Interim Financial Statements - For the period ended 30 June 2024

For the Period ended 30 June

Note

2024

2023

Change

Rs. ' 000

Rs. ' 000

%

Audited

Audited

Gross written premiums

5

14,536,497

12,472,192

17

Premiums ceded to reinsurers

(1,286,894)

(1,282,302)

0

Net written premiums

13,249,603

11,189,890

18

Other revenue

Net finance income

3,428,216

3,465,154

(1)

Net realised gains

1,858,044

14,590

12,635

Net fair value gains / (losses)

(425,942)

485,555

188

Other operating income

3,167

5,078

(38)

Total other revenue

4,863,485

3,970,377

22

Total net revenue

6

18,113,088

15,160,267

19

Net benefits, claims and expenses

Net insurance benefits and claims paid

(6,765,440)

(6,416,183)

5

Net change in insurance claims outstanding

(84,499)

12,008

(804)

Change in insurance contracts liabilities

(1,933,111)

(838,965)

130

Underwriting and net acquisition cost (Net of reinsurance)

(2,918,564)

(2,680,923)

9

Other operating and administration expenses

(2,869,271)

(2,614,073)

10

Impairment reversal / (provision) on financial investments

(62,415)

(103,300)

(40)

Finance cost

7

(559,946)

(988,927)

(43)

Total benefits, claims and expenses

(15,193,246)

(13,630,363)

11

Profit before tax

8

2,919,842

1,529,904

91

Income tax expenses

(863,634)

(522,855)

65

Profit for the period

2,056,208

1,007,049

104

Profit attributable to;

Owners of the Company

2,056,208

1,007,049

104

Non controlling interest

-

-

2,056,208

1,007,049

104

Earnings per share

Basic earnings per share (Rs.)

17

5.48

2.69

104

Diluted earnings per share (Rs.)

17

5.48

2.69

104

For the Period ended 30 June

2024

2023

Change

Rs. ' 000

Rs. ' 000

%

Audited

Audited

Profit for the period

2,056,208

1,007,049

104

Other comprehensive income

Items that will not be reclassified to income statement

Equity investments at FVOCI - net change in fair value

246,012

329,276

Equity investments at FVOCI - net change in fair value - Life fund

176,714

(18,398)

Related tax / deferred tax

-

-

422,726

310,878

36

Items that are or may be reclassified subsequently to income statement

Debt investments at FVOCI - net change in fair value

220

23,867

Debt investments at FVOCI - net change in fair value - Life fund

11,498

219,683

Debt investments at FVOCI - reclassified to income statement

-

465

Related tax / deferred tax

-

-

11,718

244,015

(95)

Total other comprehensive income for the period, net of tax

434,444

554,893

(22)

Total comprehensive income for the period, net of tax

2,490,652

1,561,942

59

Total comprehensive income attributable to:

Owners of the Company

2,490,652

1,561,942

Non - controlling interests

-

-

2,490,652

1,561,942

59

For the three months ended 30 June

2024

2023

Change

Rs. ' 000

Rs. ' 000

%

Audited

Audited

Gross written premiums

7,373,670

6,487,574

14

Premiums ceded to reinsurers

(651,254)

(642,690)

1

Net earned premiums

6,722,416

5,844,884

15

Other revenue

Net finance income

1,663,506

1,732,563

(4)

Net realised gains

1,276,344

14,551

8,672

Net fair value gains

1,141

278,319

(100)

Other operating income

1,222

2,516

(51)

Total other revenue

2,942,213

2,027,949

45

Total net revenue

9,664,629

7,872,833

23

Net benefits, claims and expenses

Net insurance benefits and claims paid

(3,397,714)

(3,227,241)

5

Net change in insurance claims outstanding

(27,083)

(35,822)

(24)

Change in insurance contracts liabilities

(1,375,849)

(903,991)

52

Underwriting and net acquisition cost (Net of reinsurance)

(1,427,852)

(1,309,820)

9

Other operating and administration expenses

(1,373,572)

(1,352,838)

2

Impairment provision on financial investments

(180,293)

52,814

(441)

Finance cost

(158,596)

(386,791)

(59)

Total benefits, claims and expenses

(7,940,959)

(7,163,689)

11

Profit before tax

1,723,670

709,144

143

Income tax expenses

(521,075)

(203,731)

156

Profit for the period

1,202,595

505,413

138

Profit attributable to;

Owners of the Company

1,202,595

505,413

138

Non controlling interest

-

-

1,202,595

505,413

138

Earnings per share

Basic earnings per share (Rs.)

3.21

1.35

138

Diluted earnings per share (Rs.)

3.21

1.35

138

For the three months ended 30 June

2024

2023

Change

Rs. ' 000

Rs. ' 000

%

Audited

Audited

Profit for the Period

1,202,595

505,413

138

Other comprehensive income

Items that will not be reclassified to income statement

Equity investments at FVOCI - net change in fair value

301,439

122,412

Equity investments at FVOCI - net change in fair value - life fund

138,841

(2,936)

Related tax / deferred tax

-

-

440,280

119,476

269

Items that are or may be reclassified subsequently to income statement

Debt investments at FVOCI - net change in fair value

1,406

23,803

Debt investments at FVOCI - net change in fair value - life fund

6,787

202,188

Debt investments at FVOCI - reclassified to income statement

-

244

Related tax / deferred tax

-

-

8,193

226,235

(96)

Total other comprehensive income for the period, net of tax

448,473

345,711

30

Total comprehensive income for the period, net of tax

1,651,068

851,124

94

Total comprehensive income attributable to:

Owners of the Company

1,651,068

851,124

Non - controlling interests

-

-

1,651,068

851,124

94

As at

Note

30.06.2024

31.12.2023

Rs. ' 000

Rs. ' 000

Audited

Audited

Assets

Intangible assets

1,970

2,364

Property, plant and equipment

704,102

707,427

Right of use assets

609,992

611,661

Deferred Tax Assets

832,739

838,938

Financial investments

10

46,950,934

43,500,215

Loans to life policyholders

336,763

331,301

Reinsurance receivables

623,318

465,211

Premium receivables

2,033,309

2,449,089

Receivables and other assets

1,601,112

1,333,537

Cash and cash equivalents

1,379,651

1,099,679

Total assets

55,073,890

51,339,422

Equity and liabilities

Equity

Stated capital

16

1,062,500

1,062,500

Restricted regulatory reserve

798,004

798,004

Other reserves

(1,710,448)

(2,144,892)

Retained earnings

14,267,692

13,617,734

Total equity

14,417,748

13,333,346

Liabilities

Insurance contract liabilities

11

30,060,194

27,925,474

Employee benefit liabilities

287,263

276,302

Loans and borrowings

4,729,837

5,014,997

Reinsurance payables

1,012,190

718,855

Other liabilities

4,154,822

3,693,758

Bank overdraft

411,836

376,690

Total liabilities

40,656,142

38,006,076

Total equity and liabilities

55,073,890

51,339,422

Net asset per share (Rs.)

15

38.45

35.56

The Notes form an integral part of these Interim Financial Statements.

These Financial Statements are in compliance with the requirements of the Companies Act No 07 of 2007.

Sgd.

Nuwan Withanage

Chief Financial Officer

The Board of Directors is responsible for the preparation and presentation of these Financial Statements.

Approved and signed for and on behalf of the Board.

Sgd.

Sgd.

Ashok Pathirage

Iftikar Ahamed

Chairman

Managing Director

Stated capital

Restricted

Other

Retained

Total

For the Period ended 30 June

regulatory

reserve

earnings

reserve

Fair value Revaluation

reserve

reserves

Rs. ' 000

Rs. ' 000

Rs. ' 000

Rs. ' 000

Rs. ' 000

Rs. ' 000

Balance as at 01 January 2023

1,062,500

798,004

(3,229,988)

129,733

12,112,675

10,872,924

Profit for the period

-

-

-

-

1,007,049

1,007,049

Other comprehensive income for the period

Equity investments at FVOCI - net change in fair value

-

-

329,276

-

-

329,276

Equity investments at FVOCI - net change in fair value - Life fund

-

-

(18,398)

-

-

(18,398)

Debt investments at FVOCI - net change in fair value

-

-

23,867

-

-

23,867

Re-measurement Gain on defined benefit liabilities

-

-

-

-

-

-

Gain on revaluation of land and building

-

-

-

-

-

-

Debt investments at FVOCI - net change in fair value - Life fund

-

-

219,683

-

-

219,683

Debt investments at FVOCI - reclassified to income statement

-

-

465

-

-

465

Total other comprehensive income, net of tax

-

-

554,893

-

-

554,893

Total comprehensive income for the period

-

-

554,893

-

1,007,049

1,561,942

Transaction with owners of the Company

Contribution and distribution

Interim dividend - 2022

-

-

-

-

(1,312,500)

(1,312,500)

Total transactions with owners of the Company

-

-

-

-

(1,312,500)

(1,312,500)

Balance as at 30 June 2023

1,062,500

798,004

(2,675,095)

129,733

11,807,224

11,122,366

Profit for the period

-

-

-

-

1,831,355

1,831,355

Other comprehensive income for the period

Equity investments at FVOCI - net change in fair value

-

-

277,432

-

-

277,432

Equity investments at FVOCI - net change in fair value - Life fund

-

-

61,531

-

-

61,531

Debt investments at FVOCI - net change in fair value

-

-

18,774

-

-

18,774

Re-measurement Gain on defined benefit liabilities

-

-

-

-

(20,845)

(20,845)

Gain on revaluation of land and building

-

-

-

43,783

-

43,783

Debt investments at FVOCI - net change in fair value - Life fund

-

-

(1,296)

-

-

(1,296)

Debt investments at FVOCI - reclassified to income statement

-

-

246

-

-

246

Total other comprehensive income, net of tax

-

-

356,687

43,783

(20,845)

379,625

Total comprehensive income for the period

-

-

356,687

43,783

1,810,510

2,210,980

Balance as at 31 December 2023

1,062,500

798,004

(2,318,408)

173,516

13,617,734

13,333,346

Profit for the period

-

-

-

-

2,056,208

2,056,208

Other comprehensive income for the period

Equity investments at FVOCI - net change in fair value

-

-

246,012

-

-

246,012

Equity investments at FVOCI - net change in fair value - Life fund

-

-

176,714

-

-

176,714

Debt investments at FVOCI - net change in fair value

-

-

220

-

-

220

Debt investments at FVOCI - net change in fair value - Life fund

-

-

11,498

-

-

11,498

Debt investments at FVOCI - reclassified to income statement

-

-

-

-

-

-

Total other comprehensive income, net of tax

-

-

434,444

-

-

434,444

Total comprehensive income for the period

-

-

434,444

-

2,056,208

2,490,652

Transaction with owners of the Company

Contribution and distribution

Interim Dividend - 2023

-

-

-

-

(1,406,250)

(1,406,250)

Total transaction with owners of the Company

-

-

-

-

(1,406,250)

(1,406,250)

Balance as at 30 June 2024

1,062,500

798,004

(1,883,964)

173,516

14,267,692

14,417,748

For the Period ended 30 June

2024

2023

Rs. ' 000

Rs. ' 000

Audited

Audited

Cash flows from operating activities

Profit before taxation

2,919,842

1,529,904

Adjustments for :

Depreciation of property, plant and equipment

70,407

64,362

Amortisation of intangible assets

394

341

Depreciation of right of use asset

179,979

148,228

Interest expenses on lease liabilities and loans and borrowings

360,059

355,146

Provision for employee benefit liabilities

25,933

23,687

Net realised Gains

(1,858,044)

(14,590)

Net fair value (Gains)/ losses

425,943

(485,555)

Net unrealised losses on foreign currency transactions

137,984

565,715

Net amortisation of financial investments

(991,806)

(1,034,284)

Provision for impairment (Reversal) /losses on financial investments

62,415

103,300

1,333,106

1,256,254

Change in operating assets

Decrease / (Increase) in loans to life policyholders

(5,462)

(20,905)

Increase in reinsurance receivables

(158,107)

13,092

Decrease in premium receivables

415,780

300,056

Increase in receivables and other assets

(258,944)

(121,895)

(6,733)

170,348

Change in operating liabilities

Increase / (Decrease) in insurance contract liabilities

2,134,720

855,755

Increase in reinsurance payables

303,466

(372,562)

Increase / (Decrease) in other liabilities

31,706

(236,434)

2,469,892

246,759

Net cash generated from operations

3,796,265

1,673,361

Tax Paid

(432,000)

(377,228)

Interest Paid

(300,729)

(290,650)

Gratuity paid

(14,972)

(6,753)

Net cash generated from operating activities

3,048,564

998,730

Cash flows from investing activities

Acquisition of investment securities

(30,359,017)

(21,504,877)

Proceeds from sale of investment securities

29,257,430

22,489,262

Acquisition of property, plant and equipment

(67,081)

(128,813)

Net Acquisition of ROU Asset

(33,706)

(48,194)

Net cash flows used in investing activities

(1,202,374)

807,378

Cash flows from financing activities

Dividend paid to equity holders

(1,406,250)

(1,312,500)

Payment of lease liabilities

(195,114)

(199,206)

Net cash used in financing activities

(1,601,364)

(1,511,706)

Net increase / (Decrease) in cash and cash equivalents

244,826

294,402

Net cash and cash equivalents as at 1 January

722,989

431,626

Net cash and cash equivalents as at 30 June

967,815

726,028

Analysis of cash and cash equivalents

Cash in hand and at bank

1,379,651

1,151,621

Bank overdrafts

(411,836)

(425,593)

Total cash and cash equivalents as at 30 June

967,815

726,028

As at

Note

30.06.2024

31.12.2023

Rs. ' 000

Rs. ' 000

Audited

Audited

Assets

Property, plant and equipment

304,629

311,000

Right of use assets

602,680

600,973

Financial investments

31,137,571

33,092,231

Loans to life policyholders

336,763

331,301

Reinsurance receivables

623,318

465,211

Premium receivables

2,033,309

2,449,089

Receivables and other assets

1,315,957

1,063,438

Cash and cash equivalents

1,374,425

1,087,058

Total assets

37,728,652

39,400,301

Equity and liabilities

Equity

Other reserves

(668,608)

(856,820)

Total equity

(668,608)

(856,820)

Liabilities

Insurance contract liabilities

11

30,060,194

27,925,474

Employee benefit liabilities

287,263

276,302

Reinsurance payables

1,012,190

718,855

Other liabilities

6,625,777

10,959,800

Bank overdraft

411,836

376,690

Total liabilities

38,397,260

40,257,121

Total equity and liabilities

37,728,652

39,400,301

For the Period ended 30 June

2024

2023

Rs. ' 000

Rs. ' 000

Audited

Audited

First Year Premium

3,235,895

3,139,548

Renewal Premium

7,561,636

6,315,765

Group Life Premium

3,274,911

2,683,537

Single Premium

464,055

333,342

Total Gross Written Premium

14,536,497

12,472,192