PVI posts over 15% increase in profit after tax in H1
PVI posts over 15% increase in profit after tax in H1
PVI Holdings experienced robust growth in both direct insurance and reinsurance premium revenues in the first half of the year.
The headquarters of PVI Holdings in Cầu Giấy District. — Photo courtesy of PVI |
In its consolidated financial results for the first six months, the insurance group reported total net revenue of over VNĐ3.7 trillion (sale revenue less deductions), up 15.2 per cent year-on-year.
Deducting expenses, PVI's consolidated profit after tax grew by 11.4 per cent over the same period last year to nearly VNĐ662.2 billion.
The robust revenue growth was driven by both direct insurance and reinsurance premium revenues, Trần Thu Hà, Director of the Secretariat & Public Relations Division of PVI, said at PVI Investor Talk Q2/2024 on Friday.
PVI saw a 24.4 per cent increase in direct insurance premium revenue, while the reinsurance revenue of its reinsurance arm surged by 17 per cent.
In the second half of the year, the growth of direct insurance premium revenue is anticipated to exceed the forecasted market average, and that of reinsurance premium is likely to grow at a double-digit rate, she added.
PVI's investment portfolio amounted to VNĐ15.5 trillion as of the end June. It has maintained a well-diversified and liquid investment portfolio in order to maintain capital adequacy and secured ratings, which is very crucial for (re)insurers.
As of the end of the second quarter, the portfolio included 67.47 per cent in bank deposits, 23.86 per cent in bonds and 5.73 per cent in real estate investments.
Despite the low and declining interest rate environment, PVI has been able to generate a slight increase in its return on equity (ROE) ratio compared to the same period last year. This is due to the company's strategy of holding long-term, high-yielding fixed deposit contracts established in previous years, as well as its investments in high-performing bonds.
