Saudi Arabian Cooperative Insurance Co. announces the annual financial results for the period ending on 31-12-2017

28 March 2018 08:12 AM

SAICO 8100 -1.31% 16.58 -0.22

Element	Current year	Previous year	% Change
Net profit (loss) before Zakat	51,927	58,172	-10.74
Earning or loss per share, Riyals	2.08	2.33	-
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
Pre operating expenses (first operation year)	-	-	-
All figures are in (Thousands) Saudi Arabia, Riyals

Element	EXPLAINATION
Reasons of annual financial results	The reason for decrease in net profit before zakat during the current year 2017 compared to the profit for the previous year of 2016 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%.
Reclassifications in annual financial results	Certain re classifications were made in comparative figures to confirm to the current presentation.
Other notes	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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