This article first appeared in The Edge Malaysia Weekly on October 5, 2026 - October 11, 2026

Despite a complex reinsurance landscape marked by rising catastrophe risks, a softening pricing cycle and market volatility, MNRB Holdings Bhd (KL:MNRB) has managed to strengthen its earnings over the last three years, demonstrating remarkable resilience in the face of these challenges.

The reinsurer and retakaful provider made it onto the winners’ list of The Edge Billion Ringgit Club (BRC) for the second year running, taking home two awards — Highest growth in profit after tax over three years and Highest returns to shareholders over three years — in the financial services (non-banks) sector. This is a new category introduced in the BRC this year.

MNRB’s net profit compound annual growth rate over the three financial years in review — from 2022 to 2025 — stood at 51%, the highest among its peers in that sector.

MNRB’s net profit for the financial year ended March 31, 2024 (FY2024) was particularly notable as it marked the first time the group breached the RM400 million level to hit a record high of RM433.5 million. Its net profit far exceeded the combined earnings of RM118.3 million in FY2023 and RM114.4 million in FY2022.

The strong performance in FY2024 came on the back of a 17.7% year-on-year (y-o-y) rise in gross written premiums and gross written contributions to RM4 billion.

However, in FY2025, amid external headwinds and market volatility, MNRB’s net profit fell 9.1% y-o-y to RM394.2 million, primarily impacted by lower insurance service results and reduced fair value gains in the equity portfolio. Its adjusted weighted return on equity, which shot up to 14.8% in FY2024 from 4.4% in FY2023, came in at 12%.

The group returned to growth mode in FY2026, with its net profit rising 38.3% y-o-y to reach a fresh record high of RM544.7 million.

In line with the steadier set of earnings during the period in review, MNRB’s adjusted share price broke through the RM1 barrier in early September 2023 and has not looked back since.

Returns to shareholders were a solid 39.4% a year over the three years in review, as MNRB’s share price rose from 83 sen on March 31, 2023, to RM2.24 on March 31, 2026.

The returns reflect the higher dividends that shareholders received as profits grew. From a dividend per share (DPS) of 4.45 sen in FY2023, MNRB lifted the DPS to 10 sen in FY2024 and FY2025. It also paid out 10 sen per share in FY2026.

The stock reached a record-high closing price of RM3.10 on Aug 26 after the company reported a strong set of 1QFY2027 results, during which net profit grew 9.1% y-o-y to RM183.8 million. It was its highest quarterly profit since 4QFY2024. On Aug 28, MNRB’s share price closed at RM3.03, valuing the company at RM2.37 billion.

After more than five decades in the business, MNRB is now at a significant point of its transformation journey as it looks to sharpen its focus on reinsurance and retakaful.

In May, it announced that it was planning to acquire the remaining 80% stake that it does not own in Labuan Reinsurance Ltd (Labuan Re) for US$100.69 million (RM400.49 million) in cash, in a bid to fully consolidate the business and strengthen the group’s regional reinsurance and retakaful platform. Bank Negara Malaysia gave its nod in August for the deal to go through, and the transaction is now awaiting approval from the Labuan Financial Services Authority.

Meanwhile, MNRB also owns two takaful businesses — Takaful Ikhlas Family Bhd and Takaful Ikhlas General Bhd — which it is in the midst of selling to Bank Kerjasama Rakyat Malaysia Bhd, better known as Bank Rakyat, for RM1.64 billion in cash.

“We are clear about where MNRB’s next phase of growth lies as we realign our business model around our core reinsurance and retakaful strengths. We are building a stronger and more focused group with the scale, specialist capabilities and market connectivity to pursue quality growth across Malaysia, the region and selected international markets. The proposed acquisition of Labuan Re and divestment of [the takaful businesses] are important components of this transformation,” MNRB interim president and group CEO Datuk Rudy Rodzila Che Lamin said in August following the release of the group’s 1QFY2027 results.

Going forward, the group’s priorities remain centred on “underwriting excellence, efficient capital management and sustained investments in talent, technology, data and risk analytics”, he added.

MNRB’s reinsurance and retakaful businesses have historically formed the bulk of group earnings. In 1QFY2027, they accounted for 76.3% of the group’s net profit, while the takaful businesses made up 16.1%.

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