February 18, 2025
General Accident Insurance Co. Ja. Ltd.(GENAC)
Unaudited financials for the twelve months ended December 31, 2024:
General Accident Insurance Co. Ja. Ltd. (GENAC) for the twelve months ended December 31, 2024 reported a 38% increase in insurance revenue totaling $11.84 billion compared to $8.58 billion in the corresponding period last year. Insurance revenue for the fourth quarter had a 105% increase to close at $3.55 billion compared to $1.73 billion for the comparable quarter of 2023.
Insurance Service Expenses amounted to $6.86 billion (2023: $5.64 billion), this represents an increase of 22% year over year. Consequently, net expenses from reinsurance contracts held increased by 112% to $4.75 billion compared to $2.24 billion for the twelve months ended December 31, 2023. The company booked net expenses from reinsurance contracts held of $2.04 billion for the fourth quarter versus $369.57 million reported for the similar quarter of 2023.
Insurance service result decreased by 68% to close at $224.73 million (2023: $696.11 million), while Net Investment Income increased by 25% from $243.33 million in 2023 to $304.99 million in the period under review. As a result, net insurance and investment result for the twelve months ended December 31, 2024 amounted to $529.73 million, a 44% decrease relative to $939.43 million reported in 2023.
Other Operating Income for the twelve months ended December 31, 2024, amounted to $433.82 million, a 51% increase relative to $287.57 million reported in 2023. Other Operating Income for the fourth quarter amounted to $182.94 million (2023: $92.92 million). Other Operating Expenses totaled $542.18 million, a 11% increase from the corresponding period last year. (2023: $486.50 million).
Profit before taxation for the twelve months ended December 31, 2024, amounted to $421.37 million, a 43% decrease relative to $740.50 million reported in 2023. Profit before taxation for the fourth quarter amounted to $124.42 million (2023: $519.07 million).
The tax charge for the twelve months ended December 31, 2024 had a 43% decrease to reach $109.32 million (2023: $192.23 million) . Net Profit for the year for the twelve months amounted to $312.05 million, a 43% decrease from the $548.27 million reported in 2023. For the fourth quarter, Net Profit for the year was $95.53 million (2023: $391.38 million). Net profit attributable to shareholders for the twelve months ended December 31, 2024 had a 43% decrease to reach $306.02 million (2023: $540.18 million). For the fourth quarter, Net profit attributable to shareholders decreased by 75% to total $97.54 million (2023: $384.30 million).
Unrealized gains on FVOCI investments amounted to $119.33 million (2023: losses of $25.11 million). Unrealized losses on FVOCI investments for the quarter decreased by 40% to $31.93 million (2023: $53.32 million). Foreign currency translation reserve increased by 128% to $52.94 million (2023: $23.22 million). Foreign currency translation reserve for the quarter totaled $24.07 million relative to the $3.56 million booked in the prior year’s quarter.
Total comprehensive income for the period totaled $484.32 million, relative to the $546.38 million reported twelve prior. For the quarter, Total comprehensive income amounted to $87.68 million compared to the $341.63 million reported in 2023.
Consequently, Earnings Per Share for the twelve months amounted to $0.30 (2023: EPS: $0.52), while Earnings Per Share for the quarter totaled $0.09 (2023: EPS: $0.37). The number of shares used in these calculations was 1,031,250,000.
Notably, GENAC’s stock price closed the trading period on February 17, 2025 at a price of $6.17 with a corresponding P/E ratio of 20.79x.
Balance Sheet Highlights
The company’s assets totalled $12.74 billion (2023: $9.82 billion). The movement in total assets was mainly influenced by 83% increase in ‘Cash and cash equivalents’ amounting to $1.98 billion (2023: $1.08 billion), a $1.05 billion increase in ‘Reinsurance contract assets’ amounting to $3.09 billion ($2023: $2.04 billion). Additionally, ‘Investment securities’ increased by 20% amounting to $3.81 billion (2023: $3.17 billion) and ‘Other Receivables’ increased by $622.52 million to reach $1.98 billion (2023: $1.36 billion).
Shareholder’s equity was $3.91 billion (2023: $3.64 billion), representing a book value per share of $3.80 (2023: $3.53).
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