Jubilee Holdings has announced a 4 per cent increase in profit after tax for the year ended December 31, 2011, to hit Sh1.9 billion.
The company attributed the growth to increased market penetration within the East Africa region including Mauritius, and its growing underwriting profits which increased to Sh540 million in 2011 from Sh476 million in 2010.
Its net insurance premium grew 37 per cent to Sh7.3 billion up from Sh5.3 billion in 2010.
“Jubilee’s strong performance marks the success of the company’s initiative to increase market penetration in the region and we consider it very important that our core insurance business contributes effectively to our group results,” said Jubilee Holdings chairman Nizar Juma.
Jubilee Insurance has operations in Kenya, Uganda, Tanzania, Burundi and Mauritius.
The insurer, which made an after tax profit of Sh1.8 billion in 2010, also awarded bonus shares to its current shareholders in a ratio of one for every 10 ordinary shares held.
“We are extremely pleased with our continued strong performance in 2011, despite the substantial drop in the equity markets during the year,” said Mr Juma.
The bonus shares will be issued by May 26, 2012, but are subject to approval by the Capital Markets Authority and shareholders in the annual general meeting.
The directors also recommended a final dividend of Sh4.50 per share.