Himalayan Re-Insurance Achieves Stellar 97.64% Profit Surge in Q4 FY 2080/81, Investment Portfolio Reaches Rs. 16.47 Arba
Wed, Aug 14, 2024 9:02 AM on Financial Analysis, Company Analysis, Latest,
Himalayan Re-Insurance Limited (HRL) has delivered an extraordinary financial performance in the fourth quarter of FY 2080/81, posting a stunning 97.64% surge in net profit. The company’s net profit skyrocketed to Rs. 1.28 Arba, nearly doubling from Rs. 64.94 crore in the same quarter of the previous fiscal year.
HRL's financial standing is formidable, with a paid-up capital of Rs. 10.4 Arba and an additional Rs. 3.18 Arba in share premium. The company’s financial reserves are impressive, including Rs. 56.43 Crores in retained earnings, Rs. 2.74 Crores in other equity, Rs. 1.09 Arba in special reserves, and Rs. 11.10 Crores in catastrophe reserves.
The insurer’s financial acumen is further evidenced by its substantial insurance fund of Rs. 6.26 Arba and an expansive investment portfolio totaling Rs. 16.47 Arba. HRL's net premiums surged by a remarkable 82.75%, reaching Rs. 5.45 Arba, while income from investments, loans, and other financial activities contributed Rs. 1.14 Arba to the company’s bottom line.
However, the quarter was also marked by a 47.19% rise in net claims, amounting to Rs. 2.75 Arba, highlighting the company’s expansive reach and coverage. Despite this, HRL’s key financial metrics remain strong, with an annualized earnings per share (EPS) of Rs. 12.34 and a net worth per share of Rs. 147.89.
Major Financial Highlights:
* Figures are of Immediate Previous Year Quarter Ending
| Particulars (In Rs '000) | Himalayan Re-Insurance (HRL) | ||
|---|---|---|---|
| Q4 2080/81 | Q4 2079/80 | Difference | |
| Share Capital | 10,400,000.00 | 7,000,000.00* | 48.57% |
| Share Premium | 3,180,000.00 | 0.00 | - |
| Special Reserves | 1,097,332.74 | 455,565.77* | 140.87% |
| Catastrophe Reserves | 111,094.75 | 46,918.06* | 136.78% |
| Retained Earnings | 564,341.90 | 427,626.13* | 31.97% |
| Other Equity | 27,405.13 | 18,151.30* | 50.98% |
| Insurance Fund | 6,260,961.04 | 4,501,947.09* | 39.07% |
| Investment | 16,476,131.73 | 9,553,942.72* | 72.45% |
| Net Premium | 5,458,418.29 | 2,986,830.64 | 82.75% |
| Income from Investment, Loan and others | 1,146,629.25 | 807,057.72 | 42.08% |
| Claim Payment (Net) | 2,753,154.46 | 1,870,441.92 | 47.19% |
| Commission Expenses | 1,362,908.24 | 835,826.56 | 63.06% |
| Net Profit | 1,283,533.94 | 649,424.53 | 97.64% |
| EPS (In Rs.) | 12.34 | 9.28 | 33.03% |
| Net Worth per Share (In Rs.) | 147.89 | 113.55 | 30.24% |
| PE Ratio | 47.00 | ||
| Solvency Ratio | 2.06 | - | - |
