HNBA Group records impressive 3Q results

HNBA Chief Executive Officer Lasitha Wimalaratne

HNBGI Chief Executive Officer Sithumina Jayasundara

HNB Assurance PLC (HNBA) and its fully-owned subsidiary HNB General Insurance Ltd., (HNBGI) yesterday reported a consolidated Gross Written Premium (GWP) of Rs. 11.3 billion marking a steady

growth of 26% and a consolidated Profit After Tax (PAT) of Rs. 1.5 billion marking a growth of 228% during the nine months ended 30 September compared to the comparative period last year. 

Chairperson Rose Cooray expressing her views on the financial performance of the Group said: “Despite of the negative impact caused by the economic turbulence of the country and the challenges faced, both companies have performed extremely well in terms of both topline and bottom line. Both HNBA and HNBGI were able to increase their respective market shares by growing well above the market averages.”

Group PBT grew by 167% for the period reaching Rs. 1.9 billion compared to Rs. 731.4 million in the corresponding period last year. The key reason for the exceptional growth is the transfer of Rs. 1.1 billion surplus from Life policyholders fund, subsequent to the valuation of the Life Fund as at 30 September. 

“No surplus transfer from Life policyholders was made in 3Q 2021 as it was done in December 2021.These profits posted were after incurring Rs. 4 billion as Net Insurance Benefits and Claims to our policyholders in 2022, compared to Rs. 2.9 billion in the corresponding period. The Group’s strategic emphasis is on increasing growth across key products and services while delivering a superior customer service through digital enablement and process efficiency,” Cooray added.

HNBA Chief Executive Officer Lasitha Wimalaratne said: “The resilience of our core business model has led to yield these remarkable results despite the challenges we had to face in the previous months. While the business keeps retooling itself with tech transformations and keeping abreast of market trends, HNBA’s GWP increased by 32% achieving Rs. 6.6 billion. HNBA posted a PAT of Rs. 1.2 billion recording a 483% growth with the surplus transfer from the Life Fund. The company’s Life Insurance Fund stands at Rs. 23.1 billion at the end of Q3 of 2022. Contributing to this momentum HNBA’s Capital Adequacy Ratio (CAR) stood at 283%.”

HNBGI Chief Executive Officer Sithumina Jayasundara said: “The company was able to maintain a sustainable financial growth in 2022 compared to 2021 and that he is confident with the solid business strategies in place, the business will continue to grow to greater heights.”

Jayasundara said that the business delivered a great performance during Q3 2022 recording a GWP of Rs. 4.8 billion. HNBGI recorded a PAT of Rs. 417.6 million compared to Rs. 372.2 million last year. The company’s Capital Adequacy Ratio (CAR) stood at 266% well above the regulatory requirement.