2
Surplus (deficit) of insurance transactions less returns of policy holders investment (operating transactions results)
34,879
36,336
-4.01
Gross written premiums (GWP)
680,965
681,939
-0.14
Net written premiums (NWP)
451,732
434,098
4.06
Net incurred claims
273,640
260,810
4.92
Net profit (loss) of policy holders investment
3,195
5,072
-37.01
Net profit (loss) of shareholders capital investment
4,295
4,332
-0.85
Earning or loss per share, Riyals
1.49
1.63
-
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 profit before zakat during the third quarter in 2017 compared to the profit for the same quarter in previous year was due to a increase in net claims incurred by 26% and an increase in general and administration expenses by 4% also an increase in inspection and supervision fees by 13%, also decrease in policy holders investment income by 31%, a decrease in commission income by 5% and a decrease in other underwriting income by 17% and a decrease in other income by 82%., despite the an increase in net earned premiums by 15%, a decrease in provision for doubtful debts by 57% and a decrease in policy acquisition costs by 5%.
Reasons of increase (decrease) for the period compared with same period last year
The reason for decrease in net profit before zakat during the nine months compared to the profit for the same period last year was due to an increase in net claims incurred by 5% and an increase in general and administration expenses by 13%, and an increase in provision for doubtful debts by 4%, decrease in other income by 74% and also a decrease in policy holders investment income by 37%, despite the increase in other underwriting income by 16% also a decrease in policy acquisition costs by 4% and an increase in net earned premiums by 5%.
Reasons of increase (decrease) for the quarter compared with the previous quarter
The reason for increase in net profit before zakat during the third quarter in 2017 compared to the previous quarter in 2017 was due to an increase in net earned premiums by 9% and an increase in commission income by 13%also an increase in policy holders investment income by 116% despite the increase in net claims incurred by 9% and an increase in policy acquisition costs by 3% also an increase in general and administration expenses by 2% and an increase in inspection and supervision fees by 42% and a decrease in other underwriting income by 22%.
Reclassifications in quarterly financial results
Certain re classifications were made in comparative figures to confirm to the current presentation.
Other notes
Total Comprehensive Income for the current quarter is SR 16,391 thousand compared to SR 17,372 thousand in the same quarter in previous year, decreased by 6% and compared to SR 11,512 thousand in the previous quarter, increased by 42%. Total Comprehensive Income for the current period is SR 37,308 thousand compared to SR 40,640 thousand in the same period in previous year, decreased by 8%. Earnings per share before zakat and reflects the increase in share capital of the Company which was agreed on the Extraordinary General Assembly dated 31-05-2015 (Corresponding to 13 Shabaan1436H). The share capital was increased from SR 100 million to SR 250 million that leads to an increase in number of shares from 10 million to 25 million. Basic and diluted earnings per share for the current period amounted to SAR 1.49 compared to SAR 1.63 for the previous period in 2016 Which was calculated based on weighted average number of shares which are 25,000 thousand shares for three Months period ended September 30, 2017. Accordingly shares for three Months period ended September 30, 2016 has also been reclassified and is calculated by dividing net earnings with weighted average number of shares which are 25,000 thousand shares. The total shareholder equity (no minority rights) at current period is 330,157 thousand versus 290,772thousand riyals for the same period of 2016 with an increase of 13%.
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