This archive report was first published on 1 July 2020.
Britam Holdings Plc has announced a significant milestone in its financial performance, with shareholders approving a final dividend of 25 cents per share for the financial year that ended on 31st December 2019.
According to the company's 24th Annual General Meeting (AGM), the dividend approval was made during a historical virtual AGM, held electronically in line with Capital Market Authority (CMA) guidelines and government regulations banning large gatherings due to the COVID-19 pandemic.
The company reported a Profit before tax of Shs 4.6 billion in 2019, compared to a pre-tax loss of Shs 2.3 billion the previous year. The Group's gross earned premiums and fund management fees registered a growth of 11%, driven by strong revenue growth in life assurance and International General Insurance Businesses, which achieved growths of 17% and 22% respectively.
Britam's Life Business continues to lead the Kenya life assurance industry with a 24.52% market share, more than ten percentage points ahead of the nearest competitor. The International Business contribution to gross earned premium grew to 19% up from 18% in 2018.
Britam Group Managing Director Dr. Benson Wairegi noted that the global COVID-19 pandemic had introduced unique challenges, stating, 'In these uncertain times, we at Britam have made it our primary focus and concern to look out for the health and well-being of our employees, financial advisors, and customers.'
Dr. Wairegi highlighted the company's investment in technology through Project Jawabu, which has ensured business continuity during the pandemic. This investment has propelled the business, with Britam becoming the first Life Company to issue electronic policies (e-policies) and provide monthly e-statements to customers.
Going forward, Dr. Wairegi expects the effects of the COVID-19 pandemic to lead to a slowdown in the 2020 financial year, with premium growth not being as robust as in previous years.
