Britam Holdings PLC has reported a 52 per cent increase in profit before tax, reaching Sh7.3 billion for the financial year 2024, up from Sh4.82 billion in the previous year.
The company attributed this growth to operational efficiencies and a diversified revenue strategy spanning both insurance and investment sectors.
The Britam’s total insurance revenue grew to Sh37.6 billion from Sh36.4 billion in 2023, driven by gains in its Kenya insurance business.
Regional general insurance entities contributed 27 per cent to this growth, despite facing currency depreciation against the Kenya Shilling. Additionally, Britam's investment strategy yielded a 163 per cent surge in net investment income to Sh30.6 billion.
The net insurance service result increased by 35 per cent to Sh5.07 billion, reflecting higher business volumes and strong underwriting processes.
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Meanwhile, finance expenses from insurance contracts issued rose by 203 per cent to Sh27.7 billion, reflecting enhanced returns to policyholders, changes in financial risks, and the impact of the time value of money.
Britam's balance sheet also demonstrated resilience, with total assets expanding by 20 per cent to Sh208.5 billion.
The Group’s total equity increased to Sh29.5 billion from Sh25.7 billion in 2023, despite a Sh1.3 billion translation loss due to the weakening of regional currencies against the Kenya Shilling.
The Group maintained an operating expense ratio of 32 per cent while recording a 12 per cent rise in gross written premiums to Sh50.7 billion and a 24 per cent increase in Contractual Service Margin (CSM) to Sh10.6 billion.
Despite its strong financial performance, Britam’s Board of Directors has opted not to declare a dividend for the year that ended on December 31, 2024, maintaining its position from the previous year.
