ROC reports $7.55 million loss for nine months

Date: October 19, 2018

IronRock Insurance Company Limited, For the nine months ended September 30, 2018 posted gross premium of $381.51 million relative $257.27 million; this represents a 48% increase. While for the third quarter gross premium was $99.40 million relative to $83.93 million for 2017.

Change in gross provision for unearned premiums amounted to $226.37 million compared to $180.06 million in 2017. Excess of loss premium totalled $25.20 million relative to $19.33 million for last year. As such, gross insurance premium revenue amounted to $129.94 million relative to $57.88 million in 2017, soaring by 124%.

Net insurance premium revenue amounted to $128.65 million, relative to $47.29 million in 2017.

Commission expense totalled $42.98 million in contrast to $20.30 million in 2017, while commission income grew 96% to total $43.04 million (2017: $21.98 million)

The company booked a negative net claim of $61.02 million relative to $34.18 in 2017.

Operating expenses for the period increased to $110.52 million relative to 2017’s figure of $99.39 million. This resulted in an underwriting loss of $42.82 million compared to a loss of $84.61 million for 2017.

Investment income for the period amounted to $24.25 million relative to $23.18 million in 2017, a 5% increase. In addition, Loss on sale of investment and foreign exchange gain closed the period at $1.42 million and $9.60 million respectively.

Loss for the period totalled $7.55 million compared to a loss of $60.37 million in 2017, a 87% improvement. For the third quarter, the company booked profit amounting to $1.08 million 108% more than the loss of $14.08 million reported in 2017.

Loss per share for the period totaled $0.04 (2017: $0.28); while LPS for the quarter was $0.005 (2017: $0.0658). The trailing twelve months loss per share amounted to $0.023. The stock price as at October 19, 2017 was $4.56. The numbers of shares used in the calculations are 214,000,000.00 units.

Balance Sheet Highlights:

As September 30, 2018, assets totaled $923.59 million compared to 2017’s $795.36 million. This was mainly attributed to an increase in Investments closing the period at $442.26 million, a 23% increase. A reduction of 82% in short term investments to $30 million ($163.62 million) may have offset this increase.

Shareholder’s equity closed at $524.92 million (2017: $524.24 million) resulting in a book value per share of $2.45 (2017: $2.25).

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