Abu Dhabi National Insurance Company, ADNIC, today announced its financial results for the period ending 30th June, 2019. The company reported a net profit of AED66.0 million for the second quarter of 2019, an increase of 19.1 percent in the same period in 2018.
Commenting on ADNIC’s performance, Sheikh Mohamed bin Saif Al-Nahyan, Chairman of ADNIC, said, "ADNIC has delivered 29.5 percent growth in gross written premium during the first half of 2019 and 19.1 percent growth in net profit during the period from April to June 2019. As we move into the second half of 2019, the company will remain firmly focused on maintaining robust foundations to drive long-term sustainable growth and maximise value for shareholders, while increasing customer satisfaction and retention."
Key financial highlights include gross written premiums increased by 29.5 percent to AED2.35 billion, compared to AED 1.81 billion for the same period in 2018. The overall premium retention ratio reached 32.6 percent, compared to 53.2 percent for the same period in 2018.
ADNIC’s net underwriting profit is AED165.4 million, against AED193.1 million for the same period in 2018. General and administrative expenses stood at AED125.9 million, compared to AED112.3 million for the same period in 2018. Net technical profit is AED40.7 million, against AED81.5 million for the same period in 2018.
The company's cash balances stood at AED774.5 million, compared to AED611.1 million as of 31st March, 2019, and to AED854.6 million as of 31st December, 2018. Total investments including cash in time deposits, bank accounts, and investment properties stood at AED3.75 billion, compared to AED3.56 billion as of 31st March, 2019, and to AED3.75 billion as of 31st December, 2018.
Total assets increased by 11.3 percent to AED8.07 billion, compared to AED7.25 billion as of 31st December, 2018. Gross technical reserves increased by 13.7 percent to AED4.50 billion, compared to AED3.96 billion as of 31st December 2018.
ADNIC’s net investment and other income increased by 13.5 percent to AED79.1 million, compared to AED69.7 million for the same period in 2018.
For the six-month period ended 30th June 2019, net profit is AED118.6 million, compared to AED150.5 million for the same period in 2018. For the three-month period ended 30th June 2019, net profit grew by 19.1 percent to reach AED66.0 million, compared to AED55.4 million for the same period in 2018.
The shareholders’ equity position is AED2.14 billion, compared to AED2.10 billion as of 31st December, 2018. Basic and diluted earnings per share are AED0.21, compared to basic and diluted earnings per share of AED0.27 for the same period last year.
Ahmad Idris, CEO of ADNIC, stated, "The company’s performance is a testament to the strength of our customer service proposition, technical excellence, product and service innovation and commitment to the community. Moving forward, we will continue to focus on achieving our strategic targets, including investing in new products and service innovations to create additional value for customers and shareholders."