Desh General Insurance declares 10% cash dividend for the first time

For the first time since it was listed on the stock exchanges in 2021, non-life insurer Desh General Insurance Company has declared a 10% cash dividend for 2020 for its shareholders.

Its share trading commenced on 29 March and the company raised Tk16 crores from the stock market.

The net profit of the insurance company increased by 11% in 2020 compared to the previous year, according to its financial statement published on the stock exchanges website on Tuesday. Besides, the company reported that its earnings per share stood at Tk1.51, which was Tk1.36 in the previous year.

Its share price declined by 2.17% to Tk49.60 from Tk49.70 on 23 August.

As per disclosure, its annual general meeting is set to be held on 28 September through digital platforms. The record date has been fixed as 19 September.

Its net asset value per share stood at Tk11.93 and NOCFPS (Net Operating Cash Flows Per Share) Tk2.08 for the year ended on 31 December, which was Tk11.62 and Tk1.52 respectively for the same period of the previous year.

The company also published unaudited half-yearly financials for 2021. In the January-June period, its earnings per share stood at Tk0.72, which was Tk0.58 at the same time as the previous year.

Also, in the January-March period, its EPS stood at Tk0.44, which was Tk0.29 at the same time as the previous year.

The prime objective of the company is to carry on the insurance, guarantee and indemnity business.

Like most of the general insurance companies in the industry, Desh General Insurance underwrites risks in fire, marine, motor and miscellaneous business areas.

The company started its journey in March 2000 with no subsidiary, and it does not belong to any holding company.

As of 31 July, out of the total shares, sponsors and directors held 60%, institutional investors 4.35% and the general public held 35.65%.