BNH reports net profit BD2.3m in nine months

Bahrain National Holding Company (BNH), the parent company of Bahrain National Insurance (bni) and Bahrain National Life Assurance (bnl) has announced a net profit of BD2.3 million for the nine-month period ended 30 September 2013; against BD 1.4 million for the same period last year. The Comprehensive Income was 3.0 million in 2013 and BD 1.7 million for 2012.

The Company registered Gross Premium of BD 19.8 million, an increase of 9.4% compared to the same period last year. The net earned premium income was BD 10.7 million for the period in comparison to BD 10.5 million for the same period in 2012. Underwriting profits was at BD 0.8 million in comparison to BD 0.5million for the same period in 2012. Group Assets as of September 30th 2013 increased to BD 82.9 million from BD 76.7 million as of 2012.

Net Investment income for the period increased to BD 2.3 million compared to BD 1.8 million for the same period in 2012. However, investment portfolio fair value increased by BD 0.5 million compared to 2012.

At the subsidiary level, bni achieved a net profit of BD 2.5 million compared to BD 1.6 million last year. Gross premiums increased by 8% compared to 2012 & net earned premiums grew by 5% compared to 2012. The underwriting profit was higher by 38% compared to 2012. Net Investment income was higher by 63% compared to 2012. Total Assets increased by 10.1% compared to 2012.

The life and medical insurance subsidiary bnl reported a net profit of BD 0.2 million compared to BD 0.1 million in 2012. Gross premiums increased by 12.2% compared to 2012 & Net earned premiums decreased by 4.4% compared to 2012. The underwriting profit was lower compared to 2012, due to lower life Gross Written premiums. Net Investment income was higher by 36.6% compared to 2012. Total Assets increased by 6.2% compared to 2012.

“We are pleased with the overall performance despite the challenging market conditions; the growth in gross premium is due to a sharp increase in our general and medical insurance business, while our motor portfolio also performed well. Profitability was boosted due to good control over claims, reduction in expenses and strong investment returns,” Mahmood Al Soufi, Chief Executive of BNH, said.

“We will continue to drive operational efficiencies and strive to maintain the same trend moving forward. Our regional expansion plans, as explained earlier in the year, continue to develop well,” it added.