Salama Insurance turns to SAR 51.3M profit in 2023; Q4 at SAR 8.3M

Salama Cooperative Insurance Co. reported a net profit of SAR 51.3 million for 2023, against a net loss of SAR 38.9 million a year earlier.

Insurance revenues rose 34% year-on-year (YoY) due to higher earned revenues, driven by the growth in the volume of operations in all insurance sectors.

The positive performance is due to the increase in net profits from insurance results for this year to SAR 38 million, against net losses from insurance results of SAR 38 million for the previous year due to the growth in revenues and profits from insurance results for the health and motor insurance segments.

There was also an increase in investment income of SAR 8 million YoY and a decline in other operating expenses by SAR 11 million YoY.

This comes despite the increase in net insurance financing expenses by SAR 2 million for 2023 and the decrease in other income related to the pool for Hajj and Umrah insurance for this year by SAR 1 million.

The company reported a net profit of SAR 8.3 million in Q4 2023, an 81% decline from SAR 44.71 million in Q4 2022.

Sequentially, Salama’s profit fell 34.2% from SAR 12.67 million in Q3 2023.

Shareholders’ equity, no minority interest, grew to SAR 205.81 million as of Dec. 31, 2023, compared to SAR 60.99 million a year earlier.

Accumulated losses stood at SAR 35.72 million by the end of 2023, which represents 17.86% of capital.

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