[Feb 2017] Insurance Companies in Ethiopia Latest Ethiopian News - AddisBiz.Com | Ethiopian Business Guide
National Insurance Company of Ethiopia S.C (NICE) has suffered a decline in both profits and its market share despite a growth in premium production.
NICE’s board of directors disclosed at the company’s annual meeting that its profits plummeted by 32pc to a little over 21 million Br for the recently concluded fiscal year.
“Our legal provisions were very high due to the amendment of the old directive,” said...
Tsehay Insurance S.C. has ended its third year with 11.6 million Br profit after tax, a massive increase from last budget year by 185.7pc. In line with this, earnings per share (EPS) have almost doubled to 32 Br.
The massive growth in profit is attributed to the parallel expansion in all income items. The report indicated that underwriting surplus has increased by 57.6pc to 21.1 million Br, which came due to the expansion in gross written premium. It has increased from 80.3 million Br to 121 million Br. Moreover, the increased...
Abay Insurance reported a nine per cent profit rise to 29.2 million Br, although tripling its capital meant a whopping 63.5pc decrease in earnings per share to nearly 13,000 Br....
The par value of Abay’s shares is 25,000 Br.
The past fiscal year has seen it increasing its capital from just 23.6 million Br to 69.2 million Br by the end of the reporting year. The company’s June 2015 report indicated that its capital was six million Birr short of the 75 million Br capital the central bank required insurers to attain by December 2015.
The formation of the Ethiopian reinsurance company faces delay as it falls short by 40 million Br of the 500 million Br in paid-up capital required by the National Bank of Ethiopia.
Organisers are hoping to raise the money by selling the remaining shares to banks before opening the sale to the public. Even then the manner of premium collection proposed for the would-be reinsurer is expected to become a thorny subject, as it could have a share of all premiums collected, and not just from the premium for reinsured...
Lucy Insurance SC has recorded a 300pc increase in paid up capital, amounting to 62 million Br, and a doubled its profit after tax to eight and a half million birr.
The former was a result of having sold 46.7 million birr worth of shares in the past fiscal year alone. However, the quadrupling of the number of shares has come at the expense of a 12pc decrease in Earnings Per Share (EPS).
Although Lucy’s annual report puts their capital as of June 2015 at 62 million Br, additional sale of shares to the tune of 13million Br...
National Insurance Company of Ethiopia (NICE) S.C., increased its earnings per share (EPS) to 547 Br in the 2014/15 fiscal year up from 439 Br the previous year; the year has saw its profits soaring by 76.3pc to 28.03 million Br.
This is the first reporting year under the new CEO Tesfaye Debella, successor to Habtemariam Shumgizaw, who had been the boss for 20 years, until October 2014.
NICE, which engages in general insurance only, also reported increasing its paid-up capital to 54.9 million Br, up by 21.3pc from the...
Awash Insurance Company S.C. (AIC) has reversed last year’s poor performance in profit after tax and earnings per share (EPS) but the general growth rate is still lower than that reported in the fiscal year 2012/13 and previous years. In the past year, the Company registered a 10.5pc increase in profit after tax to 64.3 million Br and marginal 3.8pc increase of EPS to 272 Br.
The decline in growth rate of EPS is attributed to the sluggish growth rate in profit after tax coupled with massive expansion in paid up capital, said...
Oromia Insurance Company (OIC) S.C. paid a claim of 525,000 Br for 300 farmers in Oromia following crop failure related to the ongoing drought.
The claims were paid at a ceremony in Ziway town on October 23, 2015, with beneficiaries coming from Kemo Gerbi and Desta Abiyata kebeles of Adami Tulu in Gedo Kombolcha wereda, Eastern Shewa, Oromia Regional State. This insurance policy is part of a programme under the Ministry of Environment, Forest & Climate Change, which is funded by the United Nations Development...
Ethio-Life & General Insurance (ELIG) S.C. is edging closer to the 75 million Br capital requirement set by the National Bank of Ethiopia (NBE) with two months remaining for the deadline.
The firm which reported raising its paid up capital by 30.8pc to 37 million Br in the 2014/15 fiscal year, improved on that further, over the months since July, attaining 55 million Br, Shimeles Gebregiorgis, general manager of the firm told Fortune. This boost included the sale of shares and the recapitalization of the dividends...
A small deterioration in market share for United Insurance has come with a marked reduction in its Earnings per Share (EPS), its latest financial statement released October 22 revealed, but it could be part of a sound strategy, says an expert.
The descent has seen it go from EPS of 677 Br in 2012/13 to 547.66 Br in 2013/14 to 384.4 Br in the fiscal year which ended on July 7, 2015. Chairman of the Board, Zafu Eyesuswork, told the 21st General Assembly at Hilton Addis Hotel that United’s market share had gone down from 5.9pc in...
NIB Insurance S.C. has increased its profit after tax by 36.47pc to 62.56 million Br. However, the bank has also registered a short fall in its earnings per share (EPS), from the last two years. It declined from 259 Br in 2012-2013 to 240Br in 2013-2014. Its EPS was 243Br in 2011-2012. The decrease in EPS is attributed to the issuance of additional shares worth 37.3 million Br.
NIB has also boosted its paid-up capital by 40pc to 130.6 million Br. Currently, its capital and reserves represent about 19.07pc of its total...
Africa Insurance Company, one of the first insurance companies in the country that reached their 20th anniversary, managed to increase its profit after tax by 42pc reaching 37 million Br and the earnings per share reached 478 Br from the prior year’s 408 Br.
Although the Bank has registered such a profit increase in the fiscal year, it has incurred an underwriting deficit of 94o,584 Br, falling down from the preceding year’s surplus of 24.6 million Br.
“This is disappointing performance in the general insurance business,’’...