AED764 million in H1 net profit by 28 insurance companies

Net profits of 28 insurance companies listed at ADX and DFM surged 34.2 percent during H1 2017 to AED764 million against AED569 million during the corresponding period last year.

Market analysts attributed the recovered profitability in the insurance sector to the success secured by eight companies which turned last year's losses into gains during the first six month of the year in addition to the increase in the number of firms getting listed at this platform.

The restructuring policies adopted by a large number of these companies have as well led to the noticeable improvement in performance coupled with the marked hike in share prices.

In more detail, profits of 16 insurance companies listed at ADX amounted to AED363 million during the first half of the year, a growth of 8.6 percent from AED334 million in the same period last year.

At DFM, profits of 12 listed insurance companies jumped 70.6 percent to AED401 million during H1 against AED235 million during the same period last year.

It was noteworthy that the 7 listed Takaful insurance companies posted impressive growth, with three of them listed at ADX securing net profit of AED40.4 million, a growth of 59 percent from AED25.4 million during the same period last year.

At Dubai bourse, profits of four Takaful insurance companies hit AED12.4 million, recovering losses of AED155 million sustained during the same period last year.

National insurance companies listed at UAE stock markets account for 46 percent of total insurance premiums nationwide, according to latest industry statistics.

Source: Wam