Habib Insurance Co. Ltd.PSX: HICL

HICL - Transmission of Half Yearly Accounts for the Period Ended June 30 2025

Aug 29, 2025 at 10:06 AM UTC · Issued by Habib Insurance Co. Ltd.

Habib Insurance

Est.1942

Habib Insurance Company Limited Accounts for the Half Year ended June 30, 2025 (Unaudited)

Contents

Company Information 1

Directors' Review 2

Independent Auditor's Review Report 4

Condensed Interim Statement of Financial Position 5

Condensed Interim Statement of Profit or Loss and Other Comprehensive Income 6

Condensed Interim Statement of Changes in Equity 7

Condensed Interim Statement of Cash Flow 8

Notes to the Condensed Interim Financial Statements 9

Financial Statements - Window Takaful Operations

Independent Auditor's Review Report 27

Condensed Interim Statement of Financial Position 28

Condensed Interim Statement of Profit and Loss and Comprehensive Income 29

Condensed Interim Statement of Changes in Fund 30

Condensed Interim Statement of Cash Flow 31

Notes to the Condensed Interim Financial Statements 32

Company Information

Board of Directors

Chairman : Rafiq M. Habib

Directors : Mansoor G. Habib Muhammad Hyder Habib Qumail R. Habib

Aun Mohammad A. Habib Shahid Ghaffar

Ali Fadoo Shabbir Gulamali Ujala Mir Masood

Chief Executive : Syed Ather Abbas Chief Financial Officer : Murtaza Hussain Company Secretary : Muhammad Asif

Auditors : M/s. Grant Thornton Anjum Rahman Chartered Accountants

Share Registrar : M/s. CDC Share Registrar Services Limited

CDC House, 99-B, Block-B SMCHS, Main Shahrah-e-Faisal Karachi-74400

Registered Office : 1st Floor, State Life Bldg. No. 6

Habib Square, M. A. Jinnah Road

P.O. Box 5217, Karachi-74000 Pakistan

Tel :	(92-21) 32424030/38/39
Fax :	(92-21) 32421600
UAN :	(92-21) 111 03 03 03
Website :	https://www.habibinsurance.net

DIRECTORS' REVIEW

The Directors are pleased to present the unaudited accounts of the Company for the period ended June 30, 2025.

By the Grace of Allah, the performance of the Company for the first half of the year has shown considerable improvement. Profit after tax for the period under review was Rs. 148.9 million as compared to Rs. 118.6 million of June 2024 resulting in an earning of Rs. 1.20 per share.

Habib Insurance Company Limited has Mashallah recorded an underwriting profit of Rs. 14.1 million as compared to a loss of Rs. 76.0 million of the same period last year. The gross written premium also grew by 9.7% from Rs 1.44 billion to Rs. 1.58 billion for the period.

Investment and other income for the period under review was Rs. 269.31 million as against Rs. 214.55 million of June 2024 largely due to higher capital gains recorded during the period.

The first half of the year has been encouraging and we pray to Allah for continued progress for remaining half of the year, stability and economic progress of our Country and particularly for the safety and welfare of the people.

On behalf of the Board of Directors

Karachi: August 28, 2025

AUN MOHAMMAD A. HABIB

Director

SYED ATHER ABBAS

Chief Executive

INDEPENDENT AUDITORS' REVIEW REPORT

To the members of Habib Insurance Company Limited

Report on review of condensed Interim Financial Statements Introduction

We have reviewed the accompanying condensed interim statement of financial position of Habib Insurance Company Limited ("the Company") as at June 30, 2025 and the related condensed interim of statement comprehensive income, condensed interim cash flows statement and condensed interim statement of changes in equity, and notes to the condensed interim financial statements for the six-month period then ended (here-in-after referred to as the "interim financial statements"). Management is responsible for the preparation and presentation of this interim financial statements in accordance with accounting and reporting standards as applicable in Pakistan for condensed interim financial reporting. Our responsibility is to express a conclusion on these financial statements based on our review.

Scope of Review

We conducted our review in accordance with International Standard on Review Engagements 2410, "Review of Interim Financial Information Performed by the Independent Auditor of the Entity". A review of interim financial statements consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with International Standards on Auditing and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

Conclusion

Based on our review, nothing has come to our attention that causes us to believe that the accompanying interim financial statements is not prepared, in all material respects, in accordance with the accounting and reporting standards as applicable in Pakistan for interim financial reporting.

Other Matter

Pursuant to the requirements of section 237(1)(b) of the Companies Act 2017, only cumulative figures for the half year, presented in the second quarter accounts are subject to limited scope review by the statutory auditors of the Company. Accordingly, the figures of the condensed statement of comprehensive for the three months period from March 31, 2025 to June 30, 2025 have not been reviewed by us.

The engagement partner on the review resulting in this independent auditors' review report is Muhammad Khalid Aziz.

Chartered Accountants

UDIN: RR202510154hEXDlNxFy

Place: Karachi

Date: August 29, 2025

Condensed Interim Statement of Financial Position as at June 30, 2025 (Unaudited)

Assets

(Unaudited) (Audited)

June 30, December 31,

Note 2025 2024

(Rupees in ' 000)

Property and equipment 7

Intangible assets Investments

Equity securities 8

Debt securities 9

Loans, deposits and other receivables 10

Insurance/ reinsurance receivables 11

Reinsurance recoveries against outstanding claims 20

Salvage recoveries accrued

Deferred commission expense 21

Prepayments 12

Taxation - provision less payment

Cash and bank 13

103,678

11,891

2,168,741

885,916

90,808

1,299,578

671,351

131,233

166,366

458,040 -

86,802

99,414

13,358

2,009,403

526,085

85,406

1,528,029

580,330

110,252

212,519

705,083

43,950

250,601

6,074,404 6,164,430

Total Assets of Window Takaful Operations - Operator's Fund 250,206 320,283

Total Assets 6,324,610 6,484,713

Equities and Liabilities

Capital and reserves attributable to Company's equity holders

Ordinary share capital 14 619,374 619,374

Reserves 15 1,268,674 1,150,819

Unappropriated profit 195,336 285,227

Total Equity 2,083,384 2,055,420

Liabilities

Underwriting provisions

Outstanding claims including IBNR 20

Unearned premium reserves 19

Premium deficiency reserves

Unearned reinsurance commission 21

Retirement benefit obligations Deferred taxation - net

Lease liability against right of use assets

Borrowings 13.1

Premium received in advance

Insurance/ reinsurance payables 16

Taxation - payment less provision

Other creditors and accruals 17

1,216,884

1,162,900

630

116,673

89,389

290,340

23,720

47,875

219,269

602,987

3,238

304,790

1,044,318

1,517,647

7,769

191,175

82,704

296,886

25,762 -

101,647

563,811 -

403,935

4,078,695 4,235,654

Total Liabilities of Window Takaful Operations - Operator's Fund 162,531 193,639

Total Liabilities 4,241,226 4,429,293

Total Equity and Liabilities 6,324,610 6,484,713

Contingencies and commitments 18

The annexed notes from 1 to 31 form an integral part of these condensed interim financial statements.

MANSOOR G. HABIB

Director

AUN MOHAMMAD A. HABIB

Director

SHABBIR GULAMALI

Director

SYED ATHER ABBAS

Chief Executive

MURTAZA HUSSAIN

Chief Financial Officer

Condensed Interim Statement of Profit or Loss and Other Comprehensive Income (Unaudited) For the six months period ended June 30, 2025

(Unaudited) (Unaudited) Three months period Six months period

ended June 30, ended June 30,

2025 2024 2025 2024

Note (Rupees in ' 000) (Rupees in ' 000)

Net insurance premium	19	435,578	354,644		858,035		750,510
Net insurance claims	20	(264,682 )	(191,108)		(481,435)		(433,555)
Reversal of premium deficiency		7,139	113		7,139		113
Net commission revenue	21	(12,846 )	(4,184)		(23,417)		(14,689)
Insurance claims and acquisition expenses		(270,389 )	(195,179)		(497,713)		(448,131)
Management expenses		(156,569 )	(201,880)		(346,175)		(378,414)
Underwriting results		8,620	(42,415)		14,147		(76,035)
Investment income - net	22	111,419	54,096		262,492		146,980
Other income	23	3,673	35,405		6,820		67,572
Other expenses		(20,832 )	(4,188)		(23,948)		(6,844)
Results of operating activities		102,880	42,898		259,511		131,673
Finance costs		(1,582 )	(2,118)		(2,718)		(3,479)
Profit before tax from Window Takaful Operations - Operator's Fund		(15,078 )	22,327		(38,969)		44,973
Profit before tax		86,220	63,107		217,824		173,167
Income tax expense		(30,709 )	(20,950)		(68,840)		(54,581)
Profit after tax		55,511	42,157		148,984		118,586
Other comprehensive income:
Items that may be reclassified subsequently to
profit and loss account
Unrealised gain / (loss) on revaluation of available-for-sale investments		141,827		146,834		118,664 236,810
Less: Net loss transferred to profit and loss on disposal / redemption / impairment of investments		(59,699 )		-		(114,643) -
		82,128		146,834		4,021 236,810
Related tax impact		(23,817 )		(42,582)		(1,166) (68,675)
		58,311		104,252		2,855 168,135
Other comprehensive income / (loss) from window
takaful operations - Operator's		(1,313 )		-		- -
Other comprehensive income for the period		56,998		104,252		2,855 168,135
Total comprehensive income for the period		112,509		146,409		151,839 286,721
Earning per share - Rupees	24	Rupees 0.45 0.34			Rupees 1.20 0.96

The annexed notes from 1 to 31 form an integral part of these condensed interim financial statements.

MANSOOR G. HABIB

Director

AUN MOHAMMAD A. HABIB

Director

SHABBIR GULAMALI

Director

SYED ATHER ABBAS

Chief Executive

MURTAZA HUSSAIN

Chief Financial Officer

Habib Insurance Company Limited

Condensed Interim Statement of Changes in Equity for the six months period ended June 30, 2025 (Unaudited)

Share capital		exceptional losses		General reserve		Available-for-sale Unappropriated reserves profit Total
Balance as at January 01, 2024 619,374			9,122		355,000	(Rupees in '000) 384,945		135,012	1,503,453
Profit after tax for the period -			-		-		-	118,586	118,586
Other comprehensive loss for the period net of tax					-		168,135		168,135
Total comprehensive income for the period -			-				168,135	118,586	286,721
Final dividend of Rs. 0.625 Per share for the year ended December 31, 2023 -			-		-		-	(77,422 )	(77,422)
Transfer to general reserve	-		-		35,000			(35,000 )	-
Balance as at June 30, 2024	619,374		9,122		390,000		553,080	141,176	1,712,752
Balance as at January 01, 2025 619,374			9,122		390,000		751,697	285,227	2,055,420
Profit after tax for the period -			-		-		-	148,984	148,984
Other comprehensive income for the period - net of tax -			-		-		2,855	-	2,855
Total comprehensive income for the period -			-		-		2,855	148,984	151,839

Attributable to equity holders of the Company Capital Reserves Revenue Reserves

Reserve for

Transactions with owners directly recorded in equity

Final dividend of Rs. 1.00 Per share for the
year ended December 31, 2024	- - - -				(123,875 )		(123,875)
Transfer to general reserve	- - 115,000				(115,000 )		-
Balance as at June 30, 2025	619,374	9,122	505,000	754,552		195,336		2,083,384

The annexed notes from 1 to 31 form an integral part of these condensed interim financial statements.

MANSOOR G. HABIB

Director

AUN MOHAMMAD A. HABIB

Director

SHABBIR GULAMALI

Director

SYED ATHER ABBAS

Chief Executive

MURTAZA HUSSAIN

Chief Financial Officer

Condensed Interim Statement of Cash Flow for the Six months period ended June 30, 2025 (Unaudited)

(Unaudited) (Unaudited)

June 30 June 30

2025 2024

(Rupees in ' 000)
Operating cash flow (a) Underwriting activities
Insurance premium received		1,653,165	1,608,630
Reinsurance premium paid		(531,028)	(634,404)
Claims paid		(892,696	(753,701)
Reinsurance and other recoveries received		471,825	342,712
Commission paid		(234,508)	(215,389)
Commission received		127,960	153,947
Net cash flows from underwriting activities		594,718	501,795
(b) Other operating activities
Income tax paid		(35,619)	(39,426)
Other operating payments		(383,709)	(416,920)
Other operating receipts		8,511	557
Loans advanced		(3,910)	(1,535)
Loan repayment received		7,706	11,694
Net cash flows from other operating activities		(407,021)	(445,630)
Total cash flows from all operating activities		187,697	56,165
Investment activities
Profit/ return received		38,093	98,134
Dividend received		104,526	115,012
Payment for investments Proceeds from investments		(946,037) 548,434	(49,885) -
Fixed capital expenditure		(12,930)	(6,700)
Proceeds from sale of property, plant and equipment		249	594
Total cash flows from investing activities		(267,665)	157,155
Financing activities
Rentals paid		(11,017)	(7,940)
Dividends paid		(120,689)	(75,197)
Total cash flows from financing activities		(131,706)	(83,137)
Net cash flows from all activities		(211,674)	130,183
Cash and cash equivalents at beginning of year		250,601	471,369
Cash and cash equivalents at end of the period	13.1	38,927	601,552
Reconciliation to profit and loss account Operating cash flows		187,697	56,165
Depreciation and amortisation expense		(16,976)	(15,405)
Income tax paid		35,619	39,426
Provision for gratuity		(9,209)	(11,825)
(provision) for impairment		(2,118)	(1,366)
Gratuity paid		2,525	3,794
Profit/ return received		38,093	98,134
Dividends received Gain on sale of investments		104,526 114,643	115,012 -
Financial charges expense		(2,718)	(3,479)
Profit on disposal of property, plant and equipment		214	214
Provision of taxation		(68,840)	(54,581)
(loss) profit from window Takaful Operations - Operator's Fund		(38,969)	44,973
Decrease in assets other than cash		(446,787)	(678,988)
Decrease in liabilities other than borrowings		251,284	526,512
Profit after taxation		148,984	118,586

The annexed notes from 1 to 31 form an integral part of these condensed interim financial statements.

MANSOOR G. HABIB

Director

AUN MOHAMMAD A. HABIB

Director

SHABBIR GULAMALI

Director

SYED ATHER ABBAS

Chief Executive

MURTAZA HUSSAIN

Chief Financial Officer

Notes to the Condensed Interim Financial Statements for the six months period ended June 30, 2025 (Unaudited)

LEGAL STATUS AND NATURE OF BUSINESS
1. Habib Insurance Company Limited (the Company) was incorporated as a Public Limited Company in the year 1942 under the Companies Act, 1913 (now the Companies Act, 2017). The registered office of the Company is situated at Habib Square, M.A. Jinnah Road, Karachi and the shares of the Company are quoted on the Pakistan Stock Exchange Limited. The Company is engaged in general insurance business comprising of Fire and property, Marine and transport, Motor, Group hospitalization and other classes.
  The Company, as an Operator, was allowed to work as Window Takaful Operator on July 18, 2018 by Securities and Exchange Commission of Pakistan (SECP) under SECP Takaful Rules, 2012 to carry on General Window Takaful Operations (WTO) in Pakistan. The registered office of the Operator is situated at Habib Square, M.A. Jinnah Road, Karachi.
2. The Company operates through the following locations in Pakistan;
  Locations Address
  Head Office State Life Building No. 6, Habib Square, M.A. Jinnah Road, Karachi. Karachi Region P & O Plaza, Survey No.3/2, Sheet No.R.4.5, Railway Quarter, I.I
  Chundrigar Road, Karachi.
  Rawalpindi Branch 1st Floor, Majeed Plaza, Bank Road, Rawalpindi Cantt. Dera Ghazi Khan Branch Block No. 17, Jampur Road, Dera Ghazi Khan.
  Faisalabad Branch Fatima Tower, 2nd Floor, Kohinoor Plaza, Faisalabad. P-6161, West Canal Road.
  Multan Branch Fiesta Gardens, OPP Income, Tax Office, L.M.Q. Road, Multan. Lahore Branches 320-G/3, Main Boulevard, Johar Town, Lahore.
BASIS OF PREPARATION AND STATEMENT OF COMPLIANCE
1. These condensed interim financial statements have been prepared in accordance with the accounting and reporting standard as applicable in Pakistan for interim financial reporting. The accounting and reporting standards as applicable in Pakistan for interim financial reporting comprise of:
  - International Accounting Standard (IAS) 34, Interim Financial Reporting, issued by the International Accounting Standards Board (IASB) as notified under the Companies Act, 2017; and
  - Provisions of and directives issued under the Companies Act, 2017 and Insurance Ordinance, 2000, Insurance Rules 2017, Insurance Accounting Regulations 2017, Takaful Rules 2012 and General Takaful Accounting Regulations 2019.
    Where the provisions and directives issued under the Companies Act, 2017 and Insurance Ordinance, 2000, Insurance Rules 2017, Insurance Accounting Regulations 2017, Takaful Rules 2012, General Takaful Accounting regulations 2019 differ with the requirements of IAS 34, the provisions of and directives issued under the Companies Act, 2017 and Insurance Ordinance, 2000, Insurance Rules 2017, Insurance Accounting Regulations 2017, Takaful Rules 2012 and General Takaful Accounting Regulations 2019 have been followed.
2. These condensed interim financial statements do not include all the information and disclosures required in the annual financial statements, and should be read in conjunction with the Company's annual financial statements for the year ended December 31 2024.
3. As required under regulations 6(3) of the General Takaful Accounting Regulations, 2019, total assets, liabilities and profit of the Window Takaful Operations - Operator's fund are disclosed as a single line item in condensed interim statement of financial position and condensed interim profit and loss account respectively. Supporting notes where considered necessary for the understanding of the users of these condensed interim financial statements are enclosed as part of notes to these financial statements.
  A separate set of financial statements of the Window Takaful operations has been annexed to these condensed interim financial statements as per the requirements of the SECP General Takaful Accounting Regulation 2019.
4. Basis of measurement
  These condensed interim financial statements have been prepared under the historical cost convention, except for the investments which are stated at their fair values.
FUNCTIONAL AND PRESENTATION CURRENCY
These condensed interim financial statements are presented in Pakistani Rupees, which is the Company's functional and presentation currency. All financial information presented in Pakistani Rupees has been rounded to the nearest thousand.
The preparation of these condensed interim financial statements are in conformity with approved accounting standards which requires the management to make judgments, estimates and assumptions that affect the application of accounting policies and reported amounts of assets and liabilities, income and expense. Actual results may differ from these estimates.
In preparing these condensed interim financial statements, the significant judgments made by management in applying the Company's accounting policies and the key sources of estimation uncertainty were the same as those that applied to the financial statements as at and for the year ended December 31, 2024.
MATERIAL ACCOUTING POLICIES
The accounting policies and methods of computation adopted in the preparation of these condensed interim financial statements are consistent with those followed in the preparation of the annual financial statements of the Company for the year ended December 31, 2024.

NEW OR AMENDMENTS / INTERPRETATIONS TO EXISTING STANDARDS, INTERPRETATION AND FORTHCOMING REQUIREMENTS

There are certain new and amended standards, interpretations and amendments that are mandatory for the Company's accounting periods beginning on or after January 01, 2024 but are considered not to be relevant or do not have any significant effect on the Company and therefore not stated in these condensed interim financial statements.

Standards, interpretations and amendments to accounting and reporting standards as applicable in Pakistan that are not yet effective at period end.

There are various amendments to existing accounting and reporting standards that are not yet effective. These are not likely to have a material effect on the company's financial statements except for the following:

SECP vide its SRO 1715 dated 21 November 2023 directed the application of IFRS 17 for the period commencing from 1 January 2027.

IFRS 17 - 'Insurance contracts' has been notified by the IASB to be effective for annual periods beginning on or after January 1, 2023, however it is yet to be notified by the Securities and Exchange Commission of Pakistan. In addition, the Company has opted for the temporary exemption from the application of IFRS 9 as allowed by the International Accounting Standards Board (IASB) for entities whose activities are predominantly connected with insurance. Further details relating to the temporary exemption from the application of IFRS 9 are given in the notes below.
The management is in the process of assessing the impacts of these standards and amendments on the financial statements of the Company.

Temporary Exemption from the Application of IFRS 9 (Financial Instruments)

As an insurance company, the management has opted for the temporary exemption from the application of IFRS 9 as allowed by the International Accounting Standards Board (IASB) for entities whose activities are predominantly connected with insurance as the percentage of the total carrying amount of its liabilities connected with insurance relative to the total carrying amount of all its liabilities is greater than 90 percent and the Company doesn't engage in significant activities unconnected with insurance based on historical available information. Additional disclosures, as required by IASB, for being eligible to apply the temporary exemption from the application of IFRS 9 are as follows:

June 30, 2025 (Unaudited)

Fail the SPPI test Pass the SPPI test

Change in Carrying Cost less Change in

Financial assets Fair value unrealized value Impairment unrealized gain / (loss) gain / (loss)

during the during the

year year

(Rupees in '000)

Cash and bank*	-	-		2,270		-		-
Investment in equity securities - available for sale	2,168,741		4,061		-		- -
Investments in debt securities - held to maturity	-		-		885,916		- (8,082)
Loans and other receivables*	-		-		73,954		- -
Insurance / reinsurance receivables*	-		-		1,299,578		- -
Reinsurance recoveries against outstanding claims*	-		-		671,351		- -
Salvage recoveries accrued	-		-		131,233		- -
Window takaful operations - Operator's fund*	-		-		328,389		- -
	2,168,741		4,061		3,392,691		- (8,082)

December 31, 2024 (Audited)

Fail the SPPI test Pass the SPPI test

Change in				Carrying	Cost less Change in
Financial assets Fair value unrealized gain / (loss) during the year				value	Impairment unrealized gain / (loss) during the year
				(Rupees in '000)
Cash and bank*		-	-	250,434		-	-
Investment in equity securities - available for sale	2,009,403		(504,775 )	-		- -
Investments in debt securities - held to maturity	-		-	526,085		- (11,775)
Loans and other receivables*	-		-	61,878		- -
Insurance / reinsurance receivables*	-		-	1,528,029		- -
Reinsurance recoveries against outstanding claims*	-		-	580,330		- -
Salvage recoveries accrued	-		-	110,252		- -
Window takaful operations - Operator's fund*	-		-	236,889		- -
	2,009,403		(504,775 )	3,293,897		- (11,775)

June 30, 2025 (Unaudited)

Gross carrying amounts of debt instruments that pass the SPPI test Rating AAA AA+ AA- Other* Sovereign Unrated/

Bonds Unabailable

(Rupees in '000)

Cash and bank*	84,627	50	-	- -		-
Investments in debt securities - held to maturity	-	150,000	100,000	- 635,916		-
Loans and other receivables*	- - - - -					73,954
Insurance / reinsurance receivables*	- - - - -					1,299,578
Reinsurance recoveries against outstanding claims*	-	671,351	-	-	-	-
Salvage recoveries accrued	-	-	-	- -		131,233
	84,627	821,401	100,000	- 635,916		1,504,765

December 31, 2024 (Audited)

Gross carrying amounts of debt instruments that pass the SPPI test

Rating AAA AA+ AA- Other* Sovereign Unrated/

Bonds Unabailable

(Rupees in '000)

Cash and bank* 470,972 50 - - - -Investments in debt securities - available for sale - - 250,000 - 64,674 -Loans, deposit and other receivables* - - - - - 60,878 Insurance / reinsurance receivables* - - - - - 1,352,698 Reinsurance recoveries against outstanding claims* - 323,779 - 346,167 - 257

Salvage recoveries accrued - - - - - 46,402 470,972 323,829 250,000 346,167 64,674 1,460,235

MANAGEMENT OF INSURANCE AND FINANCIAL

Insurance and financial risk management objectives and policies are consistent with those disclosed in the annual financial statements for the year ended December 31, 2024.

		(Unaudited) June 30,	(Audited) December 31,
Note		2025	2024
(Rupees in '000)
7. Property and equipment
Tangible operating assets	7.1 83,932		79,206
Right-of-use assets	7.2 19,746		20,208
	103,678		99,414

7.1 Tangible operating assets
Opening written down value	79,206		76,970
Additions during the period / year	7.1.1 12,930		19,437
Disposals during the period / year	7.1.2 (153 )		(1,471)
Write off during the period	-		-
Depreciation for the period / year	(8,051 )		(15,730)
Closing written down value	83,932		79,206

7.1.1 The following additions to tangible - operating assets were made during the period / year:

(Unaudited) (Audited)

June 30, December 31,

2025 2024

(Rupees in '000)

	Furniture and fixtures	1,569	349
	Computer equipment	1,814	3,712
	Office equipment	1,265	4,013
	Motor Vehicles - owned	8,282	11,363
		12,930	19,437

7.1.2	The following disposals of tangible - operating assets were made during the period / year:
Furniture and fixtures		2	(615)
Computer equipment		47	(48)
Office equipment		104	(705)
Motor Vehicles - owned		-	(103)
		153	(1,471)

7.2 Right-of-use assets
Opening balance		20,208	37,051
Additions during the period / year		6,997	-
Disposals during the period / year		-	(1,841)
Depreciation charge for the period / year		(7,459 )	(15,002)
Closing balance		19,746	20,208

8. INVESTMENT IN EQUITY SECURITIES

June 30, 2025 (Unaudited) December 31, 2024 (Audited)

Cost Impairment / Revaluation Carrying Cost Impairment / Revaluation Carrying provision surplus value provision surplus value

(Rupees in '000) (Rupees in '000)

Related Parties Listed shares	385,934	-		403,385		789,319		208,289		-		322,283		530,572
Others
Listed shares	703,718		(5,465 )		624,593		1,322,846		719,546		(3,345)		715,736		1,431,937
Listed preference shares	19,331		-		5,843		25,174		19,331		-		1,756		21,087
Mutual funds	4,465		-		-		4,465		763		-		3,885		4,648
Modaraba certificate	15,014		-		11,923		26,937		15,014		-		6,145		21,159
Others	742,528		(5,465 )		642,359		1,379,422		754,654		(3,345)		727,522		1,478,831
	1,128,462		(5,465 )		1,045,744		2,168,741		962,943		(3,345)		1,049,805		2,009,403

9. INVESTMENT IN DEBT SECURITIES
	(Unaudited) June 30,	(Audited) December 31,
Note	2025	2024

(Rupees in '000)

Government securities - (available for sale)	9.1	635,916	276,085
Term finance certificates - unsecured (available for sale)	9.2	250,000	250,000
		885,916	526,085

This represents PIBs having face value of Rs.620.0 million (market value of Rs.635.915 million) [December 31, 2024: Rs. 270.0 million (market value of Rs.276.08 million)]. These carry mark-up ranging from 11.81% to 13.75% (December 31, 2024: 13.1% to 13.75%) per annum and will mature between July 04, 2026 to November 10, 2033. PIBs having face value of Rs. 70.0 million have been deposited with the State Bank of Pakistan (SBP) as statutory deposit in accordance with the requirements of Section 29 of the Insurance Ordinance, 2000 and circular no. 15 of 2008 dated July 07, 2008 issued by the SECP.
(Unaudited) (Audited)
TERM FINANCE CERTIFICATES - Unsecured (available for sale) June 30, December 31,

2025 2024

Name of Company

Name of Chief Executive

Term/ Profit Payment

No. of Certificates

Cost

Bank Alfalah Limited

Mr. Atif Bajwa

Parpetual and 6 monthly

Non-cumulative KIBOR + 2%

20,000

100,000

Bank AL Habib Limited

Mr. Mansoor Ali Khan

Perpetual and 6

monthly KIBOR + 1.65%

30,000

52,065

(Rupees in '000)

100,000 100,000

10. LOANS, SECURITY DEPOSIT AND OTHER RECEIVABLES

- Considered good

150,000 150,000

250,000 250,000

(Unaudited) (Audited)

June 30, December 31,

2025 2024

(Rupees in '000)

	Accrued investment income	26,724		14,526
	Security Deposits	15,276		13,699
	Advances	5,386		14,365
	Agents Commission receivable (advance)	-		1,567
	Loan to employees	26,264		27,502
	Receivable from Window Takaful Operations	2,890		2,412
	Receivable from employees - parents insurance policy	417		2,172
	Input sales tax	11,468		9,163
	Other receivables	2,383		-
		90,808		85,406
11.	INSURANCE / REINSURANCE RECEIVABLES - Unsecured and considered good
Due from insurance contract holders
Considered good		487,384	680,240
Considered doubtful Less: Provision for impairment of receivables from		20,488	20,488
insurance contract (20,488 )			(20,488)

487,384 680,240

812,194	847,789
30,165		30,165
(30,165 )		(30,165)
812,194		847,789
1,299,578		1,528,029

Due from other insurers / reinsurers Considered good

Considered doubtful

Less: provision for impairment of due from other insurers / reinsurers

PREPAYMENTS
(Unaudited) (Audited)
June 30, December 31,
Note 2025 2024
(Rupees in '000)
Prepaid reinsurance premium ceded 443,390 676,990
Prepaid employees group / health insurance 2,808 11,712
Others 11,842 16,381
458,040 705,083
CASH AND BANK BALANCES
Cash and cash equivalents
Cash in hand 405 59
Policy stamps 1,720 108
2,125 167
Cash at bank
Current accounts 82,407 15,029
Savings accounts 2,270 235,405
84,677 250,434
86,802 250,601
1. Cash and short term borrowing include the following for the purposes of the cash flow statement:
  Cash and cash equivalents 86,802 601,552 Short term borrowings of upto three months
  (running finance) 13.1.1 (47,875 ) -
  38,927 601,552
  1. This represents overdrawn bank balance for the period. The Company has a running finance facility from a Bank of Rs. 50.0 million valid for 1 year from December 01, 2024 at interest rate of 6 months average KIBOR plus 0.5%. The facility is secured against Lien / Pledge of Pakistan Investment Bonds of 5 years for Rs. 50.0 million in favor of the Bank with 10% margin held in IPS account of the company

SHARE CAPITAL

Authorized Capital

(Unaudited)	(Audited)	(Unaudited)	(Audited)
June 30,	December 31,	June 30,	December 31,
2025	2024	2025	2024

(Number) (Rupees in '000)

130,000,000 130,000,000 Ordinary shares of Rs. 5 each 650,000 650,000

Issued, subscribed and paid - up share capital
Ordinary shares of Rs. 5 each at the
123,874,755 123,874,755 beginning and end of the period / year 619,374 619,374

RESERVES

Capital Reserves Reserve for exceptional losses	9,122	9,122
Available-for-sale reserve	754,552	751,697
	763,674	760,819
Revenue Reserves General reserves	505,000	390,000
	1,268,674	1,150,819

INSURANCE / REINSURANCE PAYABLES

(Unaudited) (Audited)

June 30, December 31,

Note 2025 2024

(Rupees in '000)

Due to other insureres / reinsurers	16.1	602,987	563,811
16.1 Due to other insurers / reinsurers Foreign reinsurers		187,896	124,739
Local reinsurers		240,259	256,977
Co-insurers payable		174,832	182,095
		602,987	563,811
17. OTHER CREDITORS AND ACCRUALS
Agents commission payable		146,398	202,747
Federal excise duty		36,699	70,538
Federal insurance fee		2,915	5,205
Accrued expenses		22,069	45,291
Withholding tax payable		-	1,130
Unclaimed dividend		71,709	68,523
Sundry creditors		834	2,714
Workers' welfare fund		15,475	-
Others		8,691	7,787
		304,790	403,935
18. CONTINGENCIES & COMMITMENTS

Contingencies
There is no contingency as at June 30, 2025 other than those disclosed in the annual financial statements as at December 31, 2024 and note 21.1.
Commitments

There are no commitments as at June 30, 2025 (December 31, 2024: Nil)

(Unaudited) (Unaudited) Three months period Six months period

ended June 30, ended June 30,

2025 2024 2025 2024

(Rupees in ' 000) (Rupees in ' 000)

19.	NET INSURANCE PREMIUM
	Written gross premium	764,664	643,483	1,307,092	1,209,564
	Add: Unearned premium reserve - opening	1,240,929	1,104,008	1,517,647	1,390,472
	Less: Unearned premium reserve - closing	(1,162,900 )	(938,063)	(1,162,900)	(938,063)
	Premium earned	842,693	809,428	1,661,839	1,661,973
	Less: Reinsurance premium ceded	392,105	334,746	570,204	624,105
	Add: Prepaid reinsurance premium - opening	458,400	487,360	676,990	654,680
	Less: Prepaid reinsurance premium - closing	(443,390 )	(367,322)	(443,390)	(367,322)
	Reinsurance expense	407,115	454,784	803,804	911,463
	Net insurance premium	435,578	354,644	858,035	750,510

(Unaudited) (Unaudited) Three months period Six months period

ended June 30, ended June 30,

2025 2024 2025 2024

(Rupees in ' 000) (Rupees in ' 000)

20. NET INSURANCE CLAIMS EXPENSE
Claims paid	519,762	416,299	892,696	753,701
Add: Outstanding claims including IBNR - closing	1,216,884	1,125,618	1,216,884	1,125,618
Less: Outstanding claims including IBNR - opening	(1,109,408 )	(1,140,852)	(1,044,318)	(1,055,320)
Claims expense	627,238	401,065	1,065,262	823,999
Reinsurance and other recoveries received	306,197	193,267	471,825	342,712
Add: Reinsurance and other recoveries in respect of
outstanding claims net of impairment - closing	802,584	764,337	802,584	764,337
Less: Reinsurance and other recoveries in respect of
outstanding claims net of impairment - opening	(746,225 )	(747,647)	(690,582)	(716,605)
Reinsurance and other recoveries revenue	362,556	209,957	583,827	390,444
Net insurance claims expense	264,682	191,108	481,435	433,555
21. NET COMMISSION INCOME
Commissions paid or payable	104,077	88,019	178,159	159,202
Add: Deferred commission - opening	175,388	141,271	212,519	184,408
Less: Deferred commission - closing	(166,366 )	(116,783)	(166,366)	(116,783)
Commission expense	113,099	112,507	224,312	226,827
Less: Commission from reinsurers
Commission received or receivable	83,839	83,011	126,393	154,677
Add: Unearned reinsurance commission - opening	133,087	117,435	191,175	149,584
Less: Unearned reinsurance commission - closing	(116,673 )	(92,123)	(116,673)	(92,123)
Commission from reinsurers	100,253	108,323	200,895	212,138
Net commission income	(12,846 )	(4,184)	(23,417)	(14,689)
22. INVESTMENT INCOME
Income from equity securities and mutual fund units - - Dividend income	24,907	31,207	104,526	115,012
Income from debt securities - available-for-sale

available-for-sale

- Pakistan Investment Bonds	18,613	1,926	27,510	3,859
- Term Finance Certificates	9,018	14,846	18,301	29,475
	27,631	16,772	45,811	33,334
Net realised gain / (loss) on investments
- Equity securities	59,699	-	114,643	-
	59,699	-	114,643	-
Total investment income	112,237	47,979	264,980	148,346
Less Impairment in value of available-for-sale investments equity securities	(610 )	6,117	(2,118)	(1,366)
Less: Investment related expenses	(208 )	-	(370)	-
	111,419	54,096	262,492	146,980

Three months period Six months period

ended June 30, ended June 30,

2025 2024 2025 2024

(Unaudited) (Unaudited)

(Rupees in ' 000) (Rupees in ' 000)

23.	OTHER INCOME
	Return on bank balances	2,281	33,723	4,480	64,750
	Gain on sale of fixed assets	113	134	96	214
	Return on loan to employees	838	988	1,774	2,048
	Miscellaneous	441	560	470	560
3,673 35,405 6,820						67,572
24.	EARNINGS PER SHARE - BASIC AND DILUTED Profit after tax for the period	55,511	42,157	148,984 118,586
Weighted average number of ordinary shares		(Number of Shares)		(Number of Shares)
of Rs. 5 each		123,874,755 123,874,755		123,874,755 123,874,755
		(Rupees)		(Rupees)
Basic earnings per share		0.45 0.34		1.20 0.96

24.1 No figure for diluted earnings per share has been presented as the Company has not issued any instrument which would have an impact on earnings per share when exercised.

25. TRANSACTIONS WITH RELATED PARTIES

Related parties of the Company comprise of associated companies, companies with common directors, major shareholders, staff retirement funds, directors and key management personnel. Compensation to key management personnel are at employment terms. Dividend income is recorded at the amount declared by the investee company. Contribution to the provident fund is in accordance with the Provident Fund Rules. Other transactions are at agreed rates.

The balances with / due from and transactions with related parties, other than those which have been specifically disclosed elsewhere in the financial statements are as follows:

(Unaudited) (Unaudited) Three months period Six months period

ended June 30, ended June 30,

2025		2024		2025		2024
(Rupees in ' 000)
Transactions and balances with associated companies
(under the Companies Act, 2017).
Transactions during the year with associated companies
Premium written	120,543		164,761		153,864		225,632

Claims paid	52,728		114,561		113,407		132,689

Dividend received	15,933		24,581		44,755		71,781

Dividend paid	2,868		2,868		46,105		7,015

Investment made	105,425		-		177,644		-

Interest received on bank accounts	2,281		33,723		4,480		64,750

Bank charges	174		174		318		281

Fees paid	250		280		250		280

Donations	825		800		1,625		1,600

Premium ceded to reinsurers	49,025		82,591		99,170		119,245

Commission income	11,855		16,509		25,027		28,948

Reinsurance recoveries received	36,318		45,286		60,119		82,607

Interest expense	740		3,479		740		3,479

Brokerage expenses paid	257		-		257		-

Remuneration of key management personnel	12,590		68,958		98,671		125,275

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