Market leader China Taiping’s profit surges 68 per cent

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The Macau branch of China Taiping Insurance generated a profit of MOP77.2 million in 2014, the company announced in its official results. In the territory, the Hong Kong-based insurance company is only involved in non-life insurance policies, where it is the market leader.
The result represents an increase of 68.2 per cent year-on-year net profit of MOP77.2 million from MOP45.9 million in 2013. This was achieved during a time when the Macau economy is going through a slowdown period, as the report of the company stresses.
“In comparison with 2013, the growth of gross premiums in 2014 also went through an adjustment as the speed of growth was slower than in the past. Gross premiums accounted for MOP2 billion and in relation to 2013 they increased 5 per cent”, the company said of the overall market.
Last year, China Taiping Insurance managed to outperform the overall market, with revenues from gross premiums increasing to MOP592.9 million in 2014 from MOP500.2 million in 2013. This is an 18.5 per cent increase year-on-year for the insurance company, against a 5 per cent increase in the market.
In terms of market share, the company managed to grab 30.3 per cent, with MOP592.9 million, while the total market amounted to MOP1,956 million, which, according to the company, grants them the leadership of the non-life insurance sector. In comparison with 2013, the share of China Taiping increased 3.5 percentage points from 26.8 per cent, when it had MOP500.2 million gross premiums of a market that amounted to MOP1,863 million.
In spite of expecting troubling times in the near future, there is an optimistic view for the long-term.
‘Taking into account the restructure and diversification of the economy, the benefits arising from the economic growth of Mainland China, the construction of the Hong Kong-Zhuhai-Macau Bridge and the development of Hengqin Island, it is true that the economy of Macau is under short term constraints but in the long term there are good prospects’, the company claimed.