Latest news with #BKIC
Daily Tribune
5 days ago
- Business
- Daily Tribune
Bahrain Kuwait Insurance Company discloses financial results for half year ended 30th June 2025 showcases BD 2.7 million net profit
Bahrain Kuwait Insurance Company (BKIC) B.S.C. (trading code in Bahrain Bourse 'BKIC' and in Boursa Kuwait 'BKIKWT') announced its consolidated financial results for the six months ended 30th June 2025. Three months ended 30th June 2025 The consolidated financial results showed a net profit after tax attributable to shareholders of BD 1.089 million, compared to BD 1.258 million for the same period last year, representing a 13% decrease. This variance is due to the first-time implementation of the 15% Domestic Minimum Top-up Tax in Bahrain and Kuwait, which came into effect in January 2025 for multinational companies and was not reflected last year. However, the Company recorded growth of 2% in profit attributable to shareholders before tax. Earnings per share for the quarter reached 7 fils, marking a decrease of 1 fils compared to the same period in 2024. The total comprehensive income attributable to the shareholders increased by 52% and reached BD 1.122 million in Q2-2025 compared to BD 0.736 million in Q2-2024. The Company reported insurance revenue of BD 27.719 million for the second quarter of the current year, compared to BD 29.317 million in the same period last year. The insurance service result stood at BD 1.076 million in comparison to BD 1.206 million in the same period last year, impacted by an increase in claims and the Company's continued prudent approach to strengthening reserves. Meanwhile, total investment income saw a robust growth of 81%, rising from BD 0.862 million in the second quarter of last year to BD 1.558 million this year. Six months The consolidated net profit after tax attributable to shareholders stood at BD 2.685 million for the half-year ended 30th June 2025, compared to BD 2.938 million in the corresponding period of 2024, representing a decrease of 8% following the first-time implementation of the new 15% Domestic Minimum Top-up Tax. However, the Company reported a 1.4% increase in profit attributable to shareholders before tax for the current period compared to the same period last year, reflecting continued operational strength. Earnings per share for the period were 18 fils, compared to 20 fils in the same period last year. Meanwhile, total comprehensive income attributable to shareholders increased significantly by 29%, reaching BD 2.892 million versus BD 2.243 million in the prior-year period. The Company recorded a 5% growth in gross written premiums, reaching BD 56.562 million during the first half of the year, compared to BD 53.695 million in the same period of 2024, reflecting continued business expansion and strong market presence. However, there was a marginal decline of 1.6% in Insurance revenue from BD 56.658 million in last year to BD 55.751 million in current year. The Insurance service results reduced from BD 2.204 million in the First half of last year to BD 2.025 million in the first half of the current year primarily due to an increase in reported claims mainly from the Motor Portfolio. In contrast, total investment income delivered strong growth of 26%, rising to BD 3.142 million from BD 2.495 million in the same period last year. The total shareholders' equity as at end of June 2025 was BD 43.959 million compared to BD 44.901 million as at end of last year, representing a decrease of 2% mainly due to allocation towards increased shareholders' dividends payouts. The total assets by the end of June 2025 reached BD 186.652 million compared to BD 186.017 million as at end of last year, representing a marginal increase of 0.3%. The net Insurance contract liabilities increased from BD 64.433 million at the end of the last year to BD 67.145 million at the end of the current period. Board of Directors' Comments All members of the Board expressed their satisfaction: 'Not only is the Board pleased with the results for the first six months of 2025, but all evidence suggests that, whilst monitoring the key strategic projects, the Company is progressing in a very robust, sound, and prudent manner.' Notably, the 2025 results would be impacted with the Domestic Minimum Top-up Tax for the first time after its implementation at 1/1/2025. Therefore, the Board calls upon all shareholders to also consider the 'Pre-Tax Profits' when comparing the Company's results against previous years or against other peers in the marketplace. Chief Executive Officer's Comments BKIC's CEO Dr. Abdulla Sultan stands firm in assessing the 1st half of 2025 consolidated results as satisfactory albeit the significant increase in both Motor claims frequency and severity in 2025, a trend mainly driven by claims inflation. Notwithstanding, the Company has thus far obtained the necessary approvals to implement a stringent plan to ensure enhanced customer service whilst maintaining the overall profitability in the Motor portfolio. Dr. Sultan commented with great prominence: 'The Company is very pleased to announce that its parent GIG Kuwait has obtained an AM Best issuer Credit Rating upgrade to A+.' And in conclusion, he also remained resolute and passionate in his words of praise: 'On this occasion, I would like to thank all teams at BKIC Bahrain, BKIC Kuwait, and our subsidiary for their unfaltering efforts throughout the first half of 2025. The teams remain determined and consistently continue to demonstrate their outstanding dedication, hardwork, and commitment to the Company.'
Daily Tribune
14-05-2025
- Business
- Daily Tribune
BKIC announces BD 1.6m profit, over 1% pre-tax net profit growth
Bahrain Kuwait Insurance Company (BKIC) recorded a more than 1% increase in first quarter 2025 profit attributable to shareholders before tax, reflecting growth in its underlying business performance. The consolidated financial results showed a net profit after tax attributable to shareholders of BD 1.596 million, compared to BD 1.680 m for the same period last year, representing a 5% decrease. This change is due to the first-time implementation of the 15% Domestic Minimum Top-up Tax in Bahrain, which came into effect in January 2025 for multinational companies and was not reflected last year. Excluding the impact of this new tax regulation, the company's profitability continued to grow. The company reported earnings per share of 11 fils for the first quarter of the current year, consistent with the same period last year. Total comprehensive income attributable to the shareholders of the company reached BD 1.770 m in the first quarter of the current year, compared to BD 1.507 m during the same period last year, an increase of 17%, primarily driven by higher fair values of investments. Insurance revenue increased by 3% from BD 27.341 m in the first quarter of last year to BD 28.032 million in the first quarter of the current year. The Insurance service result decreased by 5%, from BD 0.998 m in the 1st quarter of last year to BD 0.949 m in the 1st quarter of the current year. The Total investment income decreased by 3%, from BD 1.633 m in the 1st quarter of last year to BD 1.584 m in the 1st quarter of the current year. The equity attributable to the shareholders of the company as at 31st March 2025 is BD 42.997 m compared to BD 44.901 m as end of last year, representing a decrease of 4%, mainly due to allocation towards shareholders' dividends payouts. The total assets by 31st March 2025 reached BD 190.520 m compared to BD 186.017 m as end of last year, representing an increase of 3%. The net Insurance contract liabilities increased from BD 64.433 m at the end of the last year to BD 64.946 m at the end of the current period, reflecting a marginal increase of 0.8%. Board of Directors' Comments Upon concluding their review of the company's results and achievements, the Board of Directors expressed their satisfaction stating: 'The Board is pleased with the results for the first three months of 2025. The Board commended the efforts of the company's management and employees, for their efforts in continuously growing the company. Largely due to the support and confidence of the BKIC customers, business partners and in conjunction with the strong commitment and eager dedication of both management and employees, the results continue to demonstrate both a positive and improving trend which the board is pleased with. As the company celebrates its 50th year anniversary, the Board of Directors is very pleased with the continuous positive trend in the company's performance and enhancements in its service offerings. Chief Executive Officer's Comments Echoing the sentiment of the Board, BKIC's CEO Dr. Abdulla Sultan reiterated that 'the company's consolidated results in the 1st quarter of 2025 are surely gratifying. Achieving Insurance revenue and Net Profit growth in the current economic conditions is a worthy accomplishment. In addition, witnessing improved Net Profits in both BKIC and the Takaful International subsidiary is even more rewarding. Moreover, Dr. Sultan expressed his pride in the latest additions in senior management to the company. The profile of the new COO Mr. Mohamed AlMaraj and his work ethics, culture and vision is in harmony with the company. During this year, the company will be launching various new technological advancements in its digital channels and instigate its internal customer engagement tools which are both part of the company's approved strategy 'Customer 1st'.
Daily Tribune
26-03-2025
- Business
- Daily Tribune
Bahrain Kuwait Insurance Company AGM approves 25% Cash dividend
TDT | Manama Bahrain Kuwait Insurance Company (BKIC) held its Annual General Meeting (AGM) for the financial year 2024 yesterday at the Company's Head office in Seef District with a quorum of 85.85%, and in the presence of representatives of the relevant regulatory authorities. The General Assembly approved the Board of Directors' recommendation to distribute a cash dividend of 25% equivalent to 25 fils per share amounting to BD 3,691,762 (excluding the treasury shares). Subsequently, the Extraordinary General Meeting convened, where the Board of Directors' recommendation to amend and restate the company's Memorandum of Association (MOA) and Articles of Association (AOA) to comply with the requirements of Legislative Decree No. 28 of 2020, amending certain provisions of the Commercial Companies Law issued by Legislative Decree No. 21 of 2001. Sound strategies Mr. Murad Ali Murad – the Chairman of BKIC stated that having collaborated more extensively within the consideration for the current environment and the expected trends ahead, the Board alongside the Management have implemented sound insurance, investment, and operational strategies with the main objective of strengthening both the market and the financial position. This task would have been impossible without an emphasis on transparency and trust to subsequently cultivate the shareholders' value properly with the aim of exceeding the expectations of all esteemed customers and stakeholders. Mr. Murad Ali Murad added that despite the challenges arising from the inflation and high interest rates and increased tax as well as the escalating geopolitical tension across the Middle East region, Bahrain Kuwait Insurance Company (BKIC) achieved a net profit attributable to the shareholders of BD 5.17 million, compared to a restated profit of BD 5 m in 2024, showing an increase of 3%. Total comprehensive income attributable to the shareholders for the year stood at BD 4.84 m compared to BD 5.59 m in 2023, showing a decrease of 13% Due to changes in fair value of investments. The total shareholders' equity as at end of December 2024 is BD 44.23 mn compared to BD 44.90 m as at end of last year, representing an increase of 2%. Investment income driven by the company's strategy to restructure the investment portfolio to earn optimum returns increased by 8%. Lastly, Mr. Murad mentioned that the international rating agency A.M. Best has affirmed the credit rating of the company 'A- Excellent with a stable outlook' after reviewing the company's and the subsidiary's performance. This rating is the highest rating in Bahrain to be awarded to a local direct insurer, reflecting the financial strength of the company to meet its future obligations, in addition to being part of the Gulf Insurance Group (GIG) which is amongst the largest insurance Groups in the region. Dr. Abdulla Sultan – the CEO of BKIC stated that, despite the challenges faced by the company in 2024, BKIC continued affirming its lead position in the local market and maintained its strong presence in Kuwait by achieving the historical records on growth, profitability and returns to shareholders. Outlook As for the future outlook, Dr. Sultan said that BKIC's focus beyond 2024 encompasses further advancements within its technology infrastructure, enhancing the data governance and analysis along with streamlining the existing processes to ensure the internal environment is resilient and stronger. The strides in this direction would enable BKIC to enhance its market position, boost the retention level of its customers, and realize its long-range ambitions.
Daily Tribune
17-02-2025
- Business
- Daily Tribune
BKIC reports 2024 net profit of BD 5.17 million
Bahrain Kuwait Insurance Company (BKIC) announced its consolidated financial results for the year ended 31st December 2024. Fourth quarter results The consolidated financial results for Q4-2024 presented a net profit attributable to the shareholders of BD 1.167 mio compared to BD 1.043 mio for the same period last year, representing an increase of 12%. Earnings per share during the three months of the current year were 8 fils compared to 7 fils for the same period of last year. The total comprehensive income attributable to the shareholders reached BD 0.418 mio in Q4- 2024 compared to BD 2.201 mio in Q4-2023, registering a decrease of 81%. The decrease was mainly due to a decrease in investments fair value recorded in the 4th quarter 2024 compared to the same period in 2023. Insurance revenue decreased by 5% from BD 29.888 mio in the 4th quarter of last year to BD 28.276 mio in the 4th quarter of the current year. The Insurance service results decreased by 2%, from BD 0.291 mio in the 4th quarter of last year to BD 0.285 mio in the 4th quarter of the current year. The Total investment income increased by 36%, from BD 1.049 mio in the 4th quarter of last year to BD 1.429 mio in the 4th quarter of the current year. Full year results The consolidated financial results for the year ended 31st December 2024 presented a net profit attributable to the shareholders of BD 5.169 mio, compared to BD 5.005 mio of the same period last year, representing an increase of 3%. Earnings per share were 35 fils during the current period compared to 34 fils of the same period last year. The total comprehensive income attributable to the shareholders was BD 4.838 mio compared to BD 5.588 mio for the same period last year, registering a decrease of 13%. The Company achieved 9% growth in gross written premium of BD 117.120 mio during this year, compared to BD 107.673 mio in the last year, reaching a record high. Insurance revenue increased by 4% from BD 109.988 in the last year to BD 114.183 mio in the current year. The Insurance service result decreased by 13%, to BD 2.893 mio in this year compared to BD 3.307mio in the last year. The reduction was driven by inflation in medical claims as well as improvement built in the IFRS17 model assumptions. The net investment income increased by 8%, from BD 4.499 mio in the last year to BD 4.844 mio in this year. The total shareholders' equity as at end of December 2024 is BD 44.901 mio compared to BD 44.229 mio as at end of last year, representing an increase of 2%. The total assets by the end of December 2024 reached BD 186.017 mio compared to BD 171.471 mio as at end of last year, representing an increase of 8%. The net Insurance contract liabilities increased from BD 62.491 mio at the end of the last year to BD 64.433 mio at the end of the current year, registering an increase of 3%.
