8250 · 17/02/2016 15:43:19 · Announcement #41229 · View on Saudi Exchange

AXA Cooperative Insurance Co. announces the annual financial results for the period ending on 31-12-2015

Element Current year Previous year % Change
Net profit (loss) before Zakat
27,855
18,047
54.35
Earning or loss per share, Riyals
0.64
0.54
-
Surplus (deficit) of insurance transactions less returns of policy holders investment (operating transactions results)
15,960
5,112
212.21
Gross written premiums (GWP)
1,128,176
1,040,111
8.47
Net written premiums (NWP)
1,002,020
911,492
9.93
Net incurred claims
827,244
713,530
15.94
Net profit (loss) of policy holders investment
8,349
7,574
10.23
Net profit (loss) of shareholders capital investment
7,618
8,050
-5.37
Pre operating expenses (first operation year)
-
-
-

*All figures are in (Thousands) Saudi Arabia, Riyals

Element EXPLAINATION
Reasons of annual financial results The main reason for increase in net profit is increase in net underwriting surplus(net of income from policyholders funds) which increased from SR 5,112 thousand to SR 15,960 thousand in 2015. This increase is mainly attributable to reduction in claims ratio in motor, property and health classes. Overall claims ratio has improved from 83.8% in2014 to 83% in 2015.
External auditor's report containing reservation Attention is drawn to note 2 of the financial statements: The financial statements are prepared in accordance with International Financial Reporting Standards (IFRS) and not in accordance with standards issued by the Saudi Organization for Certified Accountants and the Company stresses that there is no material financial impact on the financial statements as a result of preparation, in accordance with IFRS.
Other notes Earnings Per Share (EPS) is calculated before zakat and reflects the increase in share capital of the Company which was agreed on the Extraordinary General Assembly dated 21-04-1436H corresponding on 10-02-2015. The share capital was increased from SR 200 million to SR 450 million that leads to an increase in number of shares from 20 million to 45 million. Calculations of EPS is based on weighted average number of shares which are 43,712 thousand shares for Twelve month period ended December 31, 2015. Accordingly shares for Twelve month period ended December 31, 2014 has also been reclassified and is calculated by dividing net earnings with weighted average number of shares which are 33,532 thousand shares.

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