Kuala Lumpur, 14 August 2025 - MNRB Holdings Berhad ("MNRB" or "the Group") today announced its financial results for the first quarter ended 30 June 2025 (Q1 FY2026), delivering solid growth across its operating subsidiaries, reinforcing its strong market position and benefit realisation of its strategic initiatives.
Q1 FY2026 Highlights
- PAT: RM168.4 million (+82.7% YoY) - Best-ever first-quarter performance since inception, largely driven by Malaysian Re.
- Insurance/Takaful Revenue: RM866.3 million (+15.8% YoY), led by general takaful business astounding growth of more than 40%.
- Investment Results: RM165.0 million (+23.5% YoY) primarily driven by stronger fixed income contributions amid bond market rally.
- Annualised ROE: 17.8% vs. 11.1% a year ago - reflecting stronger profitability and value creation for shareholders.
The Group achieved a record-high first-quarter profit after tax (PAT) of RM168.4 million in Q1 FY2026, an 82.7% increase from RM92.2 million in Q1 FY2025. This strong performance was driven by strong insurance/takaful revenue growth, as well as favorable claims experience, particularly in the reinsurance and retakaful segments.
The Group's insurance/takaful revenue rose 15.8% to RM866.3 million in Q1 FY2026 from RM748.4 million in Q1 FY2025, underpinned by the strong performance of its reinsurance and general takaful businesses.
In addition to the robust reinsurance and takaful business performance, investment results also contributed positively to the Group's overall earnings. Backed by higher fair value gains from favorable market conditions in the bond and equity portfolios, the Group recorded investment results of RM165.0 million in Q1 FY2026, 23.5% increase from RM133.6 million in the same period last year.
The Group's strong Q1 FY2026 performance contributed to a higher annualized return on equity (ROE) of 17.8%, compared to 11.1% in Q1 FY2025, underscoring enhanced capital productivity and shareholders value creation.
Leadership Commentary
Dato' Rudy Rodzila Che Lamin, Interim President & Group CEO of MNRB commented:
"We began FY2026 with a strong performance, underpinned by the strength of our reinsurance and takaful businesses. A 223.5% increase was recorded in the Group's insurance/takaful service result driven by strong growth in the insurance/takaful revenue. The Combined Ratio was another key financial highlight, continuing its positive trajectory. It improved to 73% from 90.1%, driven by lower net incurred claims and attributable expenses. The improvement reflects more favorable claims experience, particularly within the reinsurance segment, indicating enhanced underwriting discipline and risk diversifications. These results affirm our transformation efforts and focus on long-term value accretion.
"We remain committed to executing key initiatives aimed at strengthening and expanding our market presence and distribution channels, enhancing operational efficiency and advancing talent development", said Dato' Rudy Rodzila.
Reinsurance/Retakaful: Malaysian Re Delivers Record Quarterly Earnings
Malaysian Reinsurance Berhad (Malaysian Re), the Group's reinsurance/retakaful arm, delivered its highest ever first-quarter PAT of RM112.1 million, a 30.3% increase from RM86.1 million in Q1 FY2025. This was primarily driven by a substantial uplift in the insurance/takaful service result, which rose to RM158.6 million from RM42.5 million in Q1 FY2025, due to notable improvement in the core business claims ratio. Although the worldwide catastrophic events are at the highest in the last 10 years, proper risk diversifications coupled with strong underwriting discipline has elevated Malaysian Re's performance.
Malaysian Re's insurance/takaful revenue grew 10.1% to RM539.1 million, from RM489.6 million in the corresponding period, driven by family retakaful portfolios as well as MGA and specialty lines of business.
Takaful Business: Takaful IKHLAS Strengthens Market Penetration
The Group's takaful segments, Takaful Ikhlas General Berhad (Takaful IKHLAS General) and Takaful Ikhlas Family Berhad (Takaful IKHLAS Family) collectively known as Takaful IKHLAS, posted a 43.1% increase in combined PAT to RM23.9 million from RM16.7 million in Q1 FY2025, largely driven by robust performance of the general takaful segment.
Takaful revenue for Takaful IKHLAS General rose 42.3% to RM267.5 million from RM188.0 million in Q1 FY2025, fuelled by continued expansion in the Motor portfolio and strong Agency channel contribution. Its Direct channel also gained momentum, with growth driven by digital partnerships, in line with the Group's broader strategy to strengthen its digital distribution footprint and respond to evolving consumer preferences.
Meanwhile, Takaful IKHLAS Family recorded a 13.7% increase in takaful revenue to RM91.0 million from RM80.0 million supported by credit-related and single-contribution businesses through its Bancatakaful and Corporate channels respectively. The regular-contribution business also showed positive growth, supported by active agency recruitment, enhanced on-ground activation efforts, and increased productivity across key geographies.
Outlook
Balancing business portfolios will remain key for the Group moving forward. The retakaful/reinsurance business will remain steadfast in pursuing geographic and risk diversifications in profitable markets. While its general takaful business continues to expand presence in the motor takaful segment, greater focus will also be placed on accelerating growth in the non-motor segment. At the same time, the family takaful business will continue to focus on growing its Agency force and enhancement of agent productivity through targeted development initiatives and retention strategies.
Looking ahead, Dato' Rudy Rodzila stated, "As market dynamics continue to evolve, emphasis will be placed on strengthening our core business segments through optimised risk diversifications, operational efficiency, strategic partnerships and product innovations. At the same time, we will maintain a disciplined approach to prudent asset management; focusing on capital preservation to effectively navigate short-term market volatility. With solid fundamentals and a resilient business model, MNRB is poised to strengthen its position in this ever-challenging industry.