Riyadh – Mubasher: Arabian Shield Cooperative Insurance’s profits hiked 60.76% year-on-year to SAR 44.73 million ($11.93 million) in the fourth quarter of 2016 compared to SAR 27.8 million ($7.44 million).
The increase in net profits was attributed to higher net premiums by 49%, investment income by 78%, earned commission income by 24%, and lower operating and administrative expenses by 42%, according to a bourse filing on Wednesday.
The decrease in operating and administrative expenses was mainly due to the decline in provision for bad debts, negatively impacted by the increase in the net incurred claims by 59%, in other underwriting costs by 60% and in other underwriting costs by 60%.
As for the twelve months of 2016, the company posted net profits of SAR 80.95 million, rising 96%, from SAR 41.29 million a year earlier.
