Prudential Vietnam prospers amid turbulent market

April 03, 2013 | 12:40

(0) user say

Prudential Vietnam maintained its growth last year with record new business premiums of nearly $71 million despite a challenging macro-economic environment.

The company’s financial results for the year ending December 31, 2012 show its total premium income grew 9 per cent, to a record VND6.592 trillion ($314 million), or about 36 per cent of the total premium income of Vietnam’s life insurance industry.

With these upbeat outcomes, Prudential remained the market leader in Vietnam with the largest market share in both new and total premium income.

Alongside the growth of its insurance operations, Prudential Vietnam’s investment performance remained strong. Total investment income was up 20 per cent to VND3.434 trillion ($163.5 million).

The firm has produced an operating profit (excluding special bonuses to policyholders) of VND1.218 trillion ($58 million), comparable to the level achieved in previous years.

Its retained earnings in 2012 were VND2.031 trillion ($96.7 million). The balance sheet and solvency capital were strong with total assets amounting to VND32.959 trillion ($1.5 billion) as of December 31, 2012, an increase of 16 per cent compared to the prior year.

To coincide with the announcement of its 2012 financial results, Prudential Vietnam also declared another round of Special Reversionary Bonus amounting to VND760 billion ($36 million) to long-term customers with participating policies. This bonus has been included in the accounts of the company for the year ending December 31, 2012.

This is the fourth time since 2007 that Prudential has announced a special bonus, following the first one in 2007 and two in 2012. These bonuses are the result of the growth of Prudential’s insurance operations as well as the success of its investment activities in the recent years.

By Dinh Thuy

vir.com.vn

What the stars mean:

★ Poor ★ ★ Promising ★★★ Good ★★★★ Very good ★★★★★ Exceptional