Atlas Insurance Limited (ATIL) reported a net profit of PKR 1.29 billion (EPS: PKR 8.64) in 9MCY24, reflecting a 94% YoY increase compared to a net profit of PKR 665.78 million (EPS: PKR 4.46) in 9MCY23. Net insurance premiums grew by 23% YoY to PKR 2.09 billion in 9MCY24, while insurance claims rose by 30% YoY to PKR 460 million. Investment income surged by 217% YoY to PKR 1.09 billion, while finance costs declined sharply by 82% YoY to PKR 9 million, compared to PKR 51 million during the same period last year.
Dividend income increased by 68%, interest income rose by 134%, and capital gains saw a remarkable 1,878% YoY growth in 9MCY24. In CY23, ATIL issued 60% bonus shares and paid a 46% dividend, with a dividend payout ratio of 59%, lower than the 91% recorded in CY22. Gross premiums were recorded at PKR 2.75 billion for fire, PKR 1.09 billion for marine, PKR 959 million for motor, and PKR 899 million for miscellaneous.
Takaful contributions stood at PKR 168 million for fire, PKR 79 million for marine, PKR 327 million for motor, and PKR 22 million for miscellaneous. The company maintains an asset mix with 75- 85% allocated to equities and plans to sustain this allocation going forward.
Net claims declined by 67% for fire, but increased by 72% for marine and 17% for both motor and miscellaneous segments. Going forward, ATIL remains optimistic about future growth and profitability. The company plans to announce a final cash dividend, in line with its historical policy, subject to board approval.
Important Disclosures
Disclaimer: This report has been prepared by Chase Securities Pakistan (Private) Limited and is provided for information purposes only. Under no circumstances, this is to be used or considered as an offer to sell or solicitation or any offer to buy. While reasonable care has been taken to ensure that the information contained in this report is not untrue or misleading at the time of its publication, Chase Securities makes no representation as to its accuracy or completeness and it should not be relied upon as such. From time to time, Chase Securities and/or any of its officers or directors may, as permitted by applicable laws, have a position, or otherwise be interested in any transaction, in any securities directly or indirectly subject of this report Chase Securities as a firm may have business relationships, including investment banking relationships with the companies referred to in this report This report is provided only for the information of professional advisers who are expected to make their own investment decisions without undue reliance on this report and Chase Securities accepts no responsibility whatsoever for any direct or indirect consequential loss arising from any use of this report or its contents At the same time, it should be noted that investments in capital markets are also subject to market risks This report may not be reproduced, distributed or published by any recipient for any purpose.
