Reliance Insurance Company Limited (RICL) reported a decline in profitability for the first quarter ended March 31, 2026, despite recording healthy growth in its insurance business. The company announced its unaudited financial results following a board meeting held on April 30, 2026.
According to the financial statement, Reliance Insurance posted a profit after tax of Rs58.91 million for the three-month period, compared with Rs92.99 million in the corresponding period last year, reflecting a decline of approximately 36.7%. Earnings per share (EPS) also fell to Rs0.59 from Rs0.93 a year earlier.
The company’s net insurance premium increased significantly to Rs176.30 million during the quarter, up from Rs136.15 million in the same period of 2025, indicating stronger business volumes and premium generation. However, higher underwriting expenses, investment-related losses, and increased tax charges weighed on overall profitability.
Reliance Insurance recorded an underwriting profit of Rs45.52 million, an improvement from Rs36.84 million reported in the corresponding quarter last year. Nevertheless, investment income turned negative at Rs79.56 million compared with a positive Rs60.31 million a year earlier, significantly impacting the bottom line.
The company’s total assets stood at Rs3.64 billion as of March 31, 2026, compared with Rs3.81 billion at the end of December 2025. Shareholders’ equity improved slightly to Rs2.09 billion from Rs2.08 billion, supported by retained earnings despite a decline in the valuation surplus of available-for-sale investments.
On the comprehensive income side, Reliance Insurance reported total comprehensive income of Rs8.03 million, substantially lower than Rs95.30 million recorded in the first quarter of 2025. The decline was primarily due to an unrealized loss on the revaluation of available-for-sale securities.
The board of directors did not declare any interim cash dividend, bonus shares, or right shares for the period. The company stated that its quarterly report for the period ended March 31, 2026, will be transmitted separately through the relevant regulatory channels.
