Allianz Malaysia net profit rises to RM98.92m in Q1

Allianz Malaysia Berhad Chief Executive Officer Zakri Khir. — Picture courtesy of Allianz Malaysia
Allianz Malaysia Berhad Chief Executive Officer Zakri Khir. — Picture courtesy of Allianz Malaysia

KUALA LUMPUR, May 23 — Allianz Malaysia Bhd has recorded a net profit of RM98.92 million in the first quarter ended March 31, 2019 (Q1) compared with RM87.23 million in the same quarter last year.

In a filing to Bursa Malaysia, the company said revenue increased to RM1.34 billion from RM1.27 billion in the corresponding period in 2018.

“The better performance was attributed to higher gross earned premiums and investment income by RM60.4 million and RM12.5 million respectively,” it said.

It added that the life insurance segment recorded an operating revenue of RM769.2 million for the first three months of 2019, up 14.3 per cent, due mainly to increase in gross earned premiums and investment income by RM85.9 million and RM10.2 million respectively.

“The increase in gross earned premiums of the life insurance segment was mainly contributed by growth in agency, bancassurance and employee benefits channels,” it said.

On current year prospects, the insurance company said Bank Negara Malaysia had projected in its 2018 Annual Report that the global economy was expected to moderate towards its long-term trend, characterised by slower growth in both advanced and major emerging economies.

Allianz Malaysia Berhad’s Head Office is located at Menara Allianz Sentral along Jalan Tun Sambanthan, Kuala Lumpur. — Picture courtesy of Allianz Malaysia
Allianz Malaysia Berhad’s Head Office is located at Menara Allianz Sentral along Jalan Tun Sambanthan, Kuala Lumpur. — Picture courtesy of Allianz Malaysia

The general insurance segment is anticipating a challenging year in 2019 amidst concerns of trade wars between the US and China, weak consumer sentiment and subdued domestic economic activity.

“However, the general insurance segment remains focused on optimising business margins by shifting into profitable business segments, executing technical excellence in claims management,  operating efficiently and prioritising customer needs,” Allianz said. — Bernama