Baku, Azerbaijan, July 8
By Kheyraddin Nasirzade - Trend:
Azerbaijani company Mega Insurance increased total assets by almost 20 percent or by 6.969 million manats in 2018, Trend reports with reference to the company’s financial report.
The company’s long-term assets increased by 12.2 percent for the year in the structure of assets, reaching 14.121 million manats, of which the main share was taken by government securities worth 13.255 million manats (93.8 percent). Fixed assets in the form of real estate and equipment decreased by 48,500 manats, to 281,748 manats.
The volume of short-term assets increased by 23.7 percent, reaching 28.369 million manats. Among short-term assets, insurance receivables almost doubled, amounting to 5.228 million manats, while the remaining receivables accounted for reinsurance transactions.
The volume of cash and cash equivalents significantly decreased by 15 percent, to 10.693 million manats, among which the balance of deposit accounts decreased by 6.812 million manats to 9.308 million manats.
The volume of reinsurers in insurance reserves increased significantly by 2.8 times, reaching 7.686 million manats.
During the year, the insurance company also invested 814,411 manats in short-term government securities, which wasn’t observed in the previous year.
According to the report, the volume of total liabilities increased by 89 percent, reaching 18.646 million manats. In the structure of liabilities, the main growth was observed in non-life insurance reserves - 14.558 million manats (a 69.8 percent growth). Accounts payable on reinsurance operations for the reporting period increased 4.3 times, reaching 3.559 million manats. Other accounts payable increased by almost 60,000 manats to 435,371 manats.
Despite the growth of assets, the volume of total capital over the past year decreased by 7.1 percent, reaching 23.843 million manats. The decrease is observed in retained earnings by 16.4 percent, to 9.343 million manats. Authorized capital remained unchanged at 14.5 million manats.
Mega Insurance began operations Oct. 1, 2010. In 2012, the insurance company received a perpetual license for insurance activities in Azerbaijan.
(1.7 manats = 1 USD on July 8)