CHBL Releases First Quarter ResultsFinancials Start to Reflect Positive Economic Effects of Country’s Reopening
Nassau, The Bahamas, June 28, 2021 – Colina Holdings Bahamas Limited (“CHBL” or “the Company”) today released its unaudited consolidated interim financial results for the three months ended March 31, 2021.
The Company recorded net income attributable to ordinary shareholders of $4.5 million or $0.18 per ordinary share for the three months ended March 31, 2021. This compares to the net loss attributable to ordinary shareholders of $1.8 million and $0.07 per ordinary share for the same period in 2020 when market volatility arose with the onset of the COVID-19 pandemic, driving the prior year’s net investment income losses.
Market conditions have slowly begun to recover and are reflected in net investment income for the quarter of $8.0 million compared to the prior year’s loss of $6.1 million, representing an increase of $14.1 million. Premium revenues are up to $31.7 million for the first three months of 2021 compared to $31.5 million in 2020.
Revenues for the first quarter have increased by $14.7 million, totalling $41.9 million for the three months ended March 31, 2021 compared to total revenues of $27.2 million for the same period last year.
Net policyholders’ benefits totalled $21.3 million, decreasing by $3.7 million compared to the prior period net policyholders’ benefits of $25.0 million.
Additional reserves totalling $2.9 million were charged in the period to further increase the provisions for future policy benefits, net of reinsurance assets ceded.
“During the first quarter, the Company continued rebalancing its investment portfolio and facilitated some disposals of securities,” said Terence Hilts, Chairman of CHBL.
“Proceeds from these sales are reflected in the increase in cash at quarter end relative to the prior period,” Hilts explained.
Total assets at March 31, 2021 were $797.9 million with invested assets remaining the largest component of total assets, comprising 75.6% of total assets.
In April 2021, the Board of Directors approved the Q1 and Q2 dividend distributions to Class “A” preference shareholders and further approved dividends to ordinary shareholders of $0.16 per ordinary share. These distributions will be reflected in the Q2/2021 interim financials to coincide with the approval dates of the dividends.
“Overall, we are pleased that the Company’s financials are beginning to reflect the positive economic effects that the reopening of The Bahamas is expected to bring,” said Hilts.
“CHBL continues to focus efforts on strengthening its balance sheet and capital position to provide the Company with the flexibility it needs to continue to meet the needs of policyholders and customers within this changing economic environment.”
About Colina Holdings Bahamas Limited
Colina Holdings Bahamas Limited (CHBL) is a holding company incorporated in 1993. CHBL subsidiaries provide financial services solutions through the production, distribution, and administration of insurance and investment products. CHBL’s subsidiaries include Colina Insurance Limited (“CIL”), Colina General Insurance Agency & Brokers Limited (“CGIA”), and Colina Financial Advisors Ltd. (“CFAL”).
CIL is The Bahamas’ largest life and health insurer and is rated A- (Excellent) by AM Best Company. CGIA is a general insurance agent and broker. CFAL is an investment advisory firm, established to provide financial services including investment management, pension management and administration, corporate advisory services, escrow, registrar and transfer agent services.
CHBL has more than $780 million in total assets and $200 million in total shareholders’ equity.