South Africa remains Santam Limited most significant contributor to Gross Written Premium (GWP) at 84% (2022: 85%), with GWP from this market increasing in line with inflation by 5% to R31.5 billion (2022: R30 billion).
GWP from outside South Africa, written on the Santam Ltd and Santam Namibia Ltd licences, made up 16% (2022: 15%) of total GWP and grew by 7% to N$5.8 billion (2022: N$5.5 billion).
Santam said growth in the proportion of business written outside of South Africa was hampered by the cancelled business at Santam Re.
Santam said it once again demonstrated its resilience, achieving strong financial results despite difficult operating conditions.
“Our resilience is a testament to our business core strength. We have a solid legacy and a consistent, proven record of sustainable value creation. Net income increased by 64% with a return on capital of 28.5%. A final dividend of 905 cents per share was declared; up 7% on 2022,” the company said.
Conventional insurance underwriting profit declined by 26% at a margin of 3.5% (2022: 5.1%). Santam said performance was impacted by the floods in the Western Cape, hail storms in Gauteng, the earthquake in Turkiye, and fires throughout the country that negatively affected the profitability of the property class of business.
The company’s insurance revenue went up to N$46.9 billion (2022: N$43.1 billion) and results of operating activities increased to N$4.5 billion (2022: N$3.6 billion).
Profit attributable to equity holders of the company grew to N$3.3 billion (2022: N$2 billion). In addition, headline earnings per share from continuing operations increased to 2 310 cents per share (2022: 1 830 cents per share).
The board has declared a gross final dividend of 905 cents (2022: 845 cents) per ordinary share for the year ended 31 December 2023 to those members registered on the record date, being Friday, 22 March 2024. The dividend has been declared from income reserves.
