Financials

FINANCIAL PERFORMANCE

The financial results of 2017-18 reflect that your Company has registered positive growth rate of 5.57 % on gross basis and underwritten global premium of Rs. 11736.84 crores as against Rs. 11117.02 crores in the year 2016-17. Our net premium was Rs. 10028.22 crores in the year 2017-18 in comparison to Rs. 9222.39 crores in the year 2016-17, registering growth of 8.74 %.

The operating surplus, after taking into account the policyholder’s income, amounted to Rs 1147.64 crores in the FY 2017-18 as compared to a deficit of Rs. 2400-13 crores in 2016-17 mainly on account of decrease in management expenses and incurred claims. This is one of the major achievements of the Company in the FY 2017-18.

Another feather in the cap of our Company is that this year we recorded a profit before tax of Rs. 1382.28 crores as compared to loss of Rs. 1989.25 crores in the last year as all the liabilities were accounted as per best actuarial estimates in the FY 2016-17 and the Company had no carryover of previous liabilities. We ended up with a profit after tax of Rs. 1509.89 crores as compared to loss of Rs. 1691.09 crores in the year 2017-18.

The management expenses during the year 2017-18 amounted to Rs. 2692.99 crores as compared to Rs. 2821.24 crores in the year 2016-17 thus resulting in a decrease of Rs. 128.25 crores. Another achievement in 2017-18 on account of control & monitoring exercised on management expenses.

Profit on sale of investments were Rs. 2007.57 crores in the year 2017-18 as compared to Rs. 1155.84 crores in 2016-17 whereas income from Interest, Dividend & Rent was recorded as Rs. 1315.26 crores during the current year in comparison to previous year’s figure of Rs 1177.33 crores.

Our foreign operations of Nepal, Dubai, Kuwait & Qatar registered gross premium of Rs. 284.83 crores this year and the net result by foreign offices was a surplus of Rs. 1.62 crores in 2017-18 as compared to deficit of Rs. 42.08 crores in 2016-17.

The Solvency margin as on 31.3.2018 stood at 1.67. 

World renowned rating agency, A M BEST has also maintained our rating at “B++” (very good). We continue being consistently given the highest rating by CRISIL and ICRA also.

  1. Financial Performance of the Company

(Rs. in lakhs)

 

Fire

Marine

Miscellaneous

Total

2017-18

2016-17

2017-18

2016-17

2017-18

2016-17

2017-18

2016-17

Gross Direct Premium: In India

92300

96636

29374

37105

1023527

946592

1145201

1080333

Outside India

7363

7653

2090

2292

19030

21424

28483

31369

Gross Direct Premium Total

99663

104288

31464

39397

1042557

968017

1173684

1111702

Net Premium

58439

59638

21707

23784

922677

838817

1002823

922239

Ratio of Net to Gross

58.64 %

57.18 %

68.99 %

60.37%

88.50%

86.65%

85.44%

82.96%

Profit on Sale of Investments (Policy Holders’)

13999

(23.96%)

8025

(13.46%)

5474

(25.22%)

3354

(14.10%)

162263

(17.58%)

81733

(9.74%)

181736

(18.12%)

93112

(10.09%)

Int./Div./ Rent (Policy Holders’)

9172

(15.70%)

8231

(13.80%)

3586

(16.52%)

3441

(14.47%)

106307
(11.52%)

83836

(9.99%)

119065

(11.87%)

95508

(10.36%)

Commission and other income (Net Income(+)/ Net Outgo (-))

-9588

(-16.41%)

-6883

(-11.54%)

-2137

(-9.84%)

-2511

(-10.56%)

-51725
(-5.61%)

-40497

(-4.82%)

-63450

(-6.33%)

-49891

(-5.41%)

NPA (Provision (-)/ Write back(+))

72

(0.12%)

33

(0.05%)

28

(0.13%)

14

(0.05%)

829

(0.09%)

333

(0.04%)

929

(0.09%)

380

(0.04%)

Diminution in value of shares (-)/ written back (+)

13

(0.02%)

0

5

(0.02%)

0

150

(0.02%)

-2

168

(0.02%)

-2

Increase (-)/ Decrease (+) in unexpired risks reserve

599

(1.02%)

1401

(2.35%)

1308

(6.03%)

919

(3.86%)

-41930

(-4.54%)

-86232

(-10.28%)

-40023

(-3.99%)

-83912

(-9.09%)

Net Incurred claims

-50957

(-87.20%)

-55543

(-93.13%)

-16091

(-74.13%)

-20996

(-88.28%)

-755074

(-81.84%)

-863270

(-102.92%)

-822122

(-81.98%)

939809

(-101.90%)

Expenses of Management

-20402

(-34.91%)

-25945

(-43.50%)

-2953

(-13.60%)

-4168

(-17.52%)

-237588

(-25.75%)

-245442

(-29.26%)

-260943

(-26.02%)

-275555

(-29.88%)

Amortization expenses

-192

(-0.32%)

-105

(-0.18%)

-75

(-0.35%)

-44

(-0.18%)

-2226

(-0.24%)

-1067

(-0.12%)

-2493

(-0.25%)

-1216

(-0.15%)

Investment Written off

-105

(-0.18%)

-37

(-0.06%)

-41

(-0.19%

-16

(-0.06%)

-1219

(-0.13%)

-375

(-0.04%)

-1365

(-0.13%)

-428

(-0.04%)

Premium Deficiency

0

0

439

(0.02%)

-439

(-1.85%)

0

0

439

(0.04%)

-439

(-0.04%)

Net Operating Profit /(Loss)

1050

(1.80%)

-11185

(-18.75%)

11250

(51.83%)

3338

(14.03%)

102464

(11.10%)

-232166

(-27.67%)

114764

(11.44%)

-240013

(-26.02%)

Interest, Dividends & Rent (Shareholders’)

12462

23049

Profit on sale of Investments (Shareholders’)

19021

22471

Other Income/ Outgo

-6527

-3842

CSR Expenditure

-669

-407

Prior period Income / Expenses

-823

-183

Profit (+) / Loss (-) before Tax

138228

-198925

IT deducted at source and Provision for Tax

-24800

0

Provision for Tax for earlier years

37561

29816

Net Profit/ Loss after Tax

150989

-169109

Transfer to General Reserve / Contingency Reserve

150989

-169109

Provision for Dividend

0

0

Corporate Dividend Tax

0

0

 

Percentages mentioned above are to Net Premium