Kenya Re records 9pc in net profit of Ksh 0.9 billion

By Isaac OGANGA

Kenya Reinsurance Corporation Limited (Kenya Re) has reported a net profit of Kshs 0.9 billion for the half-year period ended June 30, 2023 – a 9% growth compared to a similar period last year.

The improved performance was achieved on the back of a 16% rise in investment income from KShs 1.86 billion as at June 2022 to KShs 2.15 billion as at June 2023.

This is in addition to the 29% decline in total outflows from KShs 10.48 billion as at June 2022 to KShs 7.40 billion as at June 2023.

Commenting on the financial results, Group Managing Director, Dr. Hillary Maina Wachinga said: “We are pleased with this performance, which reflects our business resilience and adaptability in an ever-evolving insurance landscape. It also validates the relevance of our solutions to our insurers’ needs.

The reinsurers’ statutory operating expenses were down by 72% from Ksh 1 billion as at 30th June 2022 to Kshs 0.3 billion as at 30th June 2023. This is attributable to forex gains and prudent management of operating expenses.

Outlook

The Reinsurer is in the final phase of executing a five-year strategy built on key pillars that guide the business operations including sustainable growth goals and profitability yearly, reinvention approaches to provide unique product offerings in line with market needs.

The Corporation attributes its commendable performance to its continued commitment to delivering innovative reinsurance solutions as well as cutting-edge digital solutions which has enabled streamlined claim payment processes, enhanced risk assessment, and improved service delivery to customers – supporting the growth of the local and continental insurance.