not vested
Takaful Malaysia 3Q net profit up by a third to RM112.34mBy Joseph Chin
Syarikat Takaful Malaysia Keluarga Bhd said despite business sentiments remaining cautious in 2019, the Takaful industry is expected to outperform the conventional insurers in view of the strong demand for Takaful products.
KUALA LUMPUR: Syarikat Takaful Malaysia Keluarga Bhd saw its
net proft increase by 33.8% to RM112.34mil in the third quarter ended Sept 30,2019 from RM83.95mil a year mainly due to an increase in net wakalah fee income.
It announced on Thursday its
revenue rose by 16.1% to RM753.51mil from RM648.95mil mainly due to higher sales generated by family Takaful business. Earnings per share rose to 13.59 sen from 10.19 sen.
Takaful Malaysia said the family Takaful business recorded gross earned contributions of RM543.7mil compared with RM436.7mil a year ago due to higher sales from credit-related products.
Family Takaful business recorded net benefits and claims of RM206.8mil, up by 1% from a year ago mainly due to higher surrender claims.
Takaful Malaysia said investment income for the family Takaful business rose to RM70.4mil from RM65.4mil mainly due to higher profit from Islamic debt securities. Family Takaful recorded fair value losses of RM9.4mil,
As for the general Takaful business generated gross earned contributions of RM171.9mil, down by 3% from RM177.1mil mainly due to fire and motor classes.
It recorded net benefits and claims of RM49mil compared with RM48.8mil. Investment income was RM7.8mil versus RM7.3mil a year ago mainly due to higher profit from Islamic debts securities.
As for the Indonesian operations, STMK said operating revenue increased by 6% to RM108.3mil from RM101.9mil. Gross earned contribution increased by 6% to RM92.8mil from RM87.7mil.
However. the Indonesian operations recorded loss before zakat and tax of RM3mil, narrowing from RM5.2mil a year ago.
Takaful Malaysia said the factors were higher expense reserves and lower surplus transferred from family Takaful fund.
“The Indonesian operations continued to be impeded by the window concept of promoting Islamic products practiced by the conventional domestic players. The takaful industry in Indonesia is anticipated to continue experiencing challenges due to the financial market volatility in addition to the economic conditions, ” it said.
For the nine months, Takaful Malaysia's net profit rose by 41.8% to RM289.73mil from RM204.35mil in the previous corresponding period.
Its profit before zakat and tax was RM332.2mil, up by 42% from RM234.2mil mainly due to higher net Wakalah fee income arising from business growth in the family Takaful and higher net investment income.
Its revenue increased by 21% to RM2.34bil from RM1.94bil mainly due to higher sales generated by family Takaful business.
On the outlook, Takaful Malaysia said despite business sentiments remaining cautious in 2019, the Takaful industry is expected to outperform the conventional insurers in view of the strong demand for Takaful products.
“Takaful Malaysia is poised to further expand its market share in 2019. To sustain its market leading position, the company will continue with its innovative strategies via the implementation of its digital strategy, introduction of online solutions, expansion of its distribution capabilities, strategic partnerships with leading Islamic banks and brand awareness initiatives.
“To support business growth and customer centricity, the company will continue its digital strategy to build the full digital ecosystem and to expand the business focus beyond credit-related business to reach out to the wide retail customer base of major partner banks, ” it said.
Source: The Star
https://www.thestar.com.my/business/bus ... QktxUUw.99
It's all about "how much you made when you were right" & "how little you lost when you were wrong"