Kenya Re announces a Ksh 7B half year profit

Kenya Reinsurance Corporation (Kenya Re) has announced a growth of 14% percent in pre-tax profit to 7 billion shillings.

The corporation’s Managing Director, Jadiah Mwarania, attributes the growth in profit to higher premiums and income from its core investments.

While the firm recorded 2 billion shillings profit, the listed re-insurer had an asset base of 38 billion shillings while the shareholder’s fund stood at 23 billion shillings.

The government owned re-insurer reported a Ksh 7.096 billion after-tax profit, up from Ksh 6.24 billion in a similar period last year.

Mwarania says the gross written premiums rose by 13 percent to 13.06 billion shillings, while investment income went up by 17 percent to 3.04 billion shillings driven by gains made on equity, fixed income investments and rent income.

“Kenya Re has been and will continuously strive to surpass its operational efficiency and achieve sustainable growth in profitability while continually creating value for its shareholders,” said Mwarania.

He says the corporations seek to further increase its profit through diversification in the real estate and venturing in to oil and gas sector in a bid to improve growth of business.

Kenya Re is the oldest re-insurer in Eastern and Central Africa and serves over 265 insurances companies in 62 countries across Africa, Middle East and Asia is now eyeing to invest in South America.