Oman Re's net profit more than doubled in 1H2019
Source: Middle East Insurance Review | Oct 2019
Oman Re reported a net profit of OMR2.87m ($7.5m) for 1H2019, up 110% compared to the same period a year ago, mainly driven by solid growth in investment income which grew by 68.6% to OMR6.83m during the period.
Moreover, net profit improved on a quarterly basis with OMR1.69m reported for 2Q2019 against OMR1.18m for 1Q2019, Oman Re said in a statement.
The company produced GWP of OMR13.5m in 1H2019, compared to OMR15.1m recorded in 1H2018.
Due to lower premium volume and certain market losses, the combined ratio increased by 2.1 percentage points to 104.5% in the first half of 2019. With July and August renewals now concluded, Oman Re said it is confident to achieve full-year top line budget.
At the same time, the company said it was assigned a ‘BBB–’ rating with stable outlook by Fitch Ratings in June this year. According to an official statement released by Fitch Ratings, key rating drivers for Oman Re were its “good financial performance, capitalisation and reserving adequacy”.
Commenting on the results, CEO Romel Tabaja said, “As a company, we are satisfied with our financial performance for the first six months of the year. In particular, the result of strategic changes to the investment portfolio is clear, with significant improvements demonstrated in that part of the business.” M
OMR1 = $2.60