KUALA LUMPUR (Aug 23): Allianz Malaysia Bhd (KL:ALLIANZ), which provides both life and general insurance, reported a flat net profit for the second quarter ended June 30, 2024 (2QFY2024), amid increased claims for fire and engineering losses, and higher insurance service results from the investment-linked protection business and higher net investment income.

Net profit for the quarter was RM167.02 million, up 0.21% from RM166.67 million a year earlier, according to the group in an exchange filing on Friday. Earnings per share rose to 63.78 sen from 57.92 sen.

Revenue increased 17.7% year-on-year (y-o-y) to RM1.37 billion from RM1.16 billion, mainly due to higher insurance revenue from both segments.

No dividend was declared for the quarter under review.

Looking ahead, the group said it will continue to focus on accelerating its distribution transformation through agency recruitment and partnership expansion.

Additionally, the group aims to introduce new products to enhance customer offerings, with digital innovation being a continuous effort to improve business processes and customer experience.

“As a result of astute planning over the years, we once again showed a steady upward trajectory for the second financial quarter. We expect to continue this growth momentum in the second half, amid positive developments in the nation’s economic environment,” said Allianz Malaysia chief executive officer Sean Wang in a statement.

For the general insurance segment, Allianz Malaysia reported that its unit, Allianz General Insurance Company (Malaysia) Bhd, recorded an insurance revenue of RM779.9 million in 2QFY2024, an increase of 17.1% or RM114 million from a year earlier.

Gross written premiums grew 15.2% y-o-y to RM1.69 billion, outpacing the market's 9.5% average. The motor segment grew 20.1%, boosting the group’s market share to 14.1% in the quarter under review.

Meanwhile, Allianz Life Insurance Malaysia Bhd, the group's life insurance subsidiary, reported RM591.2 million in quarterly revenue, an 18.5% increase from 2QFY2023.

The subsidiary also saw a 38.9% growth in annualised new premiums, surpassing the market's 15.3% growth, with its market share rising by 1.4 percentage points to 11.2%.

For the first half ended June 30, 2024 (1HFY2024), Allianz Malaysia's net profit rose 5.2% y-o-y to RM356.85 million from RM339.36 million, as revenue climbed 16.4% to RM2.71 billion from RM2.33 billion for 1HFY2023.

Allianz Malaysia shares closed unchanged at RM20.22 on Friday, valuing the group at RM3.61 billion.