Bahrain-based Al Ahlia Insurance has reported a net profit of BD712,112 ($1.8 million) for the second quarter as against BD2.1 million for the same period last year.

'The transient decline was due to the reduction in the actual realised gains on sale of investments compared with the same period of last year,' general manager Fadi Al Khatib said.

The firm's profit from insurance operations for the three-month period stood at BD176,119 as against BD437,339 for the same period of last year due to the increase in the company's extra technical provisions, said a report in the Gulf Daily News (GDN), our sister publication.

The net earned premiums for the period stood at BD2.6 million against last year's corresponding figure of BD2.3 million, an increase of 15 per cent while its gross premiums were BD5.4 million compared with BD7.4 million last year.

Al Khatib said the firm managed to maintain a steady growth rate during the first quarter which contributed to strengthening of insurance activities.

The company managed to increase its revenues from investments which contributed to a rise in shareholders' equity to BD15.8 million in the second quarter as against BD15.2 million by end of June last year.

Al Khatib said the company is ongoing with its active underwriting policy for the purpose of growing its insurance business.

He said the management of the company is currently studying several new insurance products which will be announced soon.

Al Khatib said the opening of the new branch in Muharraq is planned for later this year. - TradeArabia News Service