MNRB GROUP MAINTAINS ITS SOUND PERFORMANCE FOR FY2014

18 Sep 2014

Kuala Lumpur, 18 September 2014 – The MNRB Group recorded a RM88 million increase in revenue to RM2.4 billion for the financial year ended 31 March 2014 (FY2014) in comparison to the revenue of RM2.3 billion recorded previously.

Encik Sharkawi Alis, Chairman of MNRB said, “The improvement in the Group’s revenue was a result of the increase in gross premiums and contributions by our subsidiaries, mainly, Malaysian Reinsurance Berhad (Malaysian Re) and Takaful Ikhlas Berhad (Takaful IKHLAS) respectively”.

The Group registered gross premiums and contributions amounting to RM2.2 billion for FY2014 representing an increase of RM66.4 million as compared to RM2.1 billion in the preceding year. The Group’s total investment income amounted to RM174.2 million in FY2014, a 14.7% or RM22.3 million increase over the RM151.9 million recorded previously.

“The Group also registered an increase of 38.5% in net profit to RM156 million in FY2014 from RM112.7 million in FY2013 due to the higher underwriting surplus of Malaysian Re.  For the financial year under review, the Group’s earnings per share increased by 20.3 sen to 73.2 sen as compared to 52.9 sen previously”, added Encik Sharkawi.

Meanwhile, the Group’s reinsurance arm, Malaysian Re, registered total gross premiums of RM1.34 billion, representing a RM65.8 million increase in comparison to the RM1.28 billion registered in FY2013. For the financial year under review, Malaysian Re registered a profit before tax of RM213.1 million, a 28.7% or RM47.5 million increase as compared to the profit before tax of RM165.6 million registered in the preceding year. The growth was due to improved underwriting results as well as higher investment income. As a result, the overall profit after tax of Malaysian Re stood at RM160.7 million in FY2014 as compared to RM124 million previously.

 

Takaful IKHLAS, MNRB’s takaful arm, recorded an increase of RM24 million in gross contributions to RM769.6 million for FY2014 from RM745.6 million previously. The net profit attributable to equity holders improved by 59.4% to RM16.1 million from RM10.1 million as a result of higher wakalah fees and surplus administration charges from takaful funds.

MNRB Retakaful Berhad (MRT), another subsidiary of MNRB, recorded an  improvement in its results from a loss of RM12.9 million last year to a loss of RM1.2 million for FY2014.

Commenting on the Group’s prospects, Encik Sharkawi said, “The Board of Directors remains optimistic of the Group’s prospects for the new financial year. We will continue to focus our efforts and resources on exploring all opportunities and addressing all challenges. Moving forward, we will continue to assume a prudent and conservative approach in all that we undertake to ensure shareholder value creation remains our top priority”.

MNRB Holdings Berhad is an investment holding company. Amongst its wholly owned subsidiaries are Malaysian Reinsurance Berhad (Malaysian Re), Takaful Ikhlas Bhd. (Takaful IKHLAS), MNRB Retakaful Berhad (MRT) and Malaysian Re (Dubai) Ltd. (MRDL). MNRB is listed on the Main Market of the Bursa Malaysia Securities Berhad.

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