HICL - Transmission of Quarterly Financial Statements for the Period Ended September 30 2025

Habib Insurance

Est.1942

Contents

Company Information 1

Directors' Review 2

Condensed Interim Statement of Financial Position 4

Condensed Interim Statement of Profit or Loss and Other Comprehensive Income 5

Condensed Interim Statement of Changes in Equity 6

Condensed Interim Statement of Cash Flow 7

Notes to the Condensed Interim Financial Statements 8

Financial Statements - Window Takaful Operations

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

Board of Directors

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

The Board Members of Habib Insurance Company Limited express profound sorrow on the passing of their esteemed Chairman, Mr. Rafiq Mohamedali Habib, on 3rd September 2025. His lifelong association with the Company, spanning more than seven decades, stands as a testament to his vision, dedication, and leadership. Mr. Habib began his career with Habib Insurance in 1956 as a young management trainee and went on to serve with unwavering commitment, eventually becoming Chairman of the Board in 2001.

A visionary leader, entrepreneur and philanthropist, Mr. Rafiq Habib made significant contributions to Pakistan and its people. His business and philanthropic endeavors were guided by foresight, integrity, and a deep commitment to organizational longevity and national betterment. His long association with Habib Insurance is a source of immense honor, pride and inspiration for the Board, management, and staff - his guidance, leadership, and humility continue to inspire us and uphold the Company's enduring values.

The Board places on record its deepest appreciation for his outstanding service and prays to Allah that his soul rests in eternal peace.

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

Reviewing the results for the nine months of the year, by the Grace of Allah, the profit after tax was Rs. 158.34 million as against Rs. 126.68 million of the same period last year, an increase of 25%.

The written gross premium also grew by 3.4% from Rs. 2.89 billion to Rs. 2.99 billion with net premium revenue of Rs. 1.51 billion compared to Rs. 1.30 billion of the corresponding period. There was an underwriting loss of Rs. 47.47 million as compared to a loss of Rs. 135.62 million of the same period last year

Investment & Other Income for the period under review grew from Rs. 296.37 million of last year to Rs. 325.00 million. As a result, the earning per share rose to Rs. 1.28 per share from Rs. 1.02 per share.

We pray to Allah for the peace and prosperity within the Country and also for a successful year closing of the Company with improvement in underwriting results and with rising investment income.

On behalf of the Board of Directors

Karachi: October 30, 2025

AUN MOHAMMAD A. HABIB

Director

SYED ATHER ABBAS

Chief Executive

Assets

(Unaudited) (Audited) September 30, December 31,

Note 2025 2024

(Rupees in ' 000)

Property and equipment 8 97,505 99,414

Intangible assets 11,172 13,358

Investments

Equity securities 9 2,730,337 2,009,403

Debt securities 10 884,251 526,085

Loans, deposits and other receivables 11 116,459 85,406

Insurance/ reinsurance receivables 12 1,519,345 1,528,029

Reinsurance recoveries against outstanding claims 21 846,988 580,330

Salvage recoveries accrued 8,545 110,252

Deferred commission expense 22 199,288 212,519

Prepayments 13 609,496 705,083

Taxation - payment less provision 31,875 43,950 Cash and bank 14 21,499 250,601

7,076,760 6,164,430

Total Assets of Window Takaful Operations - Operator's Fund 321,817 320,283

Total Assets 7,398,577 6,484,713

Equities and Liabilities

Capital and reserves attributable to Company's equity holders

Ordinary share capital 16 619,374 619,374

Reserves 16 1,643,903 1,150,819

Unappropriated profit 204,695 285,227

Total Equity 2,467,972 2,055,420

Liabilities

1,044,318

1,517,647

7,769

191,175

82,704

296,886

25,762 -101,647

563,811

403,935

1,375,777

1,479,514

630

153,308

92,437

445,657

18,238

113,718

158,878

524,259

360,183

Underwriting provisions

Outstanding claims including IBNR 21

Unearned premium reserves 20

Premium deficiency reserves

Unearned reinsurance commission 22

Retirement benefit obligations Deferred taxation - net

Lease liability against right of use assets

Borrowings 14.1

Premium received in advance

Insurance/ reinsurance payables 17

Other creditors and accruals 18

Total liabilities of conventional 4,722,599 4,235,654

Total liabilities of window takaful operations - Operator's Fund 208,006 193,639

Total liabilities 4,930,605 4,429,293

Total Equity and Liabilities 7,398,577 6,484,713

Contingencies and commitments 19

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

(Unaudited) (Unaudited) Three months period Nine months period

ended September 30, ended September 30,

2025 2024 2025 2024

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

Less: Net (loss)/gains transferred to profit and loss

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

Attributable to equity holders of the Company Capital Reserves Revenue Reserves

Reserve for

Final dividend of Rs. 0.625 Per share for the

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

(Unaudited) (Unaudited) September 30 September 30

2025 2024

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

1. 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 Branches Head Office: State Life Building No. 6A Habib Square M.A. Jinnah

      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.

2. 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.

3. 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.

4. ACCOUNTING ESTIMATES AND JUDGEMENTS

   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.

5. SIGNIFICANT ACCOUNTING 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.

6. 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, 2021 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.

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

      There are various ammendments 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:

      Application of IFRS 9 and IFRS 17

      • IFRS 9 'Financial Instruments' is effective for reporting year ended December, 31 2019. It replaces the existing guidance in IAS 39 Financial Instruments: Recognition and Measurement. IFRS 9 includes revised guidance on the classification and measurement of financial instruments, a new expected credit loss model for calculating impairment of financial assets, a new general hedge accounting requirements. It also carries forward the guidance on recognition and derecognition of financial instruments from IAS 39.

      Amendment to IFRS 4 'Insurance Contracts' - Applying IFRS 9 'Financial Instruments with IFRS 4 addresses issue arising from the different effective dates of IFRS 9 and the forthcoming new standard IFRS 17 'Insurance Contracts'. The amendments introduce two alternative options for entities issuing contracts within the scope of IFRS 4, notably a temporary exemption and an overlay approach. The temporary exemption enables eligible entities to defer the implementation date of IFRS 9. The overlay approach allows an entity applying IFRS 9 from July 01, 2018 onwards to remove from profit or loss the effects of some of the accounting mismatches that may occur from applying IFRS 9 before IFRS 17 is applied.

      The Company has determined that it is eligible for the temporary exemption option since the company has not previously applied any version of IFRS 9, its 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. Under the temporary exemption option, the company can defer the application of IFRS 9 until the application IFRS 17.

      To determine the appropriate classification of financial assets under IFRS 9, an entity would need to assess the contractual cash flows characteristics of any financial asset. Indeed, the contractual terms of the financial asset give rise, on specified dates, to cash flows that are solely payments of principal and interest on the principal amount outstanding ("SPPI") i.e. cash flows that are consistent with a basic lending arrangement. In a basic lending arrangement, consideration for the time value of money and credit risk are typically the most significant elements of interest.

      IFRS 9 defines the terms "principal" as being the fair value of the financial asset at initial recognition, and the "interest" as being compensation for (i) the time value of money, and (ii) the credit risk associated with the principal amount outstanding during a particular period of time.

      The table below set out the fair values as at the end of reporting period and the amount of change in the fair value during that period for the followiing two groups of financial assets separately:

      1. financial assets with contractual terms that give rise on specified dates to cash flows that are solely payments of principal and interest (SPPI) on the principal amount outstanding, excluding any financial asset that meets the definition of held for trading in IFRS 9, or that is managed and whose performance is evaluated on a fair value basis, and

      2. all other financial assets.

      September 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*	-	-		4,041		- -
      Investment in equity securities - available for sale	2,730,337		526,543		-		- -
      Investments in debt securities - held to maturity	-		-		884,251		- 5,969
      Loans and other receivables*	-		-		94,084		- -
      Insurance / reinsurance receivables*	-		-		1,519,345		- -
      Reinsurance recoveries against outstanding claims*	-		-		846,988		- -
      Salvage recoveries accrued	-		-		8,545		- -
      Window takaful operations - Operator's fund*	-		-		125,418		- -
      	2,730,337		526,543		3,482,672		- 5,969

      Financial assets

      December 31, 2024 (Audited)

      				(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)

      Fail the SPPI test Pass the SPPI test

      Change in		Carrying	Cost less Change in
      Fair value unrealized		value	Impairment unrealized
      gain / (loss)			gain / (loss)
      during the			during the
      year			year

      September 30, 2025 (Unaudited)

      Gross carrying amounts of debt instruments that pass the SPPI test

      	AAA	AA+		AA- A (Rupees in '000)				Unrated
      Investments in debt securities - held to maturity	-	-		-			-	-
      Cash and bank*	20,081	50		-			-	-
      Investments in debt securities - held to maturity	-	150,000		100,000			884,251	94,084
      Loans and other receivables*	-	-		-			- 1,519,345
      Insurance / reinsurance receivables*	-	-		-			- -
      Reinsurance recoveries against outstanding claims*	-	846,988		-			- -
      Salvage recoveries accrued	-		-		-		-		8,545
      	20,081		997,038		100,000		884,251		1,621,974

      December 31, 2024 (Audited)

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

      Bonds

      (Rupees in '000)

      Cash and bank*	250,394	50	-	-	-	-
      Investments in debt securities - available for sale	-	-	250,000	-	276,085	-
      Loans and other receivables*	-	-	-	-	-	1,528,029
      Insurance / reinsurance receivables*	-	-	-	-	-	62,544
      Reinsurance recoveries against outstanding claims*	-	75,984	-	113,283	-	391,148
      Salvage recoveries accrued	-	-	-	-	-	110,252
      	250,394	76,034	250,000	113,283	276,085	2,091,973

      • The carrying amount of these financial assets measured applying IAS 39 are a reasonable approximation of their fair values.

        Extension of the Temporary Exemption from Applying IFRS 9 (Amendments to IFRS 4) - In response to concerns regarding temporary accounting mismatches and volatility, and increased costs and complexity, IASB issued amendments to IFRS 4 Insurance Contracts in 2017. The two optional solutions raised some considerations which required detailed analysis and management judgement. On the issue of IFRS 17 (Revised) Insurance Contracts in June 2020, the end date for applying the two options under the lFRS 4 amendments was extended to January 01, 2023 aligned with the effective date of IFRS 17.

      • SECP vide its letter no. ID/MDPRD/IFRS-17/2021/1716 dated June 15, 2021, has intimated a roadmap for the implementation of IFRS 17 - Insurance Contracts and has specified a four-phased approach for the implementation of IFRS 17.

        The said four phase approach is as follows:

        1. Phase One: Gap Analysis.

        2. Phase Two: Financial Impact Assessment.

        3. Phase Three: System Design and Methodology.

        4. Phase Four: Parallel Run and Implementation.

      Timeline for completion of "Phase One i.e. Gap Analysis" was set at September 30, 2021. The company has submitted Management report over Gap Analysis to SECP within the stipulated time.

      SECP vide its letter no. ID/MDPRD/IFRS-17/2022/2392 has set December 31, 2022 as a deadline for the completion of "Phase Two" and also requires the insurers and takaful operators to submit interim submissions for June 30, 2022 and September 30, 2022 demonstrating the progress made in undertaking of Financial Impact Assessment. The company has submitted the first interim submission of FIA on June 30, 2022 and also submitted the impact assessment of the application of the IFRS on September 30, 2022.

7. 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) (Audited)

September 30, December 31,

Note 2025 2024

(Rupees in '000)

8.1.1 The following additions were made to tangible - property and equipment during the period / year

(Unaudited) (Audited)

September 30, December 31,

2025 2024

(Rupees in '000)

September 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)

2025 2024

(Rupees in '000)

100,000 100,000

150,000 150,000

250,000 250,000

(Unaudited) (Audited) September 30, December 31,

2025 2024

(Rupees in '000)

11. LOANS, SECURITY DEPOSIT AND OTHER RECEIVABLES

- Considered good

634,009 680,240

Due from other insurers / reinsurers Considered good

Considered doubtful

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

1. PREPAYMENTS

   (Unaudited) (Audited) September 30, December 31,

   Note 2025 2024

   (Rupees in '000)

   Prepaid reinsurance premium ceded 590,795 676,990

   Prepaid employees group / health insurance 9,475 11,712 Others 9,226 16,381

   609,496 705,083

2. CASH AND BANK BALANCES

   Cash and cash equivalents

   Cash in hand Policy stamps

   Cash at bank

   Current accounts Savings accounts

   652

   716

1,368 167

20,131 250,434

21,499 250,601

1. 1. Cash and short term borrowing include the following for the purposes of the cash flow statement:

      Cash and cash equivalents 21,499 -

      Short term borrowings of upto three months

      (running finance) 14.1.1 (113,718 ) -

      (92,219 ) -

      1. This represents overdrawn bank balance for the period. The Company has a running finance facility from a Bank of Rs. 200 million valid for 1 year from January 01, 2025 at interest rate of 6 months average KIBOR. The facility is secured against Lien / Pledge of Pakistan investment bonds.

2. SHARE CAPITAL

   Authorized Capital
   (Unaudited)	(Audited)	(Unaudited)	(Audited)
   September 30,	December 31,	September 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

   1. 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

3. RESERVES

   Capital Reserves Reserve for exceptional losses	9,122		9,122
   Revenue Reserves
   General reserves	505,000		390,000
   Available-for-sale reserve	1,129,781		751,697
   	1,634,781		1,141,697
   	1,643,903		1,150,819

4. INSURANCE / REINSURANCE PAYABLES

(Unaudited) (Audited)

September 30, December 31,

2025 2024

(Rupees in '000)

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

(Unaudited) (Unaudited) Three months period Nine months period

ended September 30, ended September 30,

2025 2024 2025 2024

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

(Unaudited) (Unaudited) Three months period Nine months period

ended September 30, ended September 30,

2025 2024 2025 2024

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

available-for-sale

1. OTHER INCOME

   Three months period Nine months period

   ended September 30, ended Septmber 30,

   2025 2024 2025 2024

   (Unaudited) (Unaudited)

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

   Return on bank balances 962 23,562 5,442 88,312

   Gain on sale of fixed assets (36) 90 60 304

   Return on loan to employees 837 898 2,611 2,946

   Miscellaneous 624 69 1,094 629

   2,387 24,619 9,207 92,191

2. EARNINGS PER SHARE - BASIC AND DILUTED

   Profit after tax for the period 9,359 8,098 158,343 126,684 (Number of Shares) (Number of Shares)

   Weighted average number of ordinary shares of Rs. 5 each 123,874,755 123,874,755 123,874,755 123,874,755

   (Rupees) (Rupees)

   Basic earnings per share 0.08 0.07 1.28 1.02

   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.

3. 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 employement 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 Nine months period

ended September 30, ended September 30,

2025 2024 2025 2024

(Rupees in ' 000)

(Unaudited) (Audited)

September 30, December 31,

2025 2024

Transactions during the year with other related parties

(Unaudited) (Unaudited) Three months period Nine months period

ended September 30, ended September 30,

2025 2024 2025 2024

(Rupees in ' 000)

Balances with other related parties including key management personnel

(Unaudited) (Audited)

September 30, December 31,

2025 2024

(Rupees in '000)

Loans to key management personnel 18,003 16,207

1. SEGMENT REPORTING

   Premium receivable (inclusive of Federal Excise Duty, Federal Insurance Fee and

   September 30, 2025 (Unaudited)

   Fire and Marine and Motor Group Other Aggregate property transport hospitalisation Classes

   (Rupees in '000)

   Administrative surcharge) 1,091,075 363,883 1,125,082 21,985 256,419 2,858,444

   Less: Federal Excise Duty 146,726 43,697 152,008 2,853 34,344 379,628

   Federal Insurance Fee 9,362 3,170 9,659 189 2,204 24,584

   Gross Written Premium (inclusive of administrative Surcharge) 934,987 317,016 963,415 18,943 219,871 2,454,232

   Gross direct premium 929,821 306,981 932,129 18,931 217,139 2,405,001

   Facultative inward premium - - - - - -

   Administrative surcharge 5,166 10,035 31,286 12 2,732 49,231

   934,987 317,016 963,415 18,943 219,871 2,454,232

   Insurance premium earned 974,603 316,132 888,610 16,754 296,266 2,492,365

   Insurance premium ceded to reinsurers (803,889) (126,977) (94,038) - (170,287) (1,195,191)

   Net insurance premium 170,714 189,155 794,572 16,754 125,979 1,297,174

   Premium deficiency reserve - - - 7,139 - 7,139 Commission income 187,781 36,642 18,625 - 43,218 286,266

   387,806

   (309,819 )

   479,734

   (350,236)

   772,720

   (266,067)

   14,417 -

   198,033

   (129,033)

   1,852,710

   (1,055,155)

   Net underwriting income 358,495 225,797 813,197 23,893 169,197 1,590,579 Insurance claims

   Insurance claims recovered from reinsurers

   Net Claims 77,987 129,498 506,653 14,417 69,000 797,555

   (135,529 )

   (191,878 )

   (35,869)

   (65,058)

   (113,262)

   (197,713)

   (575 )

   (3,888 )

   (51,600)

   (45,122)

   (336,835)

   (503,659)

   Commission expense Management expenses

   Net insurance claims and expenses (327,407 ) (100,927) (310,975) (4,463 ) (96,722) (840,494)

   Underwriting result (46,899 ) (4,628) (4,431) 5,013 3,475 (47,470)

   Net Investment income 315,786

   Other income 9,207

   Other expenses (30,673)

   Results of operating activities 246,850

   Finance cost (3,703)

   Profit from Window Takaful Operations - Operator's Fund (12,833)

   Profit before tax 230,314

   20

   Fire and property		Marine and transport		Motor		Group hospitalisation	Other Classes		Aggregate
   Segment assets Allocated Assets					(Rupees in '000)
   Premium due but unpaid	212,221		103,045		201,700	11,442		105,601	634,009
   Prepaid reinsurance premium ceded	459,465		11,457		40,206	-		79,667	590,795
   Reinsurance recoveries against outstanding claims	452,549		171,470		126,613	-		96,356	846,988
   Salvage recoveries accrued	95		50		8,400	-		-	8,545
   Deferred commission expense	85,131		3,600		87,357	237		22,963	199,288
   	1,209,461		289,622		464,276	11,679		304,587	2,279,625
   Unallocated Assets
   Fixed assets at cost less depreciation									108,677
   Amount due from others insurers/ reinsurers									885,336
   Cash and cash equivalents									21,499
   Loans-secured, considered good									25,590
   Investments									3,614,588
   Accrued investment income									32,596
   Advances, deposits and prepayments									58,273
   Taxation - provision less payments									31,875
   Prepayments									18,701
   									4,797,135
   Total Assets									7,076,760

   Unallocated assets of General Takaful Operations

   • Operator's Fund 321,817

     7,398,577

     Allocated Liabilities
     Outstanding Claims	518,357		277,992		388,876		12,979		177,573	1,375,777
     Unearned Premium	604,910		32,209		679,107		6,917		156,371	1,479,514
     Unearned Reinsurance Commission	116,733		3,892		13,129		-		19,554	153,308
     Premium Deficiency Reserve	-		-		-		630		-	630
     	1,240,000		314,093		1,081,112		20,526		353,498	3,009,229
     Unallocated Liabilities
     Premium received in advance										158,878
     Amount due from others insurers/ reinsurers										524,259
     Staff retirement benefits										92,437
     Borrowings										113,718
     Finance lease liability										18,238
     Deferred tax										445,657
     Other creditors and accruals										360,183
     										1,713,370
     										4,722,599
     Total Liabilities										208,006
     Unallocated liabilities of General Takaful Operations
     - Operator's Fund										4,930,605

     21

Fire and Marine and Motor Group Other Aggregate property transport hospitalisation Classes

(Rupees in '000)

Premium receivable (inclusive of Federal Excise Duty, Federal Insurance Fee and

Administrative surcharge) 1,142,069 422,930 861,577 3,064 397,472 2,827,112

Less: Federal Excise Duty 148,355 47,920 113,713 366 49,210 359,564

Federal Insurance Fee 9,776 3,713 7,426 27 3,451 24,393

Gross Written Premium (inclusive of administrative Surcharge) 983,938 371,297 740,438 2,671 344,811 2,443,155

Gross direct premium 971,927 362,330 715,342 2,668 341,429 2,393,696

Facultative inward premium 6,810 190 1,962 - - 8,962

Administrative surcharge 5,201 8,777 23,134 3 3,382 40,497

983,938 371,297 740,438 2,671 344,811 2,443,155

Insurance premium earned 936,529 376,810 805,135 5,512 306,016 2,430,002

Insurance premium ceded to reinsurers (796,683) (208,885) (145,286) - (185,786) (1,336,640)

Net insurance premium 139,846 167,925 659,849 5,512 120,230 1,093,362

Premium deficiency reserve - - - 113 - 113

Commission income 178,475 61,143 22,614 - 42,486 304,718

378,762

(331,807 )

173,202

(111,486)

681,001

(206,019)

8,871

951

143,550

(68,807)

1,385,386

(717,168)

Net underwriting income 318,321 229,068 682,463 5,625 162,716 1,398,193 Insurance claims

Insurance claims recovered from reinsurers

Net Claims 46,955 61,716 474,982 9,822 74,743 668,218

(133,506 )

(218,334 )

(50,538)

(82,390)

(90,607)

(164,302)

(92 )

(593 )

(48,725)

(76,513)

(323,468)

(542,132)

Commission expense Management expenses

Net insurance claims and expenses (351,840 ) (132,928) (254,909) (685 ) (125,238) (865,600)

Underwriting result (80,474 ) 34,424 (47,428) (4,882 ) (37,265) (135,625)

Net Investment income 204,180

Other income 92,191

Other expenses (10,144)

Results of operating activities 150,602

Finance cost (6,131)

Profit from Window Takaful Operations - Operator's Fund 48,267

Profit before tax 192,738

December 31, 2024 (Audited)

Unallocated assets of General Takaful Operations

6,484,713

1. MANAGEMENT OF INSURANCE AND FINANCIAL RISK

   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.

2. Fair value of financial instruments

   IFRS 13 defines fair value as an exit price. Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.

   All assets and liabilities for which fair value is measured or disclosed in the condensed interim financial statements are categorised within the fair value hierarchy, described as follows, based on the lowest level input that is significant to the fair value measurement as a whole:

   • Level 1 Quoted (unadjusted) market prices in active markets for identical assets or liabilities.

   • Level 2 Valuation techniques for which the lowest level input that is significant to the fair value measurement is directly or indirectly observable.

   • Level 3 Valuation techniques for which the lowest level input that is significant to the fair value measurement is unobservable.

     Participant Fund September 30, 2025 (Unaudited)

     Available-	Loans &		Other		Other		Total		Fair value measurement using
     for-sale	receivables		financial		financial				Level 1 Level 2 Level 3
     			assets		liabilities
     (Rupees in '000)
     Financial assets measured at fair value
     Investments
     Equity securities - quoted	2,667,686	-	- - 2,667,686						2,667,686		-		-
     Mutual Funds Units	5,386	-	- - 5,386						-		5,386		-
     Modaraba certificates	37,934	-	- - 37,934						37,934		-		-
     Debt securities	-	-	- - -						-		-		-
     Financial assets not measured at fair value
     Loans and other receivable	-	94,084	- - 94,084						-		-		-
     Insurance / reinsurance receivable	-	1,519,345	-		-		1,519,345		-		-		-
     Reinsurance recoveries against outstanding claims	- 846,988		-		-		846,988		- - -
     Salvage recoveries accrued	- 8,545		-		-		8,545		- - -
     Cash and bank balances	- -		21,499		-		21,499		- - -
     Total assets of Window Takaful Operations - Operator's Fund	- -		274,439		-		274,439		- - -
     2,711,006		2,468,962		295,938		-		5,475,906		2,705,620		5,386		-
     Financial liabilities not measured at fair value
     Outstanding claims including IBNR	- -				-		(1,375,777)		(1,375,777)		- - -
     Lease liability against right of use asset	- -				-		(18,238)		(18,238)		- - -
     Premium received in Advance	- -				-		(158,878)		(158,878)		- - -
     Insurance / reinsurance payables	- -				-		(524,259)		(524,259)		- - -
     Other creditors and accruals	- -				-		(360,183)		(360,183)		- - -
     Total liabilities of Window Takaful Operations - Operator's Fund	- -				-		(208,006)		(208,006)		- - -
     	- -				-		(2,645,341)		(2,645,341)		- - -
     			24

     Participant Fund December 31, 2024 (Audited)

     Available- Loans & Other Other Total Fair value measurement using

     for-sale receivables financial financial Level 1 Level 2 Level 3

     		assets	liabilities
     Financial assets measured at fair value			(Rupees in '000)
     Investments Equity securities - quoted 970,726	-	-	-	970,726	970,726	-	-
     Mutual fund units 2,116	-	-	-	2,116	-	2,116	-
     Modaraba certificates 21,159	-	-	-	21,159	16,494	-	-
     Debt securities 526,085 Financial assets not measured at fair value	-	-	-	526,085	-	526,085	-
     Investments Debt securities -	-	-	-	-	-	-	-
     Loans, deposits and other receivables -	62,544	-	-	62,544	-	-	-
     Insurance / reinsurance receivable	-	1,528,029	-	-	1,528,029	- - -
     Reinsurance recoveries against outstanding claims	-	580,330	-	-	580,330	- - -
     Salvage recoveries accrued	-	110,252	-	-	110,252	- - -
     Cash and bank balances	-	-	250,601	-	250,601	- - -
     Total assets of window takaful operations - Operator's Fund	-	-	281,879	-	281,879	- - -

     1,520,086 2,281,155 532,480 - 4,333,721 987,220 528,201 -

     Financial liabilities not measured at fair value

     Outstanding claims including IBNR	- - -		(1,044,318)		(1,044,318)		- - -
     Lease liability against right of use assets	- - -		(25,762)		(25,762)		- - -
     Retirement benefits obligation	- - -		-		-		- - -
     Premium received in advance	- - -		-		-		- - -
     Insurance / reinsurance payables	- - -		(563,811)		(563,811)		- - -
     Other creditors and accruals	- - -		(327,062)		(327,062)		- - -
     Total Liabilities of Window Takaful Operations - Operator's Fund	- - -		(57,091)		(57,091)		- - -
     	- - -		(2,018,044)		(2,018,044)		- - -

     * The Company has not disclosed the fair value of these items as these are either short term in nature or repriced frequently and as such their carrying amounts are a reasonable approximation of their fair values.

     25

1. GENERAL

   Figures have been rounded off to the nearest thousand rupee.

2. DATE OF AUTHORISATION FOR ISSUE

These condensed interim financial statements have been authorised for issue on October 30, 2025 by the Board of Directors of the Company.

MANSOOR G. HABIB

Director

AUN MOHAMMAD A. HABIB

Director

SHABBIR GULAMALI

Director

SYED ATHER ABBAS

Chief Executive

MURTAZA HUSSAIN

Chief Financial Officer

Assets

Investment

Operator's Fund Particiant's Fund September 30, December 31, September 30, December 31,

Note 2025 2024 2025 2024

(Unaudited) (Audited) (Unaudited) (Audited)

(Rupees in ' 000)

Unearned wakala fee 18

Contribution received in advance

Takaful / retakaful payables 13

Other creditors and accrual 12

Payable to OPF 19

Retirement benefit obligation Taxation - provision less payments

- - 651,195 476,414

208,006 193,639 362,673 334,284

Total liabilities 208,006 193,639 1,013,868 810,698

Total equity and liabilities 321,817 320,283 1,036,127 919,609

Contingency and commitment 21

The annexed notes from 1 to 27 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