RSA Insurance H1 Profit Soars, Premiums Down; Restores Interim Dividend

(RTTNews) - RSA Insurance Group plc.(RSANY.PK, RSA.L, RSA) reported Thursday that its first-half pre-tax profit, on a management basis, grew 317 percent to 288 million pounds from last year's 69 million pounds. Post tax profit grew to 215 million pounds from 6 million pounds last year.

The company recorded net gains of 169 million pounds, including 140 million pounds from disposals completed in the first half. Reorganisation costs were 55 million pounds.

Operating profit grew 84 percent from last year to 259 million pounds. The company said the strong results reflect excellent progress inimplementing the RSA Action Plan.

Net written premiums, meanwhile, declined to 3.44 billion pounds from last year's 3.77 billion pounds. Net Earned Premiums were 3.58 billion pounds, compared to 4.01 billion pounds a year ago.

The company said the Group net written premiums were down 3 percent at constant exchange rates due to disposals, however Core Group premiums rose 2 percent on an underlying basis.

Group underwriting profit was 101 million pounds, compared to last year's loss of 23 million pounds.

Core Group combined ratio was 96.9 percent, compared to 100.3 percent in 2014.

Further, the company said it restored interim dividend with a declaration of 3.5p per ordinary share.

The company said it remains confident in meeting medium term performance targets.