The profit after tax of Pakistan Reinsurance Company Limited (PRCL) has declined to Rs 719.830 million in the first nine months of 2008 as compared to Rs 2,741.596 million earned in the same period in 2007. The earning per share of the company also decreased to Rs 2.40 in the period under review against Rs 9.14 in the same period last year.
The board of directors of the company in its meeting declared that the underwriting profit increased from Rs 85 million for 2007 to Rs 159 million in the current period, an increase of 87 percent. PRCL's net premium revenue is reported at Rs 1439 million compared to Rs 1,229 million of the corresponding period of 2007, an increase of 17 percent.
The company was also able to earn better return on T-bills, government securities, fixed income securities and bank deposits. The earning for current period was Rs 181 million as compared to Rs 142 million for the corresponding period, an increase of 27 percent.
The company's rental income also registered an increase of 36 percent. The company had earlier increased its authorised and paid-up capital from Rs 4 billion to Rs 25 billion and from Rs 540 million to Rs 3 billion, respectively during the period. The company's profit before tax stood at Rs 902.790 million in the nine-month period this year against Rs 2,861.765 million in the same period last year.