IGI Prudential Insurance Reports 19.50% Profit Growth in Q1, Overcoming Net Premium Decline

Thu, Nov 14, 2024 11:33 AM on Latest, Financial Analysis, Company Analysis,

IGI Prudential Insurance Limited (IGI) has released its financial results for the first quarter of the fiscal year 2081/2082, demonstrating notable growth in profitability. The company reported a 19.50% increase in net profit, which rose to Rs. 6.10 crores, up from Rs. 5.11 crores during the same period in the previous fiscal year.

The company’s financial position is supported by a paid-up capital of Rs. 3.02 Arba and substantial reserves, including Rs. 35.02 crores in retained earnings, Rs. 56.54 crores in other equity, Rs. 8.35 crores in catastrophe reserves, and Rs. 1.74 Arba in special reserves.

Although net premiums saw a slight decline of 0.23%, amounting to Rs. 22.47 crores compared to the same quarter last year, IGI generated Rs. 8.68 crores from investments, loans, and other financial activities, further strengthening its financial performance.

However, the company experienced a 4.94% increase in net claims, which totaled Rs. 19.05 crores during the quarter.

Key financial indicators reveal IGI’s solid performance, with an annualized earnings per share (EPS) of Rs. 8.06 and a net worth per share of Rs. 190.49.

Report:

Major Highlights:

* Figures are of Immediate Previous Year Quarter Ending

Particulars (In Rs '000) IGI Prudential Insurance
Q1 2081/82 Q1 2080/81 Difference
Paid Up Capital 3,029,334.64 3,029,334.64* 0.00%
Special Reserves 1,742,041.46 1,711,508.88* 1.78%
Catastrophe Reserves 83,593.12 80,539.86* 3.79%
Retained Earnings 350,276.98 323,408.31* 8.31%
Other Equity 565,456.22 511,949.26* 10.45%
Insurance Fund 4,836,172.63 4,277,979.93* 13.05%
Net Premium 224,781.72 225,294.74 -0.23%
Income from Investment, Loan and others 86,874.58 104,172.00 -16.60%
Claim Payment (Net) 190,568.40 181,601.97 4.94%
Commission Expenses 14,952.39 14,474.48 3.30%
Net Profit 61,065.16 51,102.40 19.50%
No of Policies 50,238.00 59,509.00 -15.58%
EPS (In Rs.) 8.06 6.75 19.50%
Net Worth per Share (In Rs.) 190.49 186.73 2.01%
PE Ratio 77.26 - -