5.64 million dinars profit for “National Holding” during the first six months of 2022

5.64 million dinars, profit of “National Holding” during the first six months of 2022

Bahrain National Holding Company has announced its financial results for the second quarter and half-yearly period ending June 30, 2022.

In the second quarter ended 30 June 2022, the Group recorded a net loss attributable to shareholders of BD 2.13 million, compared to a net profit of BD 1.26 million for the second quarter of the previous year. This loss is due to the impairment provision of BD 4.46 million on an available-for-sale investment. This is an investment that has been reclassified from an equity responsible investment. Exceptional and non-recurring gains were recorded in the first quarter of 2022 amounting to BD 5.87 million when an investment in an equity-accounted associate was reclassified to an available-for-sale investment. The net profit attributable to shareholders for the second quarter of 2022, excluding the effects of the above reclassification and subsequent provisions, amounted to BD 2.33 million, an increase of 85% over the second quarter of 2021. The loss per share in the second quarter was 18.0 fils compared to The stock earned 11.2 fils in the second quarter of the previous year. Total comprehensive income attributable to shareholders in the second quarter recorded a loss of BD 3.15 million, compared to income of BD 2.39 million during the same period last year.

In terms of the half-yearly financial results, the group achieved a record net profit attributable to shareholders amounting to BD 5.64 million, compared to BD 3.14 million for the first half of the previous year, an increase of 80%. As a result, earnings per share increased to 48.9 fils compared to 27.9 fils in the first half of 2021. Total comprehensive income attributable to shareholders in the first half amounted to BD 2.71 million, compared to BD 3, 77 million during the first half of the previous year, a decrease from

28%.

The increase in net profit for the first half of 2022 compared to the first half of 2021 is attributed to the extraordinary and non-recurring gains arising from the reclassification of an associated company to financial investments available for sale, amounting to BD 5.87 million has. but these profits were partially affected after calculating a provision Impairment on the same investment in the second quarter of 2022 amounting to 4.46 million BD. This is in addition to the significant growth in underwriting profits and investment income, which resulted in an 80% increase in net profit. The net profit attributable to shareholders for the first half of 2022, excluding the effects of the above reclassification and subsequent provisions, amounted to BD 4.23 million, an increase of 35% over the second quarter of 2021.

Total shareholders’ equity (excluding minority interests) increased to 64.11 million dinars at the end of the first half of this year, compared to 62.22 million dinars at the end of the previous year, an increase of 3%. Total assets also increased to BD 121.37 million, compared to BD 119.28 million at the end of the previous year, an increase of 2%.

Total insurance premiums for the second quarter of 2022 stood at BD 9.85 million, while net earned premiums increased by 5% to reach BD 4.61 million, compared to BD 4.38 million in the second quarter of last year. The group recorded a net underwriting profit of BD 1.36 million during the second quarter, compared to BD 0.97 million in the second quarter of the previous year, an increase of 40%. Net investment income also increased to BD 1.48 million during the second quarter, compared to BD 0.54 million in the second quarter of the previous year, an increase of 173%.

In terms of the half-yearly financial results, the group recorded a 5% increase in total insurance premiums to reach BD 21.59 million, compared to BD 20.52 million for the first half of last year, while net earned premiums increased by 6 % increased to reach BD. BD 9.28 million, compared to BD 8.78 million for the first half of the previous year. The group also achieved underwriting profits of BD 2.36 million during the first half of 2022, compared to BD 2.05 million in the first half of the previous year, an increase of 15%. The net investment income also increased to BD 2.64 million compared to BD 1.58 million for the same period in 2021, an increase of 67%.

Farouk Al-Moayyed, Chairman of the Board, said: “We are proud of the technical and investment results achieved, and this reflects the clear approach set by the Board to promote the provision of outstanding services and achieve better results. “

Samir Al Wazzan, Group CEO, said: “The Group has worked to develop and update its technical system to keep up with the requirements of the time and to take advantage of information technology to monitor risks and their performance on a assess in a technical and professional manner. Also the work team concerned with the transformation and application of the international accounting standards IFRS 9 and IFRS 17 is working according to the plan that has been set and is now in the final implementation phase of the system and evaluation. In addition, the group, through its subsidiaries, has provided new insurance coverage for small and medium-sized companies to help them grow and secure their new projects. The group has also worked to develop its cadres through many specialized courses to increase the level of competencies and refine the skills of employees, and we are confident that the group will continue its effort to provide the best services to its clients. and reach shareholders.”

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