Kenya Re-Insurance Corporation Limited has posted a 10 percent drop in profits after tax to KSh 1.06 billion in the first half of 2024 from KSh 1.17 billion a year prior.
- The drop was primarily driven by a 36 percent drop in investment income to KSh 1.7 billion from KSh 2.6 billion in 2023, coupled with a faster surge in operating expenses.
- Insurance revenue increased by 20 percent to KSh 10.3 billion in June 2024 from KSh 8.6 billion in June 2023.
- However, insurance services expenses saw a 8 percent increase to KSh 9.5 billion in June 2024 from KSh 8.8 billion in June 2023.
Net service insurance result surged 388% from a loss of KSh 0.2 billion to a technical profit of KSh 0.6 billion in June 2024.
Profit before tax as at June 2024 stood at KSh 1.5 billion, a decrease of 10% from profit before tax of KSh 1.7 billion as at June 2023. This was mainly driven by forex losses of KSh 0.8 billion as at June 2024 compared to forex gains of KSh 0.56 billion as at June 2023
The asset base decreased marginally by 0.5% from KSh 65.9 billion as at December 2023 to KShs 65.7 billion as at June 2024. Shareholders funds increased by 1.5% from KSh 48.2 billion as at December 2023 to KSh 48.9 billion as at June 2024.
In positive developments, the counter was upgraded to the Morgan Stanley Capital Index (MSCI) small Cap Index market, boosting its visibility to foreign investors.
Kenya Re did not declare an interim dividend in their half year results.
Kenya Re-Insurance Corporation Limited trades under the ticker symbol KENRE at the Nairobi Securities Exchange, closing the previous session at KSh 1.26, a year-to-date loss of 32.9 percent. KENRE has a KSh 3.5 billion market capitalization making it the 30th most valuable stock at the Nairobi bourse.
