| 16 Jan 2006 |
|
NCCI Unaudited Net Income Soars By 66%
- Text size
Beirut (APD) - Unaudited net income of Saudi insurance firm NCCI (National Company for Cooperative Insurance) soared by 66% to SR 313 million in 2005 compared with SR 188 million in 2004, NCCI announced in a statement on the Saudi Stock Exchange website on Monday.
Similarly, earnings per share jumped to SR 31 from SR 19 in 2004 whereas retained earnings climbed by 388% to SR 488 million from SR 100 million.
The amount of gross premiums written increased by 18% to about SR 1.5 billion in 2005, from SR 1.27 billion in 2004.
This is due to the growth in insurance premiums especially in automobiles and medical insurance, the company said.
Shareholders equity achieved a whopping growth of 118% to SR 1.7 billion compared with SR 782 million in 2004 while total assets of the company grew by 32% to about SR 3.63 billion from SR 2.75 billion.
According to its cooperative insurance principles, NCCI will distribute SR 31.5 million to policyholders, the company declared.
A previously state-owned company, NCCI was taken public at the beginning of 2005. The IPO for 70% in the firm's shares was hugely oversubscribed and the insurer subsequently received positive ratings and financial assessments by international and regional ratings agencies and financial services companies.
The share price of NCCI improved by about 282% in 2005, reaching SR 783 in its close on January 8, 2006 compared with its SR 205 closing price on its first trading day in 2005.
Established in 1986, NCCI has benefited from being the only locally registered insurance company to become the largest insurance firm in Saudi Arabia and commands a market share of more than 30%.
While the insurer's position is being challenged by new market entrants after the Saudi government decided to allow other insurance firms to be registered in the country instead of providing their Saudi service out of Bahrain, analysts recently viewed projected increases in the Kingdom's overall insurance market as promising for NCCI. [TS]
© APD (Arab Press Digest) 2006
Zawya is a distributor (and not a publisher) of content supplied by third parties and subscribers. Any opinions, advice, statements, services, offers, or other information or content expressed or made available by those third parties, including information providers, subscribers or other users of the Service, are those of the respective author(s) or distributor(s) and not of the Company. The Company neither endorses nor is responsible for the accuracy or reliability of any opinion, advice or statement made on the Service by anyone other than authorized Service employee spokespersons while acting in their official capacities. The Company is not responsible for any infringement of intellectual property rights or breach of any applicable law or regulation, including regulation in relation to financial services or the distribution of financial products, defamation, data protection, telecommunications (including regulations relating to excessive use, spamming or other abusive activities) or obscene, offensive or illegal content). Under no circumstances will the Company be liable for any loss or damage caused by a member's reliance on information obtained through the Service. It is the responsibility of member to evaluate the accuracy, completeness or usefulness of any information, opinion, advice or other content available through the Service. Please seek the advice of professionals, as appropriate, regarding the evaluation of any specific information, opinion, advice or other content.
Read the full Member Agreement
http://www.zawya.com/legal/NewsLetter.cfm?name=disclaimer
Post a Comment
1.1 Contain any material which is libelous or defamatory of any person, is obscene, offensive, hateful or inflammatory or causes damage to the reputation of any person or organisation.
1.2 Promote sexually explicit material, violence, discrimination based on race, sex, religion, nationality, disability, sexual orientation or age or any illegal activity.
1.3 Be made in breach of any legal duty owed to a third party, such as a contractual duty or a duty of confidence.
1.4 Be threatening, abuse or invade another's privacy, or cause annoyance, inconvenience or needless anxiety.
1.5 Be used to impersonate any person, to misrepresent your identity or affiliation with any person, or be likely to deceive any person.
1.6 Give the impression that they represent Zawya.
1.7 Advocate, promote or assist any unlawful act such as (by way of example only) copyright infringement or computer misuse.