Nairobi — British American Investment Company (Britam) has recorded a 25 percent increase in its half year pre-tax profit for the period ending June 30, 2013 to Sh2.3 billion from Sh1.8 billion over the same period last year.
Announcing the results, Britam Managing Director Benson Wairegi said new business growth along with investment gains propelled the group's performance.
Earnings per share increased by 22.6 percent from 93cents per share in June 2012 to Sh1.14 per share for the first half period in 2013.
"Our half year profitability was driven by a strong growth in written premium, investment income and a material uplift in new business growth. Premiums have continued to grow due to new business underwritten, introduction of new products and enhanced business relationships with brokers and agents." he said.
Insurance business revenue grew to Sh4.4 billion compared Sh3.4 billion during a similar period in 2012.
Asset management revenue increased by 68 percent to Sh268 million as investment income rose to Sh3.7 billion representing a growth of 44 percent.
Comprehensive income grew by 31 percent to Sh3.7 billion driven by strategy on diversification of the investment portfolio across key stable asset classes including properties and fixed income investments.
Total assets increased by 33 percent to Sh43 billion as a result of portfolio diversification.
"The group's capital base is strong enough to take us through our second phase of growth as we eye further regional expansion and lay an even stronger foundation for a healthy and sustainable development of the company's business going forward," Wairegi said.