Nepal Life Insurance Q2 financials: earns Rs 35.09 crore; life insurance fund surges by 36.76% to Rs 77.59 arba; net premium rises whereas claim payment decline

Tue, Feb 11, 2020 9:10 AM on Financial Analysis, Latest,

Nepal Life Insurance Company Limited (NLIC) has earned net profit of Rs 35.09 crore till the second quarter of FY 2076/77.  In the previous year of the same quarter, the net profit stands at Rs 28.05 crore.

As per the unaudited report for the second quarter published today, the net earnings from premium rose by 32.80% to Rs 13.91 arba till Q2 from Rs 10.47 arba in the corresponding quarter of last FY 2075/76.

The company has made a claim payment (net) of Rs 3.14 arba till Q2 which is a decline of 39.51%; same figure stood at Rs 5.20 arba in corresponding quarter last FY.

NLIC has a paid-up capital of Rs 5.49 arba with a reserve of Rs 2.61 arba. Likewise, the company’s life insurance fund has increased to massive Rs 77.59 arba from Rs 56.73 arba in the corresponding quarter.

Its annualized EPS stands at Rs 12.77, net worth per share at Rs 156.24 and quarter end P/E ratio at 78.31 times.

Major Highlights:

net profit figure is without the profit generated from actuarial valuation of assets and liabilities.

Particulars (In Rs '000)

Nepal Life Insurance

Q2 2076/77

Q2 2075/76

Difference

Paid Up Capital

5,496,160.81

4,396,928.65

25.00%

Reserve and Surplus

2,615,514.91

3,736,170.29

-29.99%

Life Insurance Fund

77,592,927.45

56,738,387.80

36.76%

Contingent Fund

475,710.75

371,106.11

28.19%

Net Premium

13,911,063.89

10,475,476.19

32.80%

Re-Insurance Income

20,797.33

15,181.95

36.99%

Income from Investment, Loan and others

2,767,266.56

2,188,979.92

26.42%

Claim Payment (Net)

3,145,479.18

5,200,054.94

-39.51%

Agent Commission

963,965.23

736,108.08

30.95%

Gross Profit

178,481.67

36,419.20

390.08%

Transferred to Life Insurance Fund

11,694,916.08

5,865,313.36

99.39%

Net Profit*

350,917.46

280,526.12

25.09%

No of Policies

1,258,511.00

1,209,720.00

4.03%

Annualized EPS (In Rs.)

12.77

12.76

0.07%

Net Worth per Share (In Rs.)

156.24

193.41

-19.22%

PE Ratio

78.31

-

-

Qtr End Price

1,000.00