KUALA LUMPUR (May 8): Insurer and reinsurer MNRB Holdings Bhd’s (KL:MNRB) net profit more than doubled year-on-year (y-o-y) in the fourth quarter, thanks to lower insurance expenses and higher investment income, sending its shares surging to an all-time high.
Net profit for the three months ended March 31, 2024 (4QFY2024) stood at RM232.63 million or 29.71 sen per share versus RM94.95 million or 12.12 sen per share a year ago, MNRB said. Revenue for the quarter rose 28% y-o-y to RM816.79 million from RM637.97 million.
The company, mostly controlled by Permodalan Nasional Bhd (PNB), also reported that its net profit for the full-year (FY2024) tripled to a new high of RM428.34 million from RM142.65 million in FY2023, while revenue increased 21.23% to RM3.6 billion from RM2.97 billion a year ago.
MNRB, which provides reinsurance and operates Islamic life and general insurance businesses, expects the takaful segment to continue to grow, driven by various initiatives to increase its sales following the latest results.
The FY2024 performance reflects MNRB’s commitment on strategic initiatives across all of its business lines, MNRB chairman Datuk Johar Che Mat said in a statement.
“The financial year’s significant improvements were strategically planned with an ongoing commitment to prioritising stakeholders’ interests and championing good governance,” he said.
In the reinsurance and retakaful segment, the group said it will take a proactive stance to risk diversification, pursuing growth in overseas markets and venturing into specialised business lines.
With the increasing frequency and severity of climate-related disasters, “the group maintains a disciplined underwriting approach, emphasising the efficient use of capital and implementing appropriate retrocession protection programmes”, it added.
Net profit for the full year tripled to RM428.34 million as compared to RM142.65 million in FY2023, while revenue increased 21.23% to RM3.6 billion from RM2.97 billion a year ago.
Shares of MNRB hit the limit-up after climbing 30% on Wednesday, before ending the day up 52 sen or 28.89% to RM2.32, valuing the company at RM1.82 billion.