Solidarity Bahrain, a top insurance firm, has announced a net profit of BD2.3 million ($6.05 million) for 2018, against a net profit of BD96,000 for the corresponding previous period, representing 2,302 per cent increase.

The subsidiary of Solidarity Group Holding also reported a net surplus of BD270,000, as compared to the BD65,000 surplus for the same period in 2017, representing an increase of 315 per cent.

The increase in the net profits is mainly due to the significant improvement in technical and investment income in 2018 as compared to the corresponding previous period, a company statement said.

The increase in net profit for the financial year ended 31 December 2018 in correspondence to the same period of last year (one-month period), is due to the merger between Solidarity General Takaful and Al Ahlia Insurance Company, it added.

For the fourth quarter (Q4) of 2018, the results included a net profit attributed to shareholders’ fund of BD762,000 against a net profit of BD333,000 for the corresponding previous period, representing 129 per cent increase. In regard to policyholder’s fund, Solidarity has reported a net surplus of BD124,000 for the three-month period ended 31 December 2018.

Solidarity has registered gross premium of BD30.07 million for the full year ended 31st December 2018 compared to BD15.87million for the corresponding previous period, representing an increase of 89 per cent. For the three-month period ended 31 December 2018, the company registered gross premium BD8.19 million compared to BD5.47 million for the same period last year representing an increase of 50 per cent.
The earnings per share has also increased to 19.22 fils for the Year ended31st December 2018 compared to 1.45 fils for 2017.for the three-month period ended 31 December 2018the earning per share is 6.33 fils compared to 5.04 fils for the same period in 2017.

Tawfeeq Shehab, chairman of the company said:“2018 proved to be a positive turning point for Solidarity Bahrain, as the merger between Solidarity General Takaful B.S.C (c) and Al Ahlia Insurance Company B.S.C is a landmark achievement which positioned the Company amongst the top tiers of Bahrain’s insurance industry.”

For the year ended 31 December 2018, Board of Directors has recommended a cash dividend of 12.5 per cent to the shareholders, equivalent to 12.5 Fils per share.

Jawad Mohamed, chief executive officer, Solidarity Bahrain said: “We have successfully overcome the challenges associated with the consolidation of the two companies, through which efficiencies were achieved, synergies were established and customer engagement remained our key focus. We are proud of our positive performance and pleased with our results, and we will continue to deliver our promises to our stakeholders.” – TradeArabia News Service