Alinma Tokio Marine’s accumulated losses reach 35.9% of capital

Logo of Alinma Tokio Marine Co.

Alinma Tokio Marine Co.’s accumulated losses stood at SAR 107.81 million, as per unaudited financial results for the period ended Sept. 30, 2021, according to a bourse filing.

The accumulated losses account for 35.9% of the company’s capital, which totals SAR 300 million.

These losses were driven by lower written premiums, compared to operating, general, and administrative expenses.

The insurer currently focuses on low-loss policies, which will reflect positively on the company's results.

It will also focus more on debt collection to cut provisions for bad debts and will sharply reduce expenses.

Alinma Tokio Marine expects to eliminate losses and improve results over the coming period, thanks to operating performance for 2021, in addition to other operating reforms.

The Saudi insurer indicated that procedures and instructions related to listed companies with accumulated losses amounting to 35% or more of its share capital will apply.

The company’s loss before Zakat stood at nearly SAR 3.8 million in Q3 2021, Argaam reported.