Abu Dhabi National Insurance Company (Adnic), a top multi-line insurance provider, has posted a net profit of Dh74 million ($20.1 million) for the first quarter (Q1) of 2017, compared to Dh39 million during Q1 2016, a rise of 90 per cent.

For the three month period ended March 31, 2017, Adnic’s gross written premium increased to Dh1.08 billion compared to Dh1.06 billion for the same period in 2016. The overall premium retention ratio for the company reached 42 per cent for the three months of the year compared to 45 per cent for the same period in 2016.  

Adnic net underwriting profit increased by 46 per cent to Dh97.6 million during Q1 2017, against a net underwriting profit of Dh66.8 million for the same period in 2016.

General and administrative expenses for three month period ended March 31st2017 stood at Dh52.8 million compared to Dh50.3 million for the same period in 2016. Basic and diluted earnings per share increased by 30 per cent to Dh0.13 compared to basic and diluted earnings per share of Dh0.10.

The return on Shareholders’ Equity increased to 4.2 per cent for the three months period ended March 31, 2017, compared to 3.1 per cent for the same period in 2016.

Total company investments including cash in time deposits, bank accounts and investment properties increased by 2.4 per cent to Dh3.22 billion as at March 31, 2017, compared to Dh3.14 billion as at December 31, 2016.

The total assets of the company increased by 9.3 per cent to Dh7.09 billion as at March 31, 2017, compared to Dh6.49 billion as at December 31, 2016.

Commenting on the strong results, Shaikh Mohamed Bin Saif Al-Nahyan, chairman of Adnic, said: “Adnic continues on the path of sustainable profitability supported by are silent operating strategy. The prudent underwriting has resulted in a robust net profit for the first quarter of this year as well as an increase in gross written premium.”

Ahmad Idris, CEO of Adnic said: “Adnic’s growth in profitability is a testament to our successful business model and our agile strategy. Our selective approach to underwriting has resulted in a modest increase in premium for the period, but has continued to boost the overall capitalization of the company and the performance of our portfolio. I remain confident in the company’s ability to provide high quality service to our valued clients.”- TradeArabia News Service