HNB Assurance records 51% growth in profit after tax

HNB Assurance Ltd., has reported a net profit after tax of Rs. 91.3 million for the year ended December 31, 2006 achieving a growth of 51% over the previous year's profit.

The company, which recently became the fastest in the local insurance industry to generate an annual turnover of one billion rupees, ended the year 2006 with a combined turnover of Rs. 1,122 million. The rate of growth achieved in the turnover amounted to 36%.

The company registered an impressive profit growth from life and general insurance business in 2006. The company's net profit before tax from general insurance grew by 20.6% to reach Rs. 62.7 million. It transferred a surplus of Rs. 30 million from the life fund to the shareholders' account compared to the surplus of Rs. 10 million in 2005.

As a consequence of the increased level of profitability, the company recently announced a 10% dividend to its shareholders.