Janashakthi Records Highest Profit After Tax Among The Top 5 Quoted Insurance Companies
Janashakthi Insurance PLC (JIPLC) recorded a Profit after Tax of LKR 265.6 Mn as against LKR 82.2 Mn of the Prior Year Half year, resulting in a very impressive growth rate of 223% !
The Unaudited Interim Statement as at 30th June 2009 of the Company, reflected a Revenue of LKR 2.961 Bn, which is a growth of 11.65% over the Prior Year Value of LKR 2.652 Bn.
Managing Director of Janashakthi Insurance PLC, Prakash Schaffter said “General Insurance business registered an growth of 5% to reach LKR 2.060 Bn. The Performance of Life Insurance Business has also increased by 5% to reach LKR 702 Mn. The relatively low growth was mainly due to the prevailing economic conditions, which is now expected to improve considerably.
Elaborating further, Prakash Schaffter said, that the Company has managed to record impressive results as at the half-year, mainly through the management of operating expenditure, which recorded a saving of 3% over the Prior Year and prudent underwriting practices which resulted in Net Claims and benefits paid also being lower than that of the Prior Year by 2%. Despite the value being less than the Prior Year, the Company incurred a value of LKR 1.144 Bn in respect of claims to customers during the first half of 2009. The Company had also recorded, a value of LKR 499 Mn in respect of Investments and Other Income as against a value of LKR 448 in the Prior Year, reflecting a growth of 11%.
The Managing Director went on to say “Irrespective of fierce competition in the market and the challenging economic conditions, we have managed to record a growth due to our wide ranging insurance product portfolio which offers unmatched benefits to policyholders, exceptional service standards which helped us to retain our existing customers, rapid expansion of a professional and aggressive sales force together with timely settlement of claims which amounted to LKR 2.5 Bn in 2008 and over LKR 1 Bn in the first half of 2009”.
Our proven track record undoubtedly enabled us to build confidence among the general public. Janashakthi Insurance has the highest stated capital among Public Quoted Insurance Companies, amounting to over LKR. 1.49 Bn, which is over 7.5 times the statutory requirement. The company is also backed by a rapidly accumulated asset base of over LKR 10 Bn, LKR 3.4 Bn in government securities and is the only insurer to acquire a state owned insurance company. Janashakthi Insurance PLC also achieved a record of being the fastest insurance company to reach the LKR 5 Bn annual revenue mark and has an extensive Island wide branch network of over 100”, Mr. Schaffter added.
“During the year 2009, our focus will be to extend the benefits of our flagship brands such as Janashakthi Full Option, Janashakthi Life Unlimited, Janashakthi Awaranaya and further introduce a number of innovative products in keeping with the current economic and consumer needs. Janashakthi will further enhance the deployment of technology to enable faster service delivery and to empower our sales force to serve our customers better”, he said.
