Sri Lanka HNB Assurance Sept quarter earnings boosted by tax rebate

Nov 04, 2008 (LBO) – Sri Lanka’s HNB Assurance said net profit for the September quarter rose 90 percent to 23.6 million rupees helped by a 9.7 million rupee tax rebate.

Revenue growth for the quarter was up 17 percent to 443 million rupees.

Profit before taxation for the September quarter was 13.8 million rupees and was further boosted by a 9.7 million rupee injection via a tax rebate.

The tax rebate makes up 41 percent of September quarter’s earnings.

Analysts say investment income was up sharply in both the September quarter and the first three quarters amidst a high interest rate environment.

Income from investments for the September quarter had spiked 68 percent to 87.7 million rupees, from 52.2 million rupees in the same quarter of 2007.

For the first nine months, investment income had increased by 79 percent to 241 million rupees, from 134 million in the corresponding nine months of last year.

The insurance company’s gross written premium of the period had increased by 25 percent to 517 million rupees.

However the company had increased its re-insurance cover by 26 percent (138 million rupees) for the September quarter as