Jubilee Holdings six-month net profit rises 19pc
Earnings increase to Sh1.88bn from Sh1.58bn
Insurance group Jubilee Holdings’ net profit for six months ending June 30 rose 18.99 per cent largely helped by improved performance of the Nairobi bourse that helped to dampen a sharp jump in claims payments.
The listed firm’s net earnings in the period climbed to Sh1.88 billion from Sh1.58 billion as gains from investments at the Nairobi Securities Exchange, largelycomprising government securities, increased fourand-a-half times.
Net value gain from investments in government paper and equities stood at Sh1.3 billion from a loss of Sh364.91 million a year earlier, a growth of 455.6 per cent. Total income increased by 30.16 per cent to Sh14.89 billion, Jubilee reported, attributing it to a 13 per cent growth by the NSE after a two-year bear run.
“These impressive results were realised in an unpredictable business environment, currency volatility both in the regional
Total income increased by 30.16 per cent to Sh14.89 billion NIZAR JUMA
and global market, as well as regulatory changes,” Jubilee Holdings chairman Nizar Juma said in a statement.
Jubilee booked gross premiums of Sh18.6 billion, 8.2 per cent better than previous year, helping to boost net premiums income by 21.89 per cent to Sh10.19 billion.
Net claimsexpanded by Sh2.9 billion, or 38.69 per cent, to Sh10.38 billion. “Fraud detection continues to draw additional focus of our management in our general insurance business line .... we continue to invest in systems and mechanisms that facilitate fraud prevention, detection and effective action when it happens,” Mr Juma said.
The directors have recommended an interim dividend payment of Sh1 per share, same as last year’s.