Salama Cooperative Insurance Co. announces its Interim Financial Results for the period ending on 2025-09-30 ( Nine Months )

Element List	Current Quarter	Similar quarter for previous year	%Change	Previous Quarter	% Change
Insurance Revenues	136,729	177,581	-23.004	140,731	-2.843
Result of Insurance Services	2,907	-116,529	-	15,619	-81.388
Net Profit (Loss) of The Insurance Results	-7,817	8,435	-	-2,409	224.491
Net Profit (Loss) of The Investment Results	5,864	5,353	9.546	7,010	-16.348
Net Insurance Financing Expenses	-636	-1,116	-43.01	-734	-13.351
Net Profit (Loss), After Zakat, Attributable To Shareholders	-9,448	5,888	-	-3,711	154.594
Total Comprehensive Income	-9,448	5,888	-	-3,711	154.594
All figures are in (Thousands) Saudi Arabia, Riyals

Element List	Current Period	Similar period for previous year	%Change
Insurance Revenues	409,343	542,909	-24.601
Result of Insurance Services	-14,843	-73,269	-79.741
Net Profit (Loss) of The Insurance Results	-45,877	31,049	-
Net Profit (Loss) of The Investment Results	19,815	19,921	-0.532
Net Insurance Financing Expenses	-2,652	-3,095	-14.313
Net Profit (Loss), After Zakat, Attributable To Shareholders	-48,580	27,369	-
Total Comprehensive Income	-46,072	27,369	-
Total Shareholders Equity (after Deducting Minority Equity)	304,200	232,348	30.924
Profit (Loss) per Share	-1.62	1.11
All figures are in (Thousands) Saudi Arabia, Riyals

Element List	Amount	Percentage of the capital (%)
Profit (Losses) Resulting From The Change In Investment Propertie’s Fair Value	-	-
Accumulated Losses	-58,238	19.41
All figures are in (Thousands) Saudi Arabia, Riyals

Element List	Explanation
The reason of the increase (decrease) in the revenues during the current quarter compared to the same quarter of last year is	Insurance revenues decreased during the current quarter by SAR 40.85 million compared to the same quarter of the previous year, where amounting to SAR 136.73 million for the current quarter compared to SAR 177.58 million in the same quarter of the previous year with a decrease of 23% compared to the same quarter of the previous year, due to the increase in gross unearned premiums, mainly in the motor insurance segment.
The reason of the increase (decrease) in the net profit during the current quarter compared to the same quarter of the last year is	Net loss before zakat for the current quarter amounted to SAR (-8.45) million compared to net profit before zakat for the same quarter of the previous year which amounted to SAR 6.89 million.

Element List

Explanation

The reason of the increase (decrease) in the revenues during the current quarter compared to the same quarter of last year is

Insurance revenues decreased during the current quarter by SAR 40.85 million compared to the same quarter of the previous year, where amounting to SAR 136.73 million for the current quarter compared to SAR 177.58 million in the same quarter of the previous year with a decrease of 23% compared to the same quarter of the previous year, due to the increase in gross unearned premiums, mainly in the motor insurance segment.

The reason of the increase (decrease) in the net profit during the current quarter compared to the same quarter of the last year is

Net loss before zakat for the current quarter amounted to SAR (-8.45) million compared to net profit before zakat for the same quarter of the previous year which amounted to SAR 6.89 million.

Net loss after zakat for the current quarter amounted to SAR (-9.45) million compared to net profit after zakat for the same quarter of the previous year which amounted to SAR 5.89 million, the reason for the net loss after zakat for the current quarter compared to net profit after zakat for the same quarter of the previous year due to the increase in the gross unearned premiums for the current quarter compared to the same quarter of the previous year.

Gross written premiums of the current quarter amounted to SAR 174.21 million, compared to SAR 169.94 million in the same quarter of the previous year, with an increase of 2.5%.The reason of the increase (decrease) in the revenues during the current quarter compared to the previous quarter is Insurance revenues decreased during the current quarter by SAR 4 million compared to the previous quarter, where amounting to SAR 136.73 million for the current quarter compared to SAR 140.73 million in the previous quarter with a decrease of 2.84% compared to the previous quarter, due to the increase in gross unearned premiums, mainly in the motor insurance segment.The reason of the increase (decrease) in the net profit (loss) during the current quarter compared to the previous quarter is Net loss before zakat for the current quarter increased by SAR 5.24 million compared to the previous quarter amounting to SAR (-8.45) million for the current quarter compared to net loss before zakat for the previous quarter which amounted to SAR (-3.21) million.

Net loss after zakat for the current quarter increased by SAR 5.74 million compared to the previous quarter, where amounting to SAR (-9.45) million for the current quarter compared to net loss after zakat for the previous quarter which amounted to SAR (-3.71) million, the main reasons for the increase in net loss after zakat for the current quarter compared to the previous quarter are:

1- Increase in gross unearned premiums for the current quarter compared to the previous quarter,

2- Additionally, net profit of the investment results of the current quarter decreased by SAR 1.14 million compared to the previous quarter due to the lower rate of return during the current quarter compared to the previous quarter.

Gross written premiums of the current quarter amounted to SAR 174.21 million, compared to SAR 98.32 million in the previous quarter, with an increase of 77.19%.The reason of the increase (decrease) in the revenues during the current period compared to the same period of the last year is Insurance revenues decreased during the current period by SAR 133.57 million compared to the same period of the previous year, where amounting to SAR 409.34 million for the current period compared to SAR 542.91 million in the same period of the previous year, with a decrease of 24.6% for the current period compared to the same period of the previous year, due to the increase in gross unearned premiums, mainly in the motor insurance segment.The reason of the increase (decrease) in the net profit during the current period compared to the same period of the last year is Net loss before zakat for the current period amounted to SAR (-47.30) million compared to net profit before zakat for the same period of the previous year which amounted to SAR 30.37 million.

Net loss after zakat for the current period amounted to SAR (-48.58) million compared to net profit after zakat for the same period of the previous year which amounted to SAR 27.37 million, the reason for the net loss after zakat for the current period compared to net profit after zakat for the same period of the previous year due to the increase in the gross unearned premiums for the current period compared to the same period of the previous year, particularly in the motor insurance segment.

Gross written premiums of the current period amounted to SAR 437.5 million, compared to SAR 407.29 million in the same period of the previous year, with an increase of 7.42%.Statement of the type of external auditor's report Unmodified conclusionComment mentioned in the external auditor’s report, mentioned in any of the following paragraphs (other matter, conservation, notice, disclaimer of opinion, or adverse opinion) NoneReclassification of Comparison Items During three months period ended 30 September 2025, management of the Company reassessed the presentation of certain transactions and concluded that a reclassification is required to comply with the requirements of International Financial Reporting Standards as endorsed in the Kingdom of Saudi Arabia and other standards and pronouncements issued by the Saudi Organization for Chartered and Professional Accountants (“SOCPA”). Accordingly, management has restated the comparative period interim condensed financial information (nine months) ended 30 September 2024. As in accordance with IAS 7 ‘Statement of Cash Flows’, as endorsed in the Kingdom of Saudi Arabia, all cash received from commission income on financial assets not measured at FVTPL should be presented within net cash used in operating activities in the statement of cash flows. Previously, only commission income received from Sukuks which are measured at amortised cost was separately disclosed in investing activities, and commission income earned and received on other financial assets not measured at FVTPL were omitted. The Company has separately presented all commission income received in operating activities which includes commission income received from Sukuk to ensure compliance with IAS 7.

The reclassification had no impact on the net decrease in cash and cash equivalents in the interim condensed statement of cash flows, interim condensed statement of financial position, interim condensed statement of comprehensive income, or interim condensed statement of changes in equity for the period (nine months) ended 30 September 2024.Additional Information The loss per share for the current quarter is SAR (-0.31) per share compared to SAR 0.24 per share for the same quarter of the previous year which is calculated by dividing the net losses attributed to the shareholders after zakat of SAR (-9.45) million over the weighted average number of ordinary outstanding shares of 30 million shares for the current quarter and by dividing the net income attributed to the shareholders after zakat of SAR 5.89 over the weighted average number of ordinary outstanding shares of 24.57 million shares for the same quarter of the previous year, as the earnings per share for the same quarter of the previous year have been adjusted based on the weighted average number of ordinary shares, considering the capital increase through the rights issue in years 2023 and 2024.

The loss per share for the current period is SAR (-1.62) per share compared to SAR 1.11 per share for the same period of the previous year which is calculated by dividing the net losses attributed to the shareholders after zakat of SAR (-48.58) million over the weighted average number of ordinary outstanding shares of 30 million shares for the current period and by dividing the net income attributed to the shareholders after zakat of SAR 27.37 over the weighted average number of ordinary outstanding shares of 24.57 million shares for the same period of the previous year, as the earnings per share for the same period of the previous year have been adjusted based on the weighted average number of ordinary shares, considering the capital increase through the rights issue in years 2023 and 2024.

Total Shareholders’ Equity (no minority interest) as at end of current period is SAR 303.47 million compared to SAR 233.18 million as at end of the same period of the previous year, an increase of 30.14%.

Total Equity as at end of current period is SAR 304.20 million compared to SAR 232.35 million as at end of the same period of the previous year, an increase of 30.92%

Total comprehensive loss for the current quarter amounted to SAR (-9.45) million, compared to total comprehensive income amounting to SAR 5.89 million for the same quarter of the previous year.

Total comprehensive loss for the current period amounted to SAR (-46.07) million, compared to total comprehensive income amounting to SAR 27.37 million for the same period of the previous year.

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