Asian Alliance Insurance profit soars to Rs. 752 m
Monday, 16 February 2015 00:00
Asian Alliance Insurance PLC (AAI), part of the Softlogic Group, has announced that profit after tax for the company soared to Rs. 752 million for the financial year ended December 2014, more than doubling the result for the previous year which was Rs. 362 million.
Asian Alliance Insurance is part of the Financial Services Sector of the Softlogic Group and has developed a comprehensive business strategy encompassing both Life and General Insurance that is based on the positive trends in the Sri Lankan economy.
The performance for 2014 is a reflection of the persistent execution of business goals that have enabled the company to surpass industry standards and capture market share setting it up on a trajectory of exceptional profitability and stable growth.
The company has posted outstanding top line growth recording Gross Written Premium of Rs. 4.8 billion for 2014, which is a growth of 17% compared to the previous year with Life Premiums increasing 21% to record Rs. 3.0 billion and General Insurance Premiums increasing 11% to Rs 1.7 billion. These growth rates are well above industry standards and confirm the success of the strategies that are being executed by the dedicated and talented team at Asian Alliance.
The results for 2014 also saw Net Earned Premium growing by 28% to Rs. 4.1 billion whilst Total Net Revenue increased by 44% to Rs. 6.1 billion. Total Assets of the company surpassed the 10 billion mark to Rs. 10.3 billion as at December 2014 and had increased by 38% from Rs. 7.5 billion the previous year. Equity and Reserves of the company also surged to reach Rs. 2.5 billion increasing by 40% versus the previous year. Policy Holders Funds as at end December were Rs. 6.4 billion and had grown by 31% compared to the previous year.
Commenting on the results for the year, Asian Alliance Insurance PLC Chairman Ashok Pathirage said, “It has been an outstanding performance and we are very pleased at the business growth of the company where the result this year has been further boosted by a great investment strategy. Our focus remains clear and we are fully committed to delivering exceptional value to our customers and other stakeholders, with a number of exciting initiatives in the pipeline.”
Asian Alliance Insurance PLC is held by Softlogic Capital PLC and is part of the Softlogic Group, which is recognised as one of Sri Lanka’s most diversified and fastest-growing conglomerates, with interests in healthcare, retail, ICT, leisure, automobiles and financial services. Significant stakeholders in the company also include FMO and DEG that are rated ‘AAA’ Development Financial Institutions from the Netherlands and Germany respectively.