By: WE Financial Services Limited
Although Pakistan Reinsurance Company Ltd (PAKRI) is not included in WE Universe but increasing queries of investors, we believe it is better to give brief analysis. In the last three months company share price continued to move upwards to near its 10-month high mainly due to growing portfolio value. Furthermore, company with CY14 results.
PAKRI posted net profit after tax of Rs 908 million ( EPS Rs 3.03) for the Nine month ended September 30, 2014 as compared to Rs 1,113 million ( EPS Rs3.71) same period last year, depicting drop of 18.5% mainly due to decrease in investment income. The net premium of the company surge by 5% to Rs 3,549 million during the 9MCY14 against Rs 3,385 million in 9MCY13. However net claims hike by 5.1% to Rs 2,071 million in 9MCY14 as compared to Rs 1,971 million during the same period last year due to higher claims from fire business. Claim ratio increased to 58.4%% in 9MCY14 against 58.2%% in 9MCY13 mainly due to higher claims.