Surplus (deficit) of insurance transactions less returns of policy holders investment (operating transactions results)
14,066
15,504
-9.28
16,045
-12.33
Gross written premiums (GWP)
123,612
119,867
3.12
157,114
-21.32
Net written premiums (NWP)
80,538
75,031
7.34
142,395
-43.44
Net incurred claims
76,691
87,300
-12.15
95,488
-19.69
Net profit (loss) of policy holders investment
1,098
1,783
-38.42
1,243
-11.67
Net profit (loss) of shareholders capital investment
1,324
2,227
-40.55
1,215
8.97
All figures are in (Thousands) Saudi Arabia, Riyals
Element
Current period
Similar period for previous year
% Change
Net profit (loss) before Zakat
51,927
58,172
-10.74
Surplus (deficit) of insurance transactions less returns of policy holders investment (operating transactions results)
48,945
51,839
-5.58
Gross written premiums (GWP)
804,577
801,806
0.35
Net written premiums (NWP)
532,270
509,129
4.55
Net incurred claims
350,331
348,111
0.64
Net profit (loss) of policy holders investment
4,293
6,855
-37.37
Net profit (loss) of shareholders capital investment
5,619
6,558
-14.32
Earning or loss per share, Riyals
2.08
2.33
-
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 fourth quarter in 2017 compared to the profit for the same quarter in previous year was due to a decrease in net earned premiums by 6 % and an increase in general and administration expenses by 12% also an increase in inspection and supervision fees by 12%, a increase in provision for doubtful debts by 431% also decrease in policy holders investment income by 38% ., despite the decrease in net claims incurred by 12% and a decrease in policy acquisition costs by 6% a increase in commission income by 3% and a increase in other underwriting income by 13 % and an increase in other income by 80%.
Reasons of increase (decrease) for the period compared with same period last year
The reason for decrease in net profit before zakat during the twelve months compared to the profit for the same period last year was due to an increase in net claims incurred by 1% and an increase in general and administration expenses by 13%, and an increase in provision for doubtful debts by 116%, and a decrease in policy holders investment income by 37% also an increase in inspection and supervision fees by 5%, despite the increase in other underwriting income by 15% also a decrease in policy acquisition costs by 4% and an increase in net earned premiums by 2% and increase in other income by 5%.
Reasons of increase (decrease) for the quarter compared with the previous quarter
The reason for decrease in net profit before zakat during the fourth quarter in 2017 compared to the previous quarter in 2017 was due to an decrease in net earned premiums by 14% and a decrease in commission income by 18 %, an increase in general and administration expenses by 3% an increase in provision for doubtful debts by 503% , a decrease in policy holders investment income by 12% despite the decrease in net claims incurred by 20% and a decrease in policy acquisition costs by 3% and a decrease in inspection and supervision fees by 35% and an increase in other underwriting income by 61% also an increase in other income by 4101%.
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 14,619 thousand compared to SR 17,532 thousand in the same quarter in previous year, decreased by 17% and compared to SR 16,391 thousand in the previous quarter, decreased by 11%. Total Comprehensive Income for the current period is SR 51,927 thousand compared to SR 58,172 thousand in the same period in previous year, decreased by 11%. 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 2.08 compared to SAR 2.33 for the previous period in 2016 Which was calculated based on weighted average number of shares which are 25,000 thousand shares for twelve Months period ended December 31, 2017. Accordingly shares for twelve Months period ended December 31, 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 341,485 thousand versus 298,117 thousand riyals for the same period of 2016 with an increase of 15%. The Retained Earnings for the current period is SR 71,476 thousands which is 28.59% of the Paid-up Capital.
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