Regional insurer experiences a 5% decrease in net profit during the first quarter

Gulf Insurance Group (GIG) has reported a net profit of KWD10.9m ($35.6m) for the first quarter of 2024, a 5.2% decrease compared to the same period last year. Despite this slight decline, the insurance company has shown strong performance in key financial indicators.

The insurance revenue for GIG reached KWD212.7m in the first quarter of 2024, marking a significant increase of 12.4% compared to KWD189.2m in the first quarter of 2023. This growth in revenue can be attributed to the company’s strategic focus on expanding its market presence and offering innovative insurance products to its customers.

Moreover, GIG’s net investment income saw a substantial increase, reaching KWD19.6m in the first quarter of 2024, a 63% rise from KWD12m in the same period last year. This growth in investment income reflects the company’s successful investment strategies and prudent financial management.

In terms of assets, GIG’s total assets stood at KWD1.198bn as of March 31, 2024, compared to KWD1.175bn as of December 31, 2023. The company’s shareholder equity remained stable at KWD236.2m as of March 31, 2024, compared to the previous quarter. This demonstrates GIG’s strong financial position and ability to maintain a solid balance sheet.

Mr Khaled Saoud Al Hasan, GIG’s CEO, expressed satisfaction with the company’s performance in the first quarter of 2024. He highlighted GIG’s continuous growth, diversified revenue sources, and commitment to protecting stakeholders’ interests. Al Hasan also emphasized the company’s focus on digital transformation, including digital distribution of products, claims services, and other operational functions.

GIG is the largest insurance group in Kuwait in terms of written and retained premiums, with a presence in both life and non-life insurance as well as takaful. The company has also established itself as one of the leading insurance networks in the Middle East and North Africa, with operations in multiple countries including Bahrain, Jordan, Egypt, Turkey, Algeria, UAE, KSA, Oman, Qatar, Iraq, and Lebanon.

Overall, GIG’s performance in the first quarter of 2024 reflects its resilience and strategic vision in navigating the challenges of the insurance industry. With a strong financial foundation, a focus on innovation, and a commitment to customer satisfaction, GIG is well-positioned for continued success in the future.