HNB Assurance PLC (HNBA) and its fully-owned subsidiary HNB General Insurance Ltd. (HNBGI) depicted a continuous growth momentum posting a Profit After Tax (PAT) of Rs. 288 m for the second quarter of 2019 being in line with the business and profit forecast. The Group recorded a Gross Written Premium (GWP) of Rs. 4.7 b against a GWP of Rs. 4.2 b recorded in 2018, reflecting a growth of 12%.
Speaking on the performance of the Group, HNBA and HNBGI Chairperson Rose Cooray stated: “Amidst increasing challenges in the external environment, HNBA has held a firm stand within the industry, through the year of 2019, delivering a noteworthy topline growth and steady improvement in the profitability of the group. Profits of Life Insurance segments grew by 15% excluding the one-off surplus and surplus transfers recorded the previous year, while the profitability of General Insurance segment grew by 61% compared to the same period of 2018. The Group is equipped with a clear motive for continuous improvement and looks forward to leverage confidence in maintaining this profits momentum, delivering attractive returns to shareholders.”
Speaking further, Cooray added: “Reaching another significant milestone and reaffirming the robust financial strength, HNBA was included in the S&P Sri Lanka 20 index recently. The strategies of the Group remain sharp and effective, thus bears great potential of reaching new heights in terms of business expansion, innovation and new product development within both, Life and General Insurance businesses.”
Expressing his views, HNBA and HNBGI Managing Director/CEO Deepthi Lokuarachchi stated: “It is without a doubt that the well-focused strategies and collective efforts led way through to the deliverance of affirmative results despite many challenging conditions. Constituents made key, predominant focus on our set goals are being successfully achieved and en route towards overtaking.”
Sharing his views on the financial performance, Lokuarachchi added: “The Life Insurance business showcased a steady and stable growth momentum as before and well over the consolidated growth achieved by the Life Insurance sector in the country. The General Insurance business comprising of segments such as Motor and Fire projected significant results amidst a challenging environment.”
He further stated: “Total assets of the Group surpassed Rs. 24 billion and the investments in financial instruments surpassed Rs. 19 billion. The Life and General Insurance Funds reached values of Rs. 13.5 b and Rs. 2.7 b respectively. The Group remains well positioned in its differentiated portfolios and the Management wields confidence about the Group’s future outlook whilst looking forward to seizing new opportunities and expanding its footprint.”