QUARTERLY
REPORT
Quarter Ended March 31
2024
(Un-Audited)
S E R V I N G
R E L I A B L Y
RELIANCE | |||||
Reliance Insurance | Window Takaful | ||||
Company Limited | |||||
Reliance Insurance Company Limited
CONTENTS
01 FINANCIALSTATEMENTS
- Company Information
- Directors' Review
04 Directors' Review in Urdu
- Condensed Interim Statement of Financial Position
- Condensed Interim Profit & Loss Account
- Condensed Interim Statement of Comprehensive Income
- Condensed Interim Statement of Changes in Equity
- Condensed Interim Statement of Cash Flow
- Notes to the Condensed Interim Financial Statements
02 RELIANCE WINDOW
TAKAFUL OPERATIONS
- Financial Statements Reliance Window Takaful Operations
- Condensed Interim Statement of Financial Position
- Condensed Interim Profit & Loss Account
- Condensed Interim Statement of Comprehensive Income
- Condensed Interim Statement of Changes in Fund
- Condensed Interim Statement of Cash Flow
- Notes to the Condensed Interim Financial Statements
- Offices
R TED | |||
'A+' | |||
(Outlook: 'Stable') | |||
By VIS & PACRA | |||
COMPANY | |||
INFORMATION | |||
Board Of Directors | Audit Committee | Credit Rating | |
Chairman | Tasneem Yusuf | Chairperson | A+ ( Single A+ ) By VIS & Pacra |
Irfan Zakaria Bawany | Irfan Zakaria Bawany | Member | Outlook "Stable" |
Directors | Muhammad Omar Bawany Member | Auditors | |
Muhammad Omar Bawany | Investment Committee | BDO Ebrahim & Co. | |
Ahmed Ali Bawany | Irfan Zakaria Bawany | Chairman | Chartered Accountants |
Noor M. Zakaria | Ahmed Ali Bawany | Member | Legal Advisor |
Zia Zakaria | Tasneem Yusuf | Member | |
Muhammad Patel | Muhammad Patel | Member | Irfan Advocate |
Naeem Ahmed Shafi | A. Razak Ahmed | Member | Shari'ah Advisor |
Tasneem Yusuf | Muhammad Salim Memon Secretary | ||
Jahangir Adam | Ethics, Human Resource & | Mufti Muhammad Farhan Farooq | |
Chief Executive & Managing Director | |||
Remuneration Committee | |||
A. Razak Ahmed | Naeem Ahmed Shafi | Chairman | |
Chief Financial Officer | Irfan Zakaria Bawany | Member | |
Noor M. Zakaria | Member | ||
Ghulam Haider | A. Razak Ahmed | Member | |
Company Secretary & Compliance Officer | |||
Faraz Abdul Razak | |||
Bankers | Registered Office | Shares Registrar | |
Habib Bank Limited | 96-a, Sindhi Muslim Co-operative | M/s. C&k Management | |
Mcb Bank Limited | Housing Society, Karachi. | Associates (Pvt.) Ltd. | |
Allied Bank Limited | 404-trade Tower, | ||
Soneri Bank Limited | Head Office | Abdullah Haroon Road, | |
Bank Alfalah Limited | Reliance Insurance House, 181-A, | Near Hotel Metropole, | |
National Bank Of Pakistan | Sindhi Muslim Co-operative Housing | Karachi-75530. | |
Meezan Bank Limited | Society, P .O. Box No. 13356, | Tel: (021) 35687839 & 35685930 | |
Dubai Islamic Bank | Karachi-74400. | ||
Mcb Islamic Bank Limited | Phone : 34539415-17 | ||
United Bank Limited | Fax : 92-21-34539412 | ||
The Bank Of Punjab | E-mail :reli-ins@cyber.net.pk | ||
Faysal Bank Limited | ric-re@cyber.net.pk | ||
Habib Metropolitan Bank Limited | Website: www.relianceins.com | ||
Js Bank Limited | |||
The Bank Of Khyber |
02
RELIANCE INSURANCE COMPANY LIMITED
DIRECTORS' REVIEW
The Shareholders,
Reliance Insurance Company Limited,
Your Directors are pleased to present before you the First Quarter (Un-audited) Account for the period ended March 31, 2024.
During the period under review, your Company underwrote a Gross Premium of Rs.238.897 million (inclusive of Takaful Contribution for Rs.27.462 million) as compared to Rs.211.002 million of the corresponding period of last year (inclusive of Takaful Contribution for Rs.19.321million) - an increase of 13.22%. Net Premium stood at Rs.125.144 million as against Rs.117.576 million of last year showing an increase of 6.44%.
Net Claims stood at Rs.28.721 million compared to Rs.33.801 million of corresponding period of last year, underwriting prot increased from Rs.25.815 million to Rs.26.206 million.
The Total Investment income for the quarter has witnessed a substantial upturn, reaching Rs.77.487 million from Rs.18.675 million, marking an impressive surge of 314.92% compared to the previous year. This signicant growth is predominantly attributed to the outstanding performance of the Pakistan Stock Exchange, which led to an unrealized gain of Rs.41.932 million, against an unrealized loss of Rs.12.487 million in the corresponding period of the previous year. Furthermore, the Dividend Income has also experienced positive growth, rising from Rs.23.974 million to Rs.29.888 million, demonstrating an increase of Rs.5.914 million. Throughout the period under review, the Pakistan Stock Exchange Index surged from 62,451.04 points as of December 31, 2023, to 67,005.10 points as of March 31, 2024, indicating a positive market trend.
Prot before tax stood at Rs.100.747 million against Rs.39.190 million of corresponding period of last year. Earnings per share (EPS) stood at Re.1.49 compared to Re.0.24 - (Restated) for the corresponding period of last year. There is an Accumulated surplus from Window Takaful Operators Fund of Rs.77.696 million as at 31st March, 2024 as compared to Rs.54.436 million of previous year.
Future Outlook:
Business development in current scenario is quite challenging. In the current business landscape, we encounter signicant challenges, as highlighted by the State Bank of Pakistan (SBP)'s projection of average ination to range between 23-25 percent in FY24, with an anticipated downward trend in FY25. Additionally, geopolitical tensions have caused a surge in global freight charges, posing risks to global trade and commodity prices. To counteract inationary pressures and maintain currency stability, the SBP has upheld a record-high policy rate of 22 percent since June 2023.
Despite these formidable challenges, there are promising signs in agriculture and indications of potential recovery in the industrial sector. However, persistent risks such as budget decits, escalating debt obligations, and soaring ination continue to loom, posing threats to economic stability. Negotiating a new International Monetary Fund (IMF) program is pivotal in securing sustainable nancing solutions.
In the face of these circumstances, embracing bold and innovative strategies becomes imperative. We hold steadfast condence in our team's ability to navigate these challenges and strive for positive outcomes. Furthermore, our Takaful operations present additional avenues and opportunities to enhance our company's business, culminating in our growth and success.
By order of the Board
A. RAZAK AHMED | |
Karachi: 29th April, 2024 | Chief Executive & Managing Director |
QUARTER ENDED REPORT MARCH 2024
03
2024 | 29 |
04 RELIANCE INSURANCE COMPANY LIMITED |
OUR SERVICES
Reliance Insurance underwrites all classes of General
Insurance and enjoys reputation second to none. Apart from Conventional General Insurance RIC has also commenced its General Takaful operations in the year 2016.
General Insurance | General Takaful | |
(Conventional) | RELIANCE | (Islamic) |
Reliance Insurance commenced its general insurance business in 1981 and it underwrites all classes of traditional and non-traditional lines.
Reliance Insurance is offering a wide range of covers such as Fire & Property, Marine Cargo, Motor Vehicles (Commercial & Private), Personal Accident, Money Insurance, Burglary & Liability (Public & Product) and Workmen Compensation while non-traditional covers such as Engineering Risks (MBD, CAR, EAR), Aviation Insurance, Terrorism & Sabotage and Bonds are also being offered.
Takaful is an Islamic alternate of Insurance and is growing steadily. Reliance Insurance commenced its Window Takaful Operations in June 2016 under the guidance of renowned, qualied and certied Sharia Scholars.
Reliance Takaful is offering a wide range of Sharia Compliant General Takaful Products such as Fire & Property Takaful, Marine Cargo Takaful, Motor Takaful (Private / Commercial Vehicles), Engineering Takaful, (MBD, CAR, EAR), Money Takaful, Liability (Public & Private) Takaful and Personal & Group Accident Takaful, etc.
QUARTER ENDED REPORT MARCH 2024
05
CONDENSED INTERIM STATEMENT OF FINANCIAL POSITION
AS AT MARCH 31, 2024
Note |
ASSETS |
(Un-audited) | (Audited) |
March 31, | December 31, |
2024 | 2023 |
Rupees
Property and equipment | 6 |
Intangible assets | |
Investment | |
Equity securities | 8 |
Debt securities | 8.1 |
Term deposit | 8.2 |
Loan and other receivables | 9 |
Insurance / Reinsurance receivables | 10 |
Reinsurance recoveries against outstanding claims | |
Deferred Commission Expense | |
Prepayments | 12 |
Cash & Bank | 13 |
Total Assets of Window Takaful Operatoins-Operator's Fund
TOTAL ASSETS
EQUITY AND LIABILITIES
Capital and reserves attributable to Company's equity holders
Ordinary share capital | 14 |
Reserves | |
Unappropriated Prot | |
Surplus on revaluation of available for sale investment | |
Total Equity | |
Liabilities | |
Underwriting Provisions | |
Outstanding claims including IBNR | |
Unearned premium reserves | |
Unearned Reinsurance Commission | |
Insurance / Reinsurance Payables | |
Other Creditors and Accruals | 15 |
Deferred taxation |
Taxation - provision less payments
Total Liabilities
Total Liabilities of Window Takaful Operations-Operators Fund
TOTAL EQUITY AND LIABILITIES
CONTINGENCIES AND COMMITMENTS
84,510,900
-
918,359,038
70,092,591
42,021,980
1,030,473,609
20,324,834
528,150,287
197,790,400
90,984,213
181,605,408
110,838,878
2,244,678,529
161,017,969
2,405,696,498
665,379,490
310,000,000
324,172,002
36,882,583
1,336,434,075
257,341,136
417,952,754
37,758,716
713,052,606
205,951,657
62,334,577
20,815,443
33,797,107
1,035,951,390
33,311,033
2,405,696,498
87,159,556
-
839,874,670
70,092,591
42,628,618
952,595,879
5,135,425
537,186,737
176,420,765
95,312,664
194,268,623
108,555,276
2,156,634,925
155,881,702
2,312,516,627
665,379,490
310,000,000
225,049,587
21,992,211
1,222,421,288
230,153,423
440,170,615
39,285,465
709,609,503
216,603,821
76,108,264
30,143,866
22,637,371
1,055,102,825
34,992,514
2,312,516,627
The annexed notes from 1 to 25 form an integral part of this condensed interim nancial information.
Irfan Zakaria Bawany | Mohammad Omar Bawany | Noor M. Zakaria | Ghulam Haider | A. Razak Ahmed |
Chairman | Director | Director | Chief Financial Ofcer | Chief Executive & Managing Director |
Karachi: 29th April, 2024
06
RELIANCE INSURANCE COMPANY LIMITED
CONDENSED INTERIM PROFIT & LOSS ACCOUNT (UN AUDITED)
FOR THE THREE MONTHS PERIOD ENDED MARCH 31, 2024
Note |
(Un-audited) | (Un-audited) |
March 31, | March 31, |
2024 | 2023 |
Rupees
Net insurance premium | 17 |
Net insurance claims | 18 |
Net Commission and other acquisition costs | 19 |
Insurance claims and acquisition expenses | |
Management Expenses | |
Underwriting results | |
Investment Income | 20 |
Other income | |
Other expenses | |
Prot before tax from takaful operations-Operators Fund | |
Prot before tax | |
Income tax expense | |
Prot after tax | |
Earnings after tax per share - Rupees | 21 |
125,143,612
(28,721,222)
(29,903,560)
(58,624,782)
(40,313,191)
26,205,639
77,486,862
2,590,646
(15,212,066)
64,865,441
9,676,100
100,747,181
(1,624,766)
99,122,415
1.49
117,576,547
(33,800,566)
(23,604,906)
(57,405,472)
(34,356,322)
25,814,753
18,675,234
1,362,877
(12,749,905)
7,288,206
6,086,796
39,189,755
(23,361,534)
15,828,221
Restated 0.24
The annexed notes from 1 to 25 form an integral part of this condensed interim nancial information.
Irfan Zakaria Bawany | Mohammad Omar Bawany | Noor M. Zakaria | Ghulam Haider | A. Razak Ahmed |
Chairman | Director | Director | Chief Financial Ofcer | Chief Executive & Managing Director |
Karachi: 29th April, 2024
QUARTER ENDED REPORT MARCH 2024
07
CONDENSED INTERIM STATEMENT OF COMPREHENSIVE INCOME (UN AUDITED)
FOR THE THREE MONTHS PERIOD ENDED MARCH 31, 2024
(Un-audited) | (Un-audited) |
March 31, | March 31, |
2024 | 2023 |
Rupees
Prot after tax
Other Comprehensive Inocme
Surplus / Defecit on revaluation of available for sale securities
Less: Net gain transferred to prot and loss on disposal / redemption of investment
Surplus on revaluation of available for sale securities - takaful
Impact of related deferred taxation including change in tax rate
Total comprehensive income income for the period
99,122,415
20,538,404
507,593
(52,286)
(6,103,339)
14,890,372
114,012,787
15,828,221
1,206,906
-
-
(350,004)
856,902
16,685,123
The annexed notes from 1 to 25 form an integral part of this condensed interim nancial information.
Irfan Zakaria Bawany | Mohammad Omar Bawany | Noor M. Zakaria | Ghulam Haider | A. Razak Ahmed |
Chairman | Director | Director | Chief Financial Ofcer | Chief Executive & Managing Director |
Karachi: 29th April, 2024
08
RELIANCE INSURANCE COMPANY LIMITED
CONDENSED INTERIM STATEMENT OF CHANGES IN EQUITY ( UN AUDITED)
FOR THE THREE MONTHS PERIOD ENDED MARCH 31, 2024
Revenue Reserves | ||||||||||||
Share | General | Surplus | Unappro- | |||||||||
on revalution | priated | Total | ||||||||||
capital | reserves | |||||||||||
of AFS | prot / | |||||||||||
investments | (Accumulated) | |||||||||||
Balance as at January 01, 2023 | (Rupees) | |||||||||||
633,694,750 | 290,000,000 | 49,196 | 136,521,419 | 1,060,265,365 | ||||||||
Total comprehensive income for the period | - | - | 856,902 | 15,828,221 | 16,685,123 | |||||||
Balance as at March 31, 2023 | ||||||||||||
633,694,750 | 290,000,000 | 906,098 | 152,349,640 | 1,076,950,488 | ||||||||
Balance as at January 01, 2024 | ||||||||||||
665,379,490 | 310,000,000 | 21,992,211 | 225,049,587 | 1,222,421,288 | ||||||||
Total comprehensive income for the period | - | - | 14,890,372 | 99,122,415 | 114,012,787 | |||||||
Balance as at March 31, 2024 | ||||||||||||
665,379,490 | 310,000,000 | 36,882,583 | 324,172,002 | 1,336,434,075 | ||||||||
The annexed notes from 1 to 25 form an integral part of this condensed interim nancial information.
Irfan Zakaria Bawany | Mohammad Omar Bawany | Noor M. Zakaria | Ghulam Haider | A. Razak Ahmed |
Chairman | Director | Director | Chief Financial Ofcer | Chief Executive & Managing Director |
Karachi: 29th April, 2024
QUARTER ENDED REPORT MARCH 2024
09
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Reliance Insurance Co. Ltd. published this content on 30 April 2024 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 30 April 2024 06:31:17 UTC.