Diversified Financial Services Group, Britam Holdings (BRIT) has announced its financial performance for the six months period ended 30th June 2017.
Major Highlights
Pre Tax Profit declined by 55.4% to Sh 1.3 Billion from Sh 2.9 Billion as of June 2016 even as total income increased by 16% to Sh 14.7 Billion compared to Sh 12.7 Billion in the same period last year.
The increase on total income was on the back of increased gains on financial assets at fair value through profit or loss, amounting to Sh 1.1 Billion.
The company’s core insurance business which accounts for nearly 70% of its total revenues, reported a revenue growth of 10% to Sh 9.7 Billion from Sh 8.9 Billion in 2016.
Gross earned premiums and fund management fees increased by 6.2% to Sh 11.7 Billion as net earned revenue increased by 8.8% to Sh 10.2 Billion. Investment income (Dividends & interests) increased by 15% to Sh 2.5 Billion·
Net insurance benefits were up 85% to Sh 6.7 Billion due to a change in the valuation methodology which came into effect in January 2016. Total expenses increased by 33% to Sh 13.5 Billion mainly as a result of increased net insurance benefits.
Earnings Per Share (EPS) declined by 55% to Sh 0.51 from Sh 0.92. The company did not recommend payment of interim dividend.
