Look at the Major Highlights of Prudential & IME General Insurance for Q3; Integrated Transaction of IGI Prudential Insurance Limited To Start from May 10
Mon, May 8, 2023 12:44 PM on Latest, Financial Analysis, Stock Market,
Prudential Insurance Company Limited (PICL) has stated decline in its net profit by 11.65% in the third quarter of the ongoing fiscal year 2079/80.
Publishing the financial report today, the non-life insurance company stated that it earned a net profit of Rs 10.03 crore in Q3 of the FY 2079/80, down from Rs 11.36 crore in the corresponding quarter of the FY 2078/79.
Along with its net profit, its net income from premium (net) has decreased from Rs 35.74 crore to Rs 31.17 crore at the end of Q3 this year. Its income from reinsurance commission has increased to Rs 15.2 crore from Rs 11.9 crore in the last corresponding quarter. The company has made claim payment worth Rs 21.69 crore.
Its current paid up capital stands at Rs 1.22 Arba. It has a reserve fund of Rs 26.53 crore and the insurance fund amounts to Rs 72.54 crore.
Its annualized earning per share stands at Rs 10.92, net worth per share at Rs 183.27 and P/E ratio at 36.53 times.
| Particulars (In Rs '000) | Prudential Insurance | ||
|---|---|---|---|
| Q3 2079/80 | Q3 2078/79 | Difference | |
| Paid Up Capital | 1,225,584.00 | 1,108,547.00 | 10.56% |
| Reserve and Surplus | 265,313.00 | 315,594.00 | -15.93% |
| Insurance Fund | 725,467.00 | 653,635.00 | 10.99% |
| Contingent Fund | 29,819.00 | 22,173.00 | 34.48% |
| Net Premium | 311,794.00 | 357,451.00 | -12.77% |
| Re-Insurance Income | 152,691.00 | 119,948.00 | 27.30% |
| Income from Investment, Loan and others | 33,622.00 | 31,299.00 | 7.42% |
| Claim Payment (Net) | 216,983.00 | 177,241.00 | 22.42% |
| Provision Written Back | 12,421.00 | 10,670.00 | 16.41% |
| Agent Commission | 26,333.00 | 44,941.00 | -41.41% |
| Net Profit | 100,390.00 | 113,629.00 | -11.65% |
| No of Policies | 103,978.00 | 106,285.00 | -2.17% |
| EPS (In Rs.) | 10.92 | 13.67 | -20.09% |
| Net Worth per Share (In Rs.) | 183.27 | 189.43 | -3.25% |
| PE Ratio | 36.53 | - | - |
IME General Insurance Company Limited (IGI) has published its third-quarter report of the fiscal year 2079/2080 with an increase in Net Profit by 3.04% compared to the corresponding quarter of the previous year. The company’s net earnings increased to Rs. 17.32 crores in this quarter from Rs. 16.81 crores in the corresponding quarter.
As per the unaudited report for the 3rd quarter published today, IGI has a paid-up capital of Rs. 1.80 Arba with a reserve of Rs. 24.71 crores. The company has Rs. 63.22 crores in the insurance fund.
The Net Premium increased by 13.10% to Rs. 59.67 crores in FY 2079/2080 from Rs. 52.76 crores in the corresponding quarter of the previous year. The company has earned Rs. 3.64 crores from income from investment, loans, and other headings and Rs. 17.94 crores from re-insurance income.
The company’s Net claim increased by 14.68% to Rs. 25.39 crores in this quarter. The company’s number of policies stood at 90,199 till Q3 of 2079/2080.
Its annualized earnings per share (EPS) stood at Rs. 12.80 whereas Net worth per share stood at Rs. 148.75. The company traded at a P/B multiple of 30.93 times.
Major Highlights:
| Particulars (In Rs '000) | IME General Insurance Company | ||
|---|---|---|---|
| Q3 2079/80 | Q3 2078/79 | Difference | |
| Paid Up Capital | 1,803,751.00 | 1,157,586.00 | 55.82% |
| Reserve and Surplus | 247,102.00 | 323,989.00 | -23.73% |
| Insurance Fund | 632,272.00 | 554,551.00 | 14.02% |
| Net Premium | 596,779.00 | 527,677.00 | 13.10% |
| Re-Insurance Income | 179,457.00 | 172,132.00 | 4.26% |
| Income from Investment, Loan and others | 36,428.00 | 31,684.00 | 14.97% |
| Claim Payment (Net) | 253,967.00 | 221,462.00 | 14.68% |
| Agent Commission | 21,687.00 | 30,189.00 | -28.16% |
| Net Profit | 173,221.00 | 168,105.00 | 3.04% |
| No of Policies | 90,199.00 | 98,603.00 | -8.52% |
| EPS (In Rs.) | 12.80 | 19.36 | -33.87% |
| Net Worth per Share (In Rs.) | 148.75 | 175.89 | -15.43% |
| PE Ratio | 30.93 | - | - |
The final procedure for a merger between IME General Insurance Limited (IGI) and Prudential Insurance Company Limited (PICL) has also been completed. The company had signed a merger deal at a swap ratio of 1:1.
"IGI Prudential Insurance Limited" has been agreed upon as the name of the new company that will be formed as a result of the merger. The companies signed the Memorandum of Understanding (MoU) on Magh 27, 2079.
Likewise, in accordance with the letter from the Nepal Insurance Authority and the Office of the Registrar of Companies, the merger has also gained final permission. Therefore the companies will start the joint business on Baisakh 27 i.e. May 10, 2023.
The total paid-up capital of the newly merged company will be Rs. 3.02 Arba.
