Reliance Insurance profit drops 8% in 2025
The general insurer disclosed its annual financial results after the board approved the accounts at a meeting held on 26 February, according to company sources.
Reliance Insurance PLC reported an 8% year-on-year decline in net profit to Tk88 crore in 2025, reflecting higher claims and depreciation expenses despite growth in premium income.
The general insurer disclosed its annual financial results after the board approved the accounts at a meeting held on 26 February, according to company sources.
Earnings per share fell to Tk8.42 in 2025, down from Tk9.12 in the previous year. The company said in a price sensitive statement that the decline in profit was mainly due to an increase in claims settlement and higher depreciation costs during the year.
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However, the insurer's balance sheet indicators showed improvement. Net asset value per share stood at Tk78.95 with revaluation and Tk75.43 without revaluation, compared to Tk69.59 under both measures a year earlier. The rise in net asset value was attributed to higher retained earnings.
Net operating cash flow per share rose sharply to Tk6.84 in 2025 from Tk1.66 in 2024. The company said stronger cash flow was driven by increased premium income during the year, which helped offset pressure from higher claims expenses.
The board of directors has recommended a 30% cash dividend for shareholders for the year 2025, maintaining the same payout ratio as the previous year.
To secure shareholder approval, the company has scheduled its annual general meeting for 30 April, with 31 March set as the record date.
Listed on the Dhaka Stock Exchange PLC in 1995, Reliance Insurance closed at Tk73.90 on Thursday, with a market capitalisation of Tk770.83 crore.
According to its January shareholding report, sponsors and directors hold 67.95% of the company's shares, while institutional investors own 4.48%. The remaining 27.57% is held by general shareholders.
