Qatar Insurance Company (QIC), a leading insurer in the Mena region, reported a net profit attributable to parent of QR1.034 billion ($284 million) in 2016, which is close to 2015 results which amounted to QR1.043 billion.

Gross written premium increased 19 per cent compared to 2015 to QR9.901 billion, QIC said.

Net underwriting results decreased by 9 per cent, amounting to QR844 million compared to QR926 million the previous year.

Investment and other income increased by 3 per cent as compared to 2015 to QR925 million.

Earning per share for 2016 was QR4.48 compared to QR4.84 for 2015. Shareholders equity attributable to parent as of December 31, 2016 is QR8.236 billion compared to QR5.812 billion on December 31, 2015, QIC said.

“These results were achieved despite challenges in the global economy due to growing political uncertainty, a depressed investment environment, reducing international trade and fluctuating commodity prices, including oil and gas,” said a statement.

QIC has been successful in implementing both geographical and product diversification. Global business diversification of the group’s operations was achieved by their focus on reinsurance through Qatar Re, access to the Lloyd’s market through Antares, access to direct and structured business in Europe through QIC Europe Limited (QEL) and by boosting its regional business written in the Gulf countries through Q Life & Medical (QLM) and its regional branches and companies, it said.

“The group’s outlook for 2017 is cautiously positive. Projected increase in energy and commodity prices, even if minor, may provide an economic impetus to the energy commodity exporting economies. Against this background, QIC will stick to their proven strategy and continue to explore underwriting and investment opportunities for prudent and sustainable growth and attractive returns for their shareholders,” said the statement.

The board of directors has proposed a 15 per cent of shares par value as a cash dividend equivalent to QR1.50 per share in addition to a bonus share of 15 per cent, in the ratio of 3 shares for every 20 shares, it said.

The proposition shall be reviewed for approval at the Annual General Meeting which will be held on February 19 at the Four Seasons Hotel in Doha, Qatar. – TradeArabia News Service