PETALING JAYA: Syarikat Takaful Malaysia Keluarga Bhd’s net profit for the fourth quarter ended Dec 31, 2018 soared 60.86% to RM90.57 million from RM56.30 million, attributable to the higher net Wakalah fee income arising from growth in the family and general takaful business.
Revenue for the quarter under review rose 35.49% to RM701.51 million from RM517.74 million.
For the full financial year, the group’s net profit grew 42.68% to a record high of RM294.92 million from RM206.70 million, while revenue increased 23.37% to RM2.64 billion from RM2.14 billion.
“The group’s return on equity crossed the 30% mark with an actual achievement of 32.7% compared with 26.7% for last year, in tandem with the record net profit achieved,” said Takaful Malaysia CEO Datuk Seri Mohamed Hassan Kamil.
He noted that the group sustained its market leading position in the family takaful business to register RM1.6 billion in gross contributions, particularly due to the increase in the credit-related portfolio on the back of the sturdy growth of the local Islamic banking industry that resulted in higher adoption for takaful products.
“Our general takaful arm is witnessing a quantum leap of 20%, outpacing the industry peers as well as our conventional insurance counterparts with total gross contributions of RM709 million, mainly derived from the growing acceptance of our fire and motor product lines, apart from our ongoing digital strategy and ‘Click for Cover’ online sales portal that continue to provide support for customer acquisition,” he added.
Takaful Malaysia said despite business sentiments remaining cautious in 2019, the takaful industry is expected to outperform the conventional insurers in view of the strong demand in the takaful products.
“Takaful Malaysia is poised to further expand its market share in 2019. To sustain its market leading position, the company will continue with its innovative strategies via the implementation of its digital strategy, introduction of online solutions, expansion of its distribution capabilities, strategic partnerships with leading Islamic banks and brand awareness initiatives,” its said of prospects.
The stock gained 2.05% to close at RM3.98 with 452,900 shares done.
