PIC, SIL, NLICL, PICL & AIC's profit rise; LICN & GLICL’s drop

ShareSansar, February 13:

As the deadline to publish the unaudited balance sheet for the second quarter of the current fiscal year closes, more insurance companies have published their reports today.

As per the unaudited balance sheets published today, Premier Insurance Company (Nepal) Limited and Siddhartha Insurance Company have reported an astounding profit rise in the second quarter of the current fiscal year 2070/71, while National Life Insurance Company Limited Prudential Insurance Company Limited and Alliance Insurance Company Limited’s growth have been largely stemmed.

However, Life Insurance Corporation (Nepal) Limited and Gurans Life Insurance Company Limited have reported drop in their profit.

Premier’s has reported a massive profit rise of  136.20 percent as its net profit has surged to Rs 1.84 crore, up from just Rs 77.90 lakh in corresponding quarter of the last fiscal year.

The profit was largely fuelled by its operational profit as its income rose to Rs 23.67 crore, up from Rs 17.26 crore in the corresponding quarter.

It has provisioned Rs 5.89 crore for the unsettled claims and Rs 8.99 crore against unfinished risks.

Premier’s EPS is priced at Rs 15.73 and its net worth per share at Rs 207.61.

Similarly, Siddhartha Insurance has reported a huge growth in its profit in the second quarter. The insurer’s net profit has risen to Rs 4.75 crore, up from merely Rs 1.77 crore in the second quarter of the last fiscal—a profit rise of 168.36 percent.

Supported by a strong business, its income more than doubled in the second quarter from just Rs 3.10 crore in the corresponding quarter to Rs 6.53 crore.

Siddhartha, too, has managed to pull off such a huge profit even after provisioning Rs 10.38 crore for unsettled claims and additional Rs 2.29 crore for the risk.

Its EPS stands at Rs 35.99 and its net worth per share at Rs 206.56.

National Life Insurance has reported a profit rise of 14 percent as its net profit rose to Rs 4.80 crore, up from Rs 4.21 crore in the corresponding quarter.

The profit is attributable to its income, which increased to Rs 6.60 crore in the second quarter from Rs 5.18 crore in the corresponding quarter.

It has, however, provisioned Rs 2.39 crore for risks and Rs 1.28 crore for the unsettled claims.

National Life’s EPS has now reached Rs 19.19 and its net worth per share stands at 187.19.

On the other hand, Prudential Insurance has reported only 33.57 percent profit rise in the second quarter as its net profit has increased to Rs 1.91 crore up from Rs 1.43 crore.

Its profit was led by its core business as income rose to Rs 29.60 crore from just Rs 17.38 crore in the corresponding quarter.

However, the reason its profit growth is modest is that it has provisioned a huge sum under various titles. It has provisioned Rs 14.55 crore for the risk, Rs 5.70 for the unsettled claims and another Rs 9.57 crore under the title of “other provision”.

Prudential’s EPS now stands at Rs 15.28 and its net worth per share at Rs 197.73.

In the similar manner, Alliance has reported almost negligible profit in the second quarter as its net profit rose to Rs 1.47 crore, up from Rs 1.45 crore — just 1.38 percent rise.

Its income rose to Rs 2.90 crore from Rs 2.70 crore. On the other hand, the insurer also provisioned Rs 23 crore for the risk, Rs 4.66 crore for the unsettled claims and additional Rs 3.46 as other provision.

Alliance’s EPS stands at Rs 9 and its net worth per share at Rs 208.

However,  LICN  has reported a profit drop of 35.32 percent as its net profit dipped from Rs 2.35 crore to Rs 1.52 crore since its core business has gone down as evident from is income, besides Rs 6.37 crore it has provisioned under the title of “other provision”.

Its income has decreased to Rs 3.18 crore down from Rs 3.50 crore.

LICN’s EPS stands at 3.01 and its net worth per share at Rs 162.29.

Gurans Life Insurance has also reported a profit fall of 2.85 percent as its net profit dropped from Rs 1.40 crore to Rs 1.36 crore.

The profit was affected due to higher administrative expenses, which stood at Rs 41.63 lakh.

Gurans’ EPS now stands at 5.50 and net worth per share is at 117.60.