SIIC announced financial results for the year ending 31/12/2011

21/02/2012 21:22 AST

Saudi Indian Company announces financial results for the year ending 31/12/2011 as follows: 1.Net loss (before Zakat & tax) for the year is SR 1,108 thousands as compared with the net loss (before Zakat & tax) of SR 4,000 thousands for the previous year (restated), a decrease of 72.30%.

Net loss (after Zakat & tax) for the year is SR 2,375 thousands as compared with the net loss (after Zakat & tax) of SR 5,100 thousands for the previous year (restated), a decrease of 53.43%.

2.Loss per share during the year is SR 0.24 as compared to SR 0.51 of previous year(restated).

3.The deficit of insurance operations during the year amounted to SR 3,152 thousands (after deducting SR 14 thousands being the investment return of policyholders) as compared to deficit of insurance operations of the previous year(restated) amounted to SR 2,763 thousands (after deducting SR 14 thousands being the investment return of policyholders) , an increase of 14.08%

4.The Gross written premium (G W P ) is SR 93,896 thousands during the year as compared to SR 66,964 thousands of previous year, an increase of 40.22%

The Net written premium during the year is SR 64,803 thousands as compared to SR 40,417 thousands of previous year, an increase of 60.33%

5.The net claims incurred during the year is SR 34,326 thousands as compared to SR 11,589 thousands of previous year, an increase of 196.19%

6.Net earnings on investments of policyholders for the year is SR 14 thousands as compared to SR 14 thousands of previous year.

Net earnings on investments of shareholders during the year is SR 486 thousands. As compared to SR 266 thousands of previous year, an increase of 82.71%

7.The reason for decrease in net loss this year as compared to previous year (even though there was increase in deficit from insurance operations due to high incurred claims) is mainly due to reversal of Directors remuneration amounting to SR 2,110 thousands and decrease in general & administrative expenses of Shareholders by 63%.

The reason for decrease in net loss as compared to the previously announced interim results of fourth quarter of 2011 (twelve months) of SR 4,543 thousands is due to change in Technical reserves as per Actuarial Report received after making the announcement. The Actuary has reduced the IBNR and Premium Deficiency Reserve adopted for interim reporting of fourth quarter of 2011 by SR 2,168 thousands resulting in reduction of loss by similar amount.

8. As mentioned in the Auditors Report, the financial statements were prepared according to the International Financial Reporting Standards and the Company management confirms that there is no vital difference between the preparation of accounts under IFRS and SOCPA.

Tadawul