Jubilee Holdings says first-half gross profit rises 16pc

Corporate News

"What stands out is the firm’s persistent disregard of pricing and cost as the selling point." PHOTO | FILE 

By REUTERS

In Summary

• Pre-tax profit for the period to June 30 rose to Sh1.78 billion ($17 million) from Sh1.54 billion a year earlier.
• The biggest percentage increase in premiums reported was a 29.4 per cent jump for life insurance.

Jubilee Holdings posted a 16 per cent rise in pre-tax profit for the first six months of this year, boosted by increases in life and medical insurance premiums.

Jubilee, which also has operations in Uganda, Tanzania, Rwanda, Burundi and Mauritius said pre-tax profit for the period to June 30 rose to Sh1.78 billion ($17 million) from Sh1.54 billion a year earlier.

Insurance is seen as a growth area in Kenya, where only about 8 per cent of the population has any form of coverage. The insurer said its gross written premiums rose 8 per cent in the first-half of the year to Sh16.4 billion.

The biggest percentage increase in premiums was a 29.4 per cent jump for life insurance followed by a 12.9 per cent rise in medical insurance premiums.

Earnings per share rose 23.4 per cent to Sh22.20.

Jubilee's board of directors recommended an interim dividend of 20 per cent or Sh1 per share held, subject to withholding tax.