Date: April 3, 2018
Kindly see audited results for KEY Insurance Company below:
KEY Insurance Company , for the year ended December 31, 2017, reported a 50% increase in net premiums written to $293.58 million from $195.21 million. For the year end, the company, reported a 44% increase in net premiums written to $930.30 million from $645.87 million.
This was as a result of a 33% increase in gross premiums written from $1.08 billion to $1.44 billion. Reinsurance cede for the for the year rose 17% to close at $509.77 million (2016: $435.88 million). For the quarter there was a 12% increase from $101.48 million to $113.64 million for reinsurance ceded, while gross premium written experience a 37% increase year over year to $407.22 million (2016: $296.70 million).
KEY booked change in unearned premium reserve of $151.65 million relative to $111.83 million last year. As such, net premiums earned increased by 46% totalling $778.65 million versus $534.04 million for the comparable period in 2016. Net premiums earned for the quarter amounted to $230.47 million (2016: $140.02 million). Changes in insurance reserves for the period declined from $42.96 million in 2016 to $14.74 million in 2017.
The company reported $141.40 million for commission on premium written relative to $101.91 million for the comparable period of 2016, this represents a 39% increase year over year. Commission on reinsurance ceded totalled $91.30 million relative to $78.29 million in 2016.
Claims expense totalled $334.06 million, down 68% from the $1.04 billion recorded in 2016.
A loss of $51.59 million was recorded for Reinsurance recoveries, while administration and other expenses inched up 5% to close at $428.81 million compared to $410.10 million recorded in 2016. Change in unexpired risk reserves for the year closed at $8.12 million.
There was an underwriting loss of $63.04 million for the year compared to a loss of $125.18 million reported in 2016. Underwriting profit for the fourth quarter amounted to $8.67 million versus a loss of $57.94 million for the corresponding quarter of 2016.
Investment income for the period amounted to $49.41 million compared to $42.29 million in 2016. Other income for the year amounted to $38.67 million relative to $20.28 million in 2016. KEY noted, “the increase was as a result to the $36 million gain on available-for-sale equity securities disposed of during the year. This was however, offset by a $22 million reduction in foreign gains due to the relative appreciation of the Jamaican dollar.” Key booked $19.70 million for gains on revaluation of investment properties in 2017 versus $12.05 million for the year ended December 31, 2016.
Following a tax credit of $2.08 million (2016: $8.33 million), net profit for the year closed at $42.66 million compared to a loss of $42.23 million. Net profit for the quarter amounted to $60.37 million versus a loss of $44.51 million.
Earnings per share (EPS) for the quarter amounted to $0.16 relative to loss per share of $0.12 in 2016. The EPS for the year totalled $0.12, relative to a loss per share of $0.11 booked in 2016. The stock is closed the trading period at $4.65 as at March 29, 2017. The number of shares used in the calculation was 368,460,691 units.
Balance Sheet Highlights:
The company’s total assets amounted to $2.45 billion as December 31, 2017 up from $2.42 billion in 2016, representing a 1% increase. The overall growth in the asset base was attributed to a 41% increase in investment securities which closed at $713.22 million (507.48 million).
Total Stockholders’ Equity as at December 31, 2017 was $1.10 billion (2016: $1.02 billion), resulting in a book value of $2.99 (2016: $2.76).
The information contained herein has been obtained from sources believed to be reliable, however its accuracy and completeness cannot be guaranteed. You are hereby notified that any disclosure, copying, distribution or taking any action in reliance on the contents of this information is strictly prohibited and may be unlawful. Mayberry may effect transactions or have positions in securities mentioned herein. In addition, employees of Mayberry may have positions and effect transactions in the securities mentioned herein.