The Saudi Reinsurance Company (Saudi Re) has seen its 2022 net profit before Zakat rise to $15 million compared to $14.19 million in 2021, an increase of 6.4%.
The company’s 2022 results also showed a rise in its sales by 26%, reaching $372.6 million in total written premiums, driven by strong growth in the local Saudi market and the Middle East markets.
The results reflected an improvement in the company’s technical performance, which was represented by the growth in reinsurance operations surplus by 139% compared to the previous year.
Investments were affected by the rise in interest rates, and the decline in stock market and fixed income performance. The total shareholders' equity also grew by the end of the period to $266.17 million, compared to $256.3 million in 2021, while the company’s technical reserves hit $612.2 million, taking the total assets to $1.11 billion by the end of the year.
Fahad Al-Hesni, the Managing Director and CEO of Saudi Re, said: "The company continued its growth momentum, improved its technical performance and maintained its business diversification, which support its competitiveness and reflects the progress Saudi Re is making towards achieving its strategic goals, and its vision to be among the top 50 global reinsurance companies."
Al-Hesni explained that 2022 witnessed positive developments that reinforced the company’s growth potential, including obtaining a credit rating upgrade to A- level from S&P, the enforcement of the Inherent Defects Insurance Programme, in addition to the introduction of new legislations that aim at improving the reinsurance premium retention in KSA.
Saudi Re operates in more than 40 countries across the Middle East, Asia, Africa and Lloyd’s market in the UK, and specialises in life and non-life treaty and facultative reinsurance solutions. The company is also awarded financial strength ratings of A3 rating by Moody's and A- from S&P.-- TradeArabia News Service