Sagicor is reporting that it is now the second-largest conglomerate on the Jamaica Stock Exchange, measured in terms of profitability.
The feat was achieved at the end of its 2018 financial year, which was a bumper one for the multi-line financial services group whose operations span banking, insurance, investment, real estate and pension. The management team declared that they intend to hold firm on this number two spot.
The group had a good year in 2018, raising stockholders’ value by generating reasonable growth with strong returns. The growth trend continued with improved financial results for the 19th-consecutive year.
Net profit for the year was $14.23 billion, which is 18 per cent above 2017. This earning performance was driven primarily by strong business growth across all lines and favourable investment returns.
Details of the group’s 2018 financial performance were outlined to shareholders at its annual general meeting on Monday last, held at the Sagicor Group Jamaica Auditorium, R Danny Williams Building, Barbados Avenue, New Kingston.
This performance was positively driven primarily by strong portfolio growth across all business lines, efficiency and experience gains in insurance, favourable insurance benefits, experience and gains from the consolidation of Sagicor X Fund.
At the same time some factors dampened the results, including the volatility of the Jamaican dollar, lower yields on investment securities and declining re-investment rates, certain unexpected expenses, and high-impairment losses on certain bonds, especially in banking.