We would like to invite you to continue a survey you have started. ...

Do you trust your insurer ?

Strongly agree
Strongly disagree
Insurance provides peace of mind
Insurance is purchased only when compulsory
Terms and Conditions (small print) are clear and easily accessible
Insurance jargon (language) stands in the way of fully understanding each policy
Insurance companies try their best to uphold the details of the policy without cutting corners
Reducing risk, cutting costs and profits are more important to an insurance company than the customer
Insurance companies in the region are as professional as in other more developed markets
Age group
Do you feel your insurance provider works in your interest?
Have you had a rejected claim that you feel was not justified?
Do you trust your insurance provider?
Our Network

Register for our free newsletter

Latest News

Shuaa Capital narrows Q4 loss, provisions hit 2011

Shuaa Capital narrows Q4 loss, provisions hit 2011

Shuaa Capital's net loss narrowed in the fourth quarter as the investment bank cut costs and quit unprofitable businesses to offset the impact of slumping global markets and Arab political unrest.


February 13, 2012 2:19 by

But provisions and one-time charges related to the moves weighed on full-year results.

Dubai-listed Shuaa said it had a net loss of 111.8 million UAE dirhams ($30.44 million) in the quarter ended Dec. 31, compared to a loss of 186.7 million in the prior-year period.

One analyst at HSBC had forecast a 84 million dirhams loss.

On the year, Shuaa had a net loss of 293.8 million dirhams, a 31.3 percent rise over its 2010 loss of 223.7 million dirhams.

Shuaa attributed much of the annual loss to impairments and valuation adjustments, with one-off costs relating to the closure of its retail brokerage business in Jordan and Egypt and significant downsizing in Abu Dhabi and Riyadh weighing.

“It has been evident that with the onset of the Arab Spring in early 2011, the company was not going to see the expected market recovery and consequently embarked on a more fundamental restructuring program,” Shuaa said in a statement.

“As a result, the company accelerated cost cutting initiatives and launched a systematic rightsizing program, which has improved operational efficiency and adapted the companys cost structure in line with market conditions.”

Overall, Shuaa said it took provisions and one-off charges of 136.3 million dirhams in 2011 and cut staffing costs over the year by 39 percent.

Total revenue for 2011 slumped 47.3 percent, to 99.2 million dirhams from 188.4 million dirhams in 2010.

Shuaa had cash reserves of 340.2 million dirhams and total liabilities of 437.2 million dirhams at the end of 2011, compared to 397.1 million dirhams and 447.6 million dirhams respectively a year before.

The firm’s share price, which has rallied in recent days, was up 14.75 percent on Monday. The stock has seen double-digit gains in the past two trading sessions and gained 23.3 percent year-to-date, prior to the start of trading on Monday. ($1 = 3.6730 UAE dirhams) (By David French; Additional Reporting by Mirna Sleiman; Editing by Amran Abocar)


Tags: , , , ,

Leave a Comment