The earnings of most of the general insurance companies listed with the country's stock exchanges increased during the first half (H1) of this year as compared to the same period of previous year.
According to the un-audited financial statements for January-June 2018, earnings per share (EPS) of 23 companies, out of 35, increased and of 12 companies declined during the period under review.
The EPS is a portion of a company's profit allocated to each outstanding share of common stock. In short, it serves as an indicator of a company's profitability.
The general insurance companies registering increased EPS in January-June period of 2018 are: Agrani Insurance, Asia Pacific, Bangladesh National, Central Insurance, Continental, Dhaka Insurance, Eastern, Eastland Insurance, Federal, Global, Green Delta, Islami, Janata, Kharnaphuli.
The EPS of Mercantile Insurance, Nitol, Pioneer, Pragati, Provati, Reliance, Rupali, Sonarbangla and Standard also increased during the period under review.
The EPS of Pioneer Insurance rose 35 per cent in January-June period of 2018, which was the highest.
On the other hand, the EPS of Asia Pacific Insurance, Bangladesh General, City General, Northern, Paramount, Peoples, Phoenix, Prime Insurance, Purabi General, Republic, Takaful and United Insurance declined in the H1.
The EPS of Prime Insurance saw the highest decline of 94 per cent. Its EPS fell to Tk 0.06 for January-June 2018 period compared to Tk 0.96 in the same period of the previous year.
The Prime Insurance noted that lower EPS and negative operating cash flow per share were due to lower direct premium underwriting because of non-renewal of a large business and sharing of another high voluminous business with co-insurer and also for severe downturn of share market causing unrealised loss.
babulfexpress@gmail.com