ADNIC reports 11.1 percent sequential growth in Q3- 2019

ABU DHABI, Abu Dhabi National Insurance Company reported AED194.4 million in net profit in Q3-2019, a 11.1 percent growth on the comparable period last year.

The shareholders’ equity increased by 5.1 percent to AED 2.21 bn as of 30th September 2019, compared to AED2.10 bn as of 31st December 2018.

For the nine-month period ended 30th September 2019, ADNIC’s gross written premiums increased by 34.0 percent to AED2.98 billion, compared to AED2.23 billion for the same period in 2018, the company said in a statement on Tuesday.

The overall premium retention ratio is 30.8 percent for the nine-month period ended 30th September 2019, compared to 51.0 percent for the same period in 2018. For the same period, ADNIC’s net underwriting profit is AED274.1 million, against AED304.7 million for the same period in 2018.

Commenting on ADNIC’s performance, Sheikh Mohamed bin Saif Al Nahyan, Chairman of ADNIC, said, “After a successful start to the year, ADNIC continues to deliver consistent profitability with growth that outpaces the industry average, and remains focused on delivering its strategic objectives despite economic challenges. ADNIC offers a wide range of insurance coverage with prudent risk management, and the management continues to focus on having a well-diversified portfolio of insurance offerings. This year, we were also able to further improve our geographical footprint as well as acquire prestigious accounts.”

He added, “Additionally, ADNIC’s top-line results for the first nine months of 2019 show strong growth in written premiums, which increased by more than a third compared to the same period last year. The company also delivered its second consecutive quarter of bottom-line growth, with net profit increasing by 11.1 percent in the third quarter of 2019. ADNIC’s achievements were made possible by the deep support of our customers, partners and shareholders, as well as the exceptional contributions of our employees, and we will continue to use our strength and competitive advantage to protect the interest of all stakeholders, and we will continue to enhance our services.”

Ahmad Idris, CEO of ADNIC, said, “ADNIC delivered a solid top-line performance in the first nine months of 2019 with growth in underwritten premium, demonstrating the fundamental strength of the company as we continue to cement our position as one of the region’s preferred insurers. ADNIC’s performance was driven by our sustained business momentum, strong balance sheet, and solid market position, which have combined to deliver strong performance and lay strong foundations for future growth. Additionally, our resilient business model and operating strategy have contributed to growth in profit, which will support our efforts to invest in further product innovation and enhanced customer service.”

He added, “I would like to thank ADNIC’s Board of Directors and shareholders for their continued support, our clients and partners for the trust and confidence they have placed in us, and our management team and employees for their hard work and dedication. Looking forward to the remainder of 2019, we will remain firmly focused on maintaining the strong upwards growth trajectory, as we continue to meet the needs of our customers and the expectations of our shareholders.”

ADNIC’s cash balances increased by 4.5 percent to AED893.1 million as of 30th September 2019, compared to AED854.6 million as of 31st December 2018.

Total investments including cash in time deposits, bank accounts and investment properties increased by 3.7 percent to AED3.88 billion as of 30th September 2019, compared to 3.75 billion as of 31st December 2018.

Total assets increased by 8.4 percent to AED7.86 billion as of 30th September 2019, compared to AED 7.25 billion as of 31st December 2018.

ADNIC’s net investment and other income increased by 17.3 percent to AED 106.4 million for nine-month period ended 30th September 2019, compared to AED 90.7 million for the same period in 2018.

Source: Emirates News Agency