| Reason for increase (decrease) in net profit for current quarter compared to the same quarter of the previous year |
The increase in net profit before zakat is mainly due to the decrease in underwriting costs and expenses by 10.7% (SAR 123.8Mn v.s 138.6Mn) and a decrease in other operating expenses/income by 16.7% (SAR 19.7Mn v.s 23.7Mn). Also the results were influenced by the increase in investments and other income by 66.1% (SAR 5.2Mn v.s 3.1Mn). |
| Reason for increase (decrease) in net profit for current quarter compared to the previous quarter |
The decrease in net profit before zakat is due to the decrease in total revenues by 2.2% (SAR 153.6Mn v.s 157.1Mn) while total underwriting costs and expenses increased by 6.5% (SAR 123.8Mn v.s 116.2Mn) and the other operating expenses/income decreased by 35.2% (SAR 19.7Mn v.s 30.4Mn). |
| Reason for increase (decrease) in net profit for current period compared to the previous year similar period |
The increase in net profit before zakat is mainly due to higher level of underwriting income SAR 107.3Mn v.s 98.0Mn representing an increase of 9.6%. This is influenced by the decrease of 5.6% in net incurred claims, resulting from the excellent performance in motor. Such performance was reflected in the net underwriting income before expense allocation, which amounted to SAR 63.1Mn for motor (SAR 46.8Mn for the same period last year). Also the results were influenced by the increase in investments and other income by 27.5% (SAR 12.4Mn v.s 9.7Mn). |
| Type of the external auditor's opinion |
Unmodified opinion |
| External auditor's report containing reservation |
It was mentioned in the external auditors review report that the company prepared the interim financial statements in accordance with the International Accounting Standard on interim financial reporting (IAS 34) as modified by SAMA for the accounting of zakat and tax income. The external auditors reviewed the interim financial statements for the period ended September 30,2018, and they issued on modified review report. |
| Reclassifications in quarter financial result |
Certain prior period figures have been reclassified to conform to current period presentation. |
| Additional Information |
EPS is calculated based on net profit before Zakat. The shareholders Equity, No Minority Interest, reached SR 267,657,337 as at 30/09/2018 compared to SR 251,104,359 as at 31/12/2017 with an increase of 6.6% due to profit achieved during the current period. The comprehensive income for the current quarter amounted to SAR 5,939,445 compared to SAR 8,210,777 for the same quarter of last year, representing a decrease of 27.7%,while it decreased by 33.4% compared to previous quarter (SAR 8,913,775). The comprehensive income for the current period amounted to SAR 21,617,026 compared to SAR 26,844,430 representing a decrease of 19.5% resulting from the fair value change in available for sale investments. |
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