NLG Insurance reports a stagnant performance in Q3; premium earnings decline and 60% right shares in pipeline

  • -ShareSansar
Wed, May 15, 2019 6:40 AM on Financial Analysis, Latest, Stock Market,
NLG Insura...

NLG Insurance Company (NLG) has earned a net profit of Rs 15.34 crore till the third quarter (Q3) of the fiscal year 2075/76 with meager 1.59% growth.

As per the unaudited report for the third quarter published today, the net earnings from premium decreased by 3.60% to Rs 53.60 crore till Q3 from Rs 55.60 crore in the corresponding quarter of last FY 2074/75.

The claims payment (net) rises by 2.25% to Rs 32.97 crore till Q3. The number of policyholders decline by 0.20% to 1.24 lakhs.

NLG Insurance has a paid-up capital of Rs 64.04 arba with reserve of Rs 19.87 crore. Likewise, the company’s insurance fund has increased to Rs 78.41 crore from Rs 65.68 crore in the corresponding quarter.

The company is yet to meet to minimum paid up capital requirement of Rs 1 arba set by regulatory authority. For the purpose of increasing paid up capital NLG Insurance is planning to issue 60% right shares.

NLG Insurance SGM on Jestha 14; to endorse agenda of 60% right share; paid up capital to reach Rs 1.02 arba

Its annualized EPS stands at Rs 31.94, net worth per share at Rs 262.01 and quarter end P/E ratio at 26.89 times.

Major Highlights:

Particulars (In Rs '000)

NLG Insurance

Q3 2075/76

Q3 2074/75

Difference

Paid Up Capital

640,406.00

640,406.00

0.00%

Reserve and Surplus

198,741.00

85,753.00

131.76%

Insurance Fund

784,182.00

656,850.00

19.39%

Contingent Fund

54,601.00

42,181.00

29.44%

Net Premium

536,055.00

556,062.00

-3.60%

Re-Insurance Income

188,009.00

137,524.00

36.71%

Income from Investment, Loan and others

53,007.00

46,301.00

14.48%

Claim Payment (Net)

329,774.00

322,526.00

2.25%

Agent Commission

37,606.00

34,482.00

9.06%

Gross Profit

169,942.00

205,085.00

-17.14%

Net Profit

153,430.00

151,024.00

1.59%

No of Policies

124,856.00

125,102.00

-0.20%

Annualized EPS (In Rs.)

31.94

31.44

1.59%

Net Worth per Share (In Rs.)

262.01

222.54

17.73%

Qtr End PE Ratio

26.89

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