Gulf Insurance Group (GIG), a leading insurance group in the MENA region and the largest in Kuwait, yesterday announced a net profit of KWD16.8m ($54.7m) for the first half of 2024, plunging by 33.6% from KWD25.3m for the corresponding period last year.
While insurance revenue rose by 15% year on year to KWD449.2m in 1H2024, the company saw a 16% drop in insurance service results.
Insured claims and other directly attributable expenses jumped to KWD455.0m in 1H2024 from KWD395.3m in 1H2023. Reinsurance expenses rose to KWD187.9m in 1H2024 from KWD151.3m in 1H2023.
Net investment income including interest income and share of results from associates reached KWD31.6m for the first six months of 2024, representing an increase of 20% compared to KWD26.3m for the corresponding half of last year.
Highlights of GIG’s 1H2024 financial performance are as follows:
|
|
1H2024
KWD ’000
|
1H2023
KWD ’000
|
Change
|
|
Income Statement
|
|
|
|
|
Insurance revenue
|
449,152
|
390,694
|
15.0%
|
|
Insurance service expenses
|
(391,645)
|
(359,260)
|
9.0%
|
|
Net expenses from reinsurance contracts
|
(34,552)
|
(3,999)
|
-764.0%
|
|
Insurance service results
|
22,955
|
27,435
|
-16.3%
|
|
Net investment income
|
9,403
|
11,530
|
-18.4%
|
|
Interest income
|
19,357
|
13,888
|
39.4%
|
|
Share of results from associates
|
2,808
|
885
|
217.3%
|
|
Sub-total - Investment income
|
31,568
|
26,303
|
20.0%
|
|
Profit before tax
|
23,912
|
37,580
|
-36.4%
|
|
Profit after tax
|
18,889
|
31,758
|
%-40.5
|
|
Profit attributable to equity holders of parent company
|
16,772
|
25,348
|
-33.8%
|
|
Statement of financial position at 30 June
|
2024
|
2023
|
|
|
Total assets
|
1,247,541
|
1,175,416
|
6.1%
|
|
Equity attributable to equity holders of parent company
|
235,575
|
236,259
|
-0.3%
|
|
Source: GIG financial statements
|