ZIMRE Holdings Ltd (ZHL) says gross premium income for the first quarter ended March 31, has risen “phenomenally” to $16 billion, 433% up on the comparative quarter’s $3 billion last year.
Group chief executive Albert Nduna said bottom line attributable to shareholders for the quarter stood at $1,3 billion compared to $122 million in 2002.
Of the total attributable 49% was from the reinsurance business, 30% from short-term business while the difference came from financial services.
“Business in the period has been good as performance exceeded budget expectations. We have actually surpassed 70% of the whole of last year’s gross premium income,” Nduna said.
He said the diversified group had recorded an underwriting surplus of $1,3 billion during the quarter.
In the year to December 31 2002, the ZHL group reported gross premium income of $24,8 billion up from $5,4 billion previously.
The group said the growth rate was underpinned by ZHL’s presence in both short-term retail market through NicozDiamond and on the domestic reinsurance market through ZimRe reinsurance (ZimRe Re).
The group’s attributable profit for the same period increased by 395% to $4,4 billion from $890 million for the year comparable.
Basic earnings per share at 650 cents were 180% up on 2002’s 232 cents per share.
“Part of this growth was also due to the group’s regional expansion thrust that has seen operations being established in South Africa, Malawi, and Uganda,” the group said.
Analysts said ZHL’s results for the quarter were a build up on last year’s above market expectation performance in the year to December 2002 carried over into the current financial year. – Staff Writer.