Gulf Insurance Group (GIG) announced today that it has achieved a net profit of KD 12 million (USD 41 million), or 66.42 fils per share for the financial year ended December 31, 2014.
The results represent a growth of 17.6 percent with amount of KD 1.8 million (USD 6.1 million) compared to KD 10.2 million (USD 34.8 million) achieved in 2013.
The Board of Directors has recommended the distribution of 33 percent cash dividend (33 fils per share) for the financial year ended 31 December, 2014, subject to the approval of GIG's General Assembly and other concerned regulatory authorities.
GIG's book value per share has increased to 469.3 fils per share compared to 428.4 fils reported in 2013.
GIG increased its shareholder's equity by KD 5.7 million (USD 19.4 million) to reach KD 84.2 million (USD 287.4 million), representing a 7.2 percent growth rate as at December 31, 2014 compared with KD 78.5 million (USD 268 million) in 2013.
Gross written premiums grew 11 percent compared to last year, with an increase of KD 16.6 million (USD 56.5 million) to reach KD 173.6 million (USD 592.7 million) as at December 31, 2014.
Net cash and investment portfolio reached KD 190.9 million (USD 651.9 million) as at December 31, 2014, with a 12.6 percent growth amounting in KD 21.4 million (USD 73.2 million) compared to 2013.
Net investment and other income reached KD 11.6 million (USD 39.6 million) as at December 31, 2014, with a 37.5 percent growth amounting to KD 3.16 million (USD 10.8 million) compared to 2013.
GIG's net technical reserves were raised from KD 97.9 million (USD 334.1 million) as at December 31, 2013 to reach KD 106.8 million (USD 364.6 million) as at December 31, 2014. This increase of KD 8.9 million (USD 30.5 million) represents a growth of 9.1 percent, and aims to sustain the Group's operational activities, as well as protecting policy holders' rights, to ultimately strengthen GIG's ability to cover emergencies and risks that may rise in the future.
Total assets increased by KD 26.8 million (USD 91.5 million) to reach KD 347.2 million (USD 1.2 billion) as at December 31, 2014, representing a growth of 8.4 percent compared to the same period in 2013.
"Our results for the year 2014 reflect the growth we have achieved and the strengthening of our ability to preserve stakeholders' benefits and protect their rights. This is also in line with our constant endeavor to provide the best insurance services to our valued customers in all markets we operate in, supported by our proven strategy which aims at expanding our distribution networks, and our regional expansion plan to acquire greater market share locally and regionally," GIG's Chairman Farqad Al-Sane said.
"During 2014, gig established Algerian Gulf Life Insurance Company (AGLIC) in Algeria with capital of DZD 1 billion (approximately equivalent to USD 12.7 million) wherein gig's share is 42.5 percent and is expected to launch its operations during the first half of 2015," he added.
Gulf Insurance Group is the largest insurance Group in Kuwait in terms of written and retained premiums, with operations in both life and non-life insurance. It has become one of the largest insurance networks in the Middle East and North Africa, with companies in Saudi Arabia, Jordan, Lebanon, Syria, Egypt, Iraq and Bahrain, Emirates and Kuwait.