April 3, 2023
General Accident Insurance Company Limited (GENAC), for the year ended December 31, 2022 reported gross premium written of $15.11 billion, 8% higher than the $13.96 billion reported for 2021. Reinsurance ceded also rose by 8% to close at $11.33 billion relative to $10.49 billion booked in 2021. Excess of loss reinsurance trended up 46% to $317.05 million (2021: $216.99 million).
As a result, net premium written increased by 6% from $3.25 billion last year to $3.45 billion for the year ended December 31, 2022. Net premium written for the fourth quarter amounted to $983.35 million relative to $921.57 million booked for the corresponding period in 2021.
Net changes in unearned premiums totalled $125.90 million, 43% lower than the $221.21 million recorded last year. Consequently, net premiums earned, for the year ended December 31, 2022, grew by 10% to a total of $3.33 billion compared to $3.03 billion for the prior year. For the quarter, net premium earned totalled $851.01 million compared to $854.36 million booked for a similar quarter of 2021.
Underwriting profit for the year totalled $386.61 million, this compares to a profit of $80.32 million in 2021. The Company also made an underwriting profit of $217.22 million relative to a loss of $71.97 million within the fourth quarter.
Investment income closed at $436.41 million, an increase of 93% when compared with last year’s $226.53 million, while other income totalled $39.38 million, relative to $124.59 million in 2021.
Profit before taxation amounted to $708.17 million (2021: $259.70 million). Following taxes of $110.94 million (2021: $110.46 million), net profit totalled $597.23 million for the year ended December 31, 2022 a 300% increase when compared to the $149.24 million reported last year. Net profit for the quarter was $310.83 million relative to the loss of $5.87 million booked in the corresponding quarter in 2021.
Profit attributable to shareholders amounted to $543.77 million (2021: $254.75 million).
Total comprehensive income amounted to $547.28 million (2021: $143.80 million) for the year ended December 31, 2022.
As such, earnings per share for the period amounted to $0.53 (2021: $0.25), while EPS for the quarter amounted to $0.27 compared to an LPS of $0.05 in 2021. The number of shares used in our calculations amounted to 1,031,250,000 units. The stock traded at $5.01 as at March 31, 2023 with a corresponding P/E ratio of 9.50 times.
Balance Sheet at a Glance:
Total assets increased to $12.65 billion as at December 31, 2022 from $12.50 billion a year earlier. ‘Investment Securities’ and ‘Due from policyholders, brokers and agents’ contributed the most to the growth in assets to close at $3.32 billion (2021: $3.10 billion) and $1.77 billion (2021: $1.42 billion), respectively.
Shareholder’s equity as at December 31, 2022 stood at $2.89 billion (2021: $2.63 billion) resulting in a book value per share of $2.80 (2021: $2.55)
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