INSURANCE supplier Great Eastern’s revenue for the second half of the yr ended Dec 31, 2023, declined 13 per cent to S$337.4 million, from S$385.9 million for H2 2022.
It was primarily led by a 25 per cent larger earnings tax expense of S$179.2 million, based mostly on the OCBC insurance coverage arm’s financials launched on Monday (Feb 26).
Earnings per share for the half-year interval stood at S$0.71, down 13 per cent from S$0.82 a yr earlier.
The board proposed a remaining dividend of S$0.40 per share, which will likely be payable on May 17, upon shareholders’ approval on the annual common assembly on Apr 25. The switch books and the register of members of Great Eastern will likely be closed from 5 pm on May 2 as much as May 3 to find out the dividend entitlements.
Including the interim dividend of S$0.35 per share paid in August 2023, the overall dividend for FY2023 would quantity to S$0.75 per share, larger than S$0.65 per share in FY2022.
For FY2023, its revenue elevated 27 per cent to S$774.6 million, pushed by funding efficiency within the Singapore Life enterprise and shareholders fund. “Profitability of our insurance business is healthy, though dampened by higher medical claims,” mentioned the group.
It additionally highlighted a gentle progress in new buyer rely, with the overall new buyer base rising by over 400,000 in the entire yr.
Total weighted new gross sales for the yr fell 12 per cent to S$1.7 billion as in comparison with FY2022, reflecting decrease single premium gross sales within the Singapore market. This was as a result of the inverted Singapore-dollar yield curve made shorter-term interest-yielding investments extra interesting than single premium merchandise, Great Eastern famous.
“Lower sales in single premium products were partially offset by growth in regular premium sales, particularly in protection and whole life plans through the group’s core distribution channels.”
The group’s new enterprise embedded worth for the yr declined 11 per cent to S$762.1 million, led by decrease gross sales on the entire.
Shares of Great Eastern closed Friday down 0.3 per cent or S$0.05 to S$18.24.