Asian Alliance Insurance profit surges to Rs. 362 m
Thursday, 13 February 2014 00:00
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Asian Alliance Insurance PLC (AAI) is pleased to announce that profit after tax for the company surged to Rs. 362 million for the financial year ended December 2013. This performance substantially exceeds the result achieved for the previous year of Rs. 73 million.
Asian Alliance Insurance is part of the Financial Services Sector of the Softlogic Group and has developed a comprehensive business strategy that is based on the promising outlook for the insurance industry and positive fundamentals of the Sri Lankan economy. The performance for 2013 is a reflection of the careful execution of the business plan that is now firmly in place and has set up the Company on a trajectory of exceptional profitability and stable growth.
The company has posted stellar top line growth recording Gross Written Premium of Rs. 4.07 billion for 2013, which is a growth of 26% compared to the previous year with Life Premiums increasing 24% to record Rs. 2.5 billion and General Insurance Premiums increasing 31% to Rs. 1.5 billion.These growth rates are well above the industry standards where Life growth as at 3rd quarter 2013 was 9.5% and General Insurance growth was 9.1% for the full year.
The results for 2013 also saw Net Earned Premium growing by 35% to Rs. 3.24 billion whilst Total Net Revenue increased by 48% to Rs. 4.23 billion. Total Assets of the company were Rs. 7.47 billion as at December 2013 and had increased by 28% from Rs. 5.89 billion the previous year. Equity and reserves of the company have also recorded a healthy increase to reach Rs. 1.83 billion increasing by 25% versus the previous year. Policy Holders Funds as at end December were Rs. 4.85 billion and had grown by 30% compared to the previous year.
Commenting on the results for the year, Chairman of Asian Alliance Insurance PLC, Ashok Pathirage said: “We are continuing to enhance the business and are in the process of bringing in further resources that will be required to take the company to the next level. We are therefore greatly encouraged with the performance of the company during 2013 and believe that immense value can be expected by all stakeholders as we move forward in executing our plans.”
Asian Alliance Insurance PLC is held by Softlogic Capital PLC and is part of the Softlogic Group, which is recognised as one of Sri Lanka’s most diversified and fastest-growing conglomerates, with interests in Healthcare, Retail, ICT, Leisure, Automobiles and Financial Services. Significant stakeholders in the company also include FMO and DEG that are rated ‘AAA’ Development Financial Institutions from the Netherlands and Germany respectively.
