Harare – First Mutual Holdings Limited said Gross Premium Written (GPW) for the six months ended June 30 2018 surged 38 percent to $84.7 million compared to $61.5 million prior year.
In a statement accompanying the Group’s financial results, Group Chairmain, Oliver Mtasa said the growth in GPW was a result of the acquisition of NicozDiamond Insurance Company Limited (NDIL) as well as the growth in life assurance, pensions and health insurance segments.
“The continued growth in single premiums, under the pensions segment, is a reflection of market confidence in the First Mutual brand.”
In the period under review, Mutasa said consolidated rental income stood at $3.8 million compared to $3.2 million last year.
“The positive movement is attributed to improved weighted average occupancy and the increase in the average rental square metre. In 2017, management embarked on an exercise to improve the ambience of the property portfolio which helped in attracting new tenants and retentions of existing ones.”
Operating profit, a critical measure of the Group’s performance according to Mutasa, went up by 227 percent to $5.4 million compared to $1.6 million last year.
Mutasa said NDIL contributed $1 million to the increase of the Group’s operating profit.
During the period under review the Group attained an investment profit of $1.8 million against an investment profit of $13 million for the same period in 2017.
Mtasa said the decline was a result of sluggish performance in the share prices in 2018 compared to 2017.
The Group’s profit for the period grew by 102 percent to close at $8.7 million compared to $4.3 million last year.
The profit is attributable to equity holders of the parent for the six months is $6.6 million compared to $4 million last year.
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