AXA AFFIN GENERAL INSURANCE BERHAD - axa-contento
AXA AFFIN GENERAL INSURANCE BERHAD (Company No. 23820-W) (Incorporated in Malaysia) Unaudited Interim Financial Statements For the 6-Month Financial Period From 1 January 2015 to 30 June 2015
AXA AFFIN GENERAL INSURANCE BERHAD (Company No. 23820-W) (Incorporated in Malaysia)
Contents
Page
Statements of Financial Position
1
Statements of Income
2
Statements of Comprehensive Income
2
Statements of Changes in Equity
3
Statements of Cash Flows
4-5
Notes to the Financial Statements
6-9
AXA AFFIN GENERAL INSURANCE BERHAD (Company No. 23820-W) (Incorporated in Malaysia) UNAUDITED STATEMENTS OF FINANCIAL POSITION AS AT 30 JUNE 2015
Note
Assets Property, plant and equipment Intangible asset - software Goodwill Investment in a subsidiary Other investments Available-for-sale financial assets Loans and receivables Reinsurance assets Insurance receivables Other receivables Deferred tax asset Tax recoverable Cash and cash equivalents Total assets
10
11
Equity and liabilities Share capital Share premiums Retained earnings Available-for-sale reserve Revaluation reserve Share option reserve Total equity Insurance contract liabilities Deferred tax liabilities Borrowings Insurance payables Other payables Tax payable Total liabilities Total equity and liabilities
12
30.06.2015
31.12.2014
Group RM'000
Company RM'000
Group RM'000
Company RM'000
20,339 1,161 165,822 1,942,818 1,248,975 693,843 200,121 258,184 73,837 3,611 7,615 2,673,508
20,339 1,161 165,822 170,261 1,942,818 1,248,975 693,843 200,121 258,184 73,837 3,611 7,589 2,843,743
20,488 1,803 165,822 1,778,450 1,196,874 581,576 227,743 175,449 75,989 5,628 9,149 2,460,521
20,488 1,803 165,822 170,261 1,778,450 1,196,874 581,576 227,743 175,449 75,989 5,628 9,022 2,630,655
119,048 71,597 549,660 18,934 12,193 3,367 774,799
119,048 71,597 552,314 16,567 12,193 3,367 775,086
119,048 71,597 498,682 12,546 12,192 3,367 717,432
119,048 71,597 501,456 10,179 12,192 3,367 717,839
1,477,603 152,507 193,345 56,463 18,791 1,898,709 2,673,508
1,477,603 152,507 193,345 226,404 18,798 2,068,657 2,843,743
1,346,870 152,006 181,929 51,537 10,747 1,743,089 2,460,521
1,346,870 152,006 181,929 221,443 10,568 1,912,816 2,630,655
The accompanying notes form an integral part of the financial statements.
1
AXA AFFIN GENERAL INSURANCE BERHAD (Company No. 23820-W) (Incorporated in Malaysia) UNAUDITED STATEMENTS OF INCOME FOR THE 6-MONTH FINANCIAL PERIOD ENDED 30 JUNE 2015 30.06.2015
30.06.2014
Group RM'000
Company RM'000
Group RM'000
Company RM'000
Operating revenue
629,931
629,931
524,856
524,856
Gross written premiums Change in unearned premiums provision Gross earned premiums
679,121 (85,679) 593,442
679,121 (85,679) 593,442
577,667 (82,325) 495,342
577,667 (82,325) 495,342
(104,441) 5,680 (98,761)
(104,441) 5,680 (98,761)
(99,673) 6,953 (92,720)
(99,673) 6,953 (92,720)
494,681
494,681
402,622
402,622
36,488 946 22,501 90 60,025
36,488 946 22,501 90 60,025
29,514 2,017 19,784 72 51,387
29,514 2,017 19,784 72 51,387
Gross claims paid Claims ceded to reinsurance Gross change to contract liabilities Change to contract liabilities ceded to reinsurance Net claims incurred
(260,100) 37,911 (45,054) (33,302) (300,545)
(260,100) 37,911 (45,054) (33,302) (300,545)
(222,442) 35,094 (82,571) 20,716 (249,203)
(222,442) 35,094 (82,571) 20,716 (249,203)
Commission expense Management expenses Finance costs Other operating expenses Other expenses
(78,919) (96,480) (7,074) (250) (182,723)
(78,919) (96,415) (7,074) (250) (182,658)
(69,413) (79,492) (5,984) (250) (155,139)
(69,413) (79,492) (5,984) (250) (155,139)
71,438 (20,460) 50,978
71,503 (20,645) 50,858
49,667 (15,476) 34,191
49,667 (15,476) 34,191
42.82
42.72
28.72
28.72
Gross written premiums ceded to reinsurers Change in unearned premiums provision Premiums ceded to reinsurers Net earned premiums Investment income Realised gains and losses Fair value gains and losses Reinsurance commission income Other operating revenue Other revenue
Profit before taxation Taxation Net profit for the financial period Basic earnings per share (sen)
UNAUDITED STATEMENTS OF COMPREHENSIVE INCOME FOR THE 6-MONTH FINANCIAL PERIOD ENDED 30 JUNE 2015 30.06.2015
Net profit for the financial period
30.06.2014
Group RM'000
Company RM'000
Group RM'000
Company RM'000
50,978
50,858
34,191
34,191
9,292
9,292
(419)
(419)
(944) (2,016) 6,332
(944) (2,016) 6,332
2,061 (436) 1,206
2,061 (436) 1,206
57,310
57,190
Other comprehensive income Available-for-sale reserve: Net gain arising during the financial period Net realised (loss)/gain transferred to income statement Tax effect thereon
Total comprehensive income for the financial period
The accompanying notes form an integral part of the financial statements.
2
35,397
35,397
AXA AFFIN GENERAL INSURANCE BERHAD (Company No. 23820-W) (Incorporated in Malaysia) UNAUDITED STATEMENTS OF CHANGES IN EQUITY FOR THE 6-MONTH FINANCIAL PERIOD ENDED 30 JUNE 2015
Share capital RM'000
Share premiums RM'000
Revaluation reserve RM'000
Share option reserve RM'000
AFS reserve RM'000
Retained earnings RM'000
Total RM'000
At 1 January 2015 Total comprehensive income for the financial period At 30 June 2015
119,048
71,597
12,192
3,367
12,546
498,682
717,432
119,048
71,597
1 12,193
3,367
6,388 18,934
50,978 549,660
57,367 774,799
At 1 January 2014 Total comprehensive income for the financial period At 30 June 2014
119,048
71,597
10,292
3,050
15,833
409,954
629,774
119,048
71,597
10,292
3,050
1,310 17,143
34,191 444,145
35,501 665,275
Share capital RM'000
Share premiums RM'000
Non-distributable Revaluation Share option reserve reserve RM'000 RM'000
AFS reserve RM'000
At 1 January 2015 Total comprehensive income for financial year At 30 June 2015
119,048
71,597
12,192
3,367
10,179
501,456
717,839
119,048
71,597
1 12,193
3,367
6,388 16,567
50,858 552,314
57,247 775,086
At 1 January 2014 Total comprehensive income for financial year At 30 June 2014
119,048
71,597
9,342
2,271
11,648
343,821
557,727
119,048
71,597
9,342
2,271
2,262 13,910
17,909 361,730
20,171 577,898
GROUP
COMPANY
The accompanying notes form an integral part of the financial statements. 3
Distributable Retained earnings RM'000
Total RM'000
AXA AFFIN GENERAL INSURANCE BERHAD (Company No. 23820-W) (Incorporated in Malaysia) UNAUDITED STATEMENTS OF CASH FLOWS FOR THE 6-MONTH FINANCIAL PERIOD ENDED 30 JUNE 2015 30.06.2015 Group Company RM'000 RM'000 Operating Activities Net profit for the financial period Investment income Realised gains and losses Finance costs Fair value gains and losses Taxation Purchase of AFS financial assets Proceeds from disposal of AFS financial assets Proceeds from maturity of AFS financial assets Share-based compensation Non-cash items: Depreciation of property, plant and equipment Amortisation of intangible asset software Allowance for/(write-back of) impairment of insurance receivables Changes in working capital: Decrease/(increase) in loans and receivables Decrease/(increase) in reinsurance assets Increase in insurance receivables Decrease/(increase) in other receivables Increase in insurance contract liabilities Increase/(decrease) in insurance payables Increase in other payables Cash generated from operating activities Dividend income received Interest income received Interest paid on borrowings Income tax paid Net cash inflows from operating activities
30.06.2014 Group Company RM'000 RM'000
50,978 (36,488) (946) 7,074 20,460 (101,205)
50,858 (36,488) (946) 7,074 20,645 (101,205)
34,191 (29,514) (2,017) 5,984 15,476 (383,841)
34,191 (29,514) (2,017) 5,984 15,476 (383,841)
55,000
55,000
5,000
5,000
2,852 -
2,852 -
123,000 -
123,000 -
1,041
1,041
862
862
708
708
1,034
1,034
-
-
(542)
(542)
136,431 (27,669) (39,770) (6,793) 164,896 (6,917) 8,771
136,431 (27,669) (39,770) (6,793) 164,896 (6,917) 8,851
(107,609) 27,622 (82,735) 2,152
(107,609) 27,622 (82,735) 2,152
130,733 11,416 4,925
130,733 11,416 4,961
(14,022)
(13,921)
(1,418)
(1,338)
969 31,461 (6,573) (12,411)
969 31,461 (6,573) (12,411)
660 27,644 (5,984) (9,095)
660 27,644 (5,984) (9,086)
(576)
(475)
11,807
11,896
The accompanying notes form an integral part of the financial statements.
4
AXA AFFIN GENERAL INSURANCE BERHAD (Company No. 23820-W) (Incorporated in Malaysia) UNAUDITED STATEMENTS OF CASH FLOWS FOR 6-MONTH FINANCIAL PERIOD ENDED 30 JUNE 2015 (CONTINUED) 30.06.2015 Group Company RM'000 RM'000 Investing Activities Proceeds from disposals of property, plant and equipment Purchase of property, plant and equipment Purchase of intangible asset software Net cash outflows from investing activities Financing Activities Repayment of borrowings Net cash (outflows)/inflows from financing activities Net increase in cash and cash equivalents Cash and cash equivalents at the beginning of the financial year Cash and cash equivalents at the end of the financial year Cash and cash equivalents comprise: Cash and bank balances
30.06.2014 Group Company RM'000 RM'000
-
-
-
(892)
(892)
(520)
(520)
(66)
(66)
(113)
(113)
(958)
(958)
(633)
(633)
-
-
-
-
-
-
-
-
(1,534)
(1,433)
11,174
11,263
9,149
9,022
19,849
19,717
7,615
7,589
31,023
30,980
7,615
7,589
31,023
30,980
The accompanying notes form an integral part of the financial statements.
5
AXA AFFIN GENERAL INSURANCE BERHAD (Company No. 23820-W) (Incorporated in Malaysia)
NOTES TO THE FINANCIAL STATEMENTS - 30 JUNE 2015 1.
Basis of preparation The interim financial statements of AXA Affin General Insurance Berhad (“the Company”) are unaudited and have been prepared in accordance with Malaysian Financial Reporting Standards (“MFRS”), International Financial Reporting Standards and the provisions of the Companies Act, 1965 in Malaysia. They do not include all information required for full annual financial statements, and should be read in conjunction with the Company’s annual financial statements for the year ended 31 December 2014.
2.
Comments on seasonality or cyclicality The business operations of the Company were not significantly affected by seasonality or cyclical factors for the current interim period ended 30 June 2015.
3.
Unusual item affecting assets, liabilities, equity, net income or cash flows There were no items affecting assets, liabilities, equity, net income, or cash flows which are unusual because of their nature, size, or incidence for the current interim period ended 30 June 2015.
4.
Changes in estimates There were no material changes in the basis used for accounting estimates for the current interim period ended 30 June 2015.
5
Issues, repurchases and repayments of debt and equity securities There were no issuances, cancellations, repurchases, resale and repayments of debt and equity securities by the Company for the current interim period ended 30 June 2015.
6
Dividend paid No dividend was paid during the current interim period ended 30 June 2015.
7
Events after the interim period There were no material events after the interim period that had not been reflected in the financial statements for the interim period.
8
Effect of changes in the composition of the Company There were no changes in the composition of the Company during the period under review.
9
Changes in contingent liabilities or contingent assets The Company does not have any contingent assets or liabilities at or arisen after the balance sheet date.
6
AXA AFFIN GENERAL INSURANCE BERHAD (Company No. 23820-W) (Incorporated in Malaysia) NOTES TO THE FINANCIAL STATEMENTS - 30 JUNE 2015 (CONTINUED) 10
OTHER INVESTMENTS
Available-for-sale ("AFS") financial assets Loans and receivables ("LAR")
30.06.2015 Group Company RM'000 RM'000
31.12.2014 Group Company RM'000 RM'000
1,248,975 693,843 1,942,817
1,248,975 693,843 1,942,817
1,196,874 581,576 1,778,450
1,196,874 581,576 1,778,450
688,261
688,261
692,177
692,177
501,171
501,171
445,776
445,776
58,672 250
58,672 250
58,105 250
58,105 250
621 1,248,975
621 1,248,975
566 1,196,874
566 1,196,874
231,845 1,017,130 1,248,975
231,845 1,017,130 1,248,975
187,449 1,009,425 1,196,874
187,449 1,009,425 1,196,874
484 693,359 693,843
484 693,359 693,843
782 580,794 581,576
782 580,794 581,576
130 354 484
130 354 484
(a) AFS financial assets: At fair value Malaysian Government Securities - unquoted in Malaysia Corporate debt securities - unquoted in Malaysia Equity securities - quoted in Malaysia - unquoted in Malaysia REITs/unit trusts - quoted in Malaysia
Maturing within 12 months Maturing after 12 months (b) LAR At amortised cost Loans Fixed and call deposits
Loans maturing within 12 months Loans maturing after 12 months
397 385 782
(c) Carrying value of financial instruments
Group and Company At 1 January 2014 Purchases Maturities Disposals Net gain recorded in other comprehensive income Net realised gain transferred to income statement Movement in impairment allowance Amortisation adjustment Movement in interest income accrued At 31 December 2014 Purchases Maturities Disposals Net gain recorded in other comprehensive income Net realised gain transferred to income statement Movement in impairment allowance Amortisation adjustment Movement in interest income accrued At 30 June 2015
AFS RM'000
LAR RM'000
Total RM'000
815,937 544,125 (150,252) (7,989) (1,726) (2,835) (710) (2,814) 3,138 1,196,874 101,205 (55,000) (1,908) 9,292 (944) 54 (985) 387 7 1,248,975
696,907 1,087,866 (1,201,737) (1,460) 581,576 1,536,426 (1,428,817) 4,658 693,843
1,512,844 1,631,991 (1,351,989) (7,989) (1,726) (2,835) (710) (2,814) 1,678 1,778,450 1,637,631 (1,483,817) (1,908) 9,292 (944) 54 (985) 5,045 1,942,818
397 385 782
AXA AFFIN GENERAL INSURANCE BERHAD (Company No. 23820-W) (Incorporated in Malaysia) NOTES TO THE FINANCIAL STATEMENTS - 30 JUNE 2015 (CONTINUED) 11 REINSURANCE ASSETS 30.06.2015 Group RM'000 Claims liabilities Premium liabilities
31.12.2014 Company RM'000
150,861 49,260 200,121
150,861 49,260 200,121
Group RM'000
Company RM'000
184,163 43,580 227,743
184,163 43,580 227,743
12 INSURANCE CONTRACT LIABILITIES GROUP AND COMPANY Gross RM'000 Provision for claims reported by policyholders Provision for IBNR claims Claims liabilities Premium liabilities
30.06.2015 Reinsurance RM'000
Net RM'000
Gross RM'000
31.12.2014 Reinsurance RM'000
Net RM'000
605,385 331,536 936,921 540,682 1,477,603
(123,032) (27,829) (150,861) (49,260) (200,121)
482,353 303,707 786,060 491,422 1,277,482
575,029 316,838 891,867 455,003 1,346,870
(141,586) (42,577) (184,163) (43,580) (227,743)
433,443 274,261 707,704 411,423 1,119,127
Gross RM'000 891,867
30.06.2015 RI RM'000 (184,163)
Net RM'000 707,704
Gross RM'000 760,901
31.12.2014 RI RM'000 (175,196)
Net RM'000 585,705
343,864
(34,349)
309,515
625,474
(106,143)
519,331
(41,505)
25,979
(15,526)
(24,480)
1,195 1,600 (260,100) 936,921
3,761 37,911 (150,861)
4,956 1,600 (222,188) 786,060
10,120 3,060 (483,208) 891,867
(2,320) 90,055 (184,163)
7,800 3,060 (393,153) 707,704
455,003 679,121 (593,442) 540,682
(43,580) (104,441) 98,761 (49,260)
411,423 574,680 (494,681) 491,422
367,904 1,134,729 (1,047,630) 455,003
(39,494) (198,614) 194,528 (43,580)
328,410 936,115 (853,102) 411,423
(i) Claims liabilities GROUP AND COMPANY
At 1 January Claims incurred in the current accident year before provision of risk margin for adverse deviation ("PRAD") and claims handling expenses ("CHE") Movement in claims incurred in prior accident years before PRAD and CHE Movement in PRAD of claims liabilities at 75% confidence level Movement in claims handling expenses Claims paid during the financial year At 30 June/31 December
9,441
(15,039)
(ii) Premium liabilities GROUP AND COMPANY At 1 January Premiums written in the financial period Premiums earned during the financial period At 30 June/31 December
8
AXA AFFIN GENERAL INSURANCE BERHAD (Company No. 23820-W) (Incorporated in Malaysia) NOTES TO THE FINANCIAL STATEMENTS - 30 JUNE 2015 (CONTINUED) 13 OPERATING LEASE REQUIREMENTS The Group and Company (as lessee) have entered into non-cancellable operating lease agreements on the rental of offices for branch operations. These leases have remaining non-cancellable lease terms not later than 5 years. 30.06.2015 Group Company RM'000 RM'000 Not later than 1 year Later than 1 year and not later than 5 years
31.12.2014 Group Company RM'000 RM'000
4,477 2,325
4,477 2,325
4,464 3,891
4,464 3,891
6,802
6,802
8,355
8,355
14 CAPITAL COMMITMENTS 30.06.2015 Group Company RM'000 RM'000 Capital expenditure approved and contracted for: Property, plant and equipment
12,160
12,160
31.12.2014 Group Company RM'000 RM'000
8,676
8,676
15 CAPITAL STRUCTURE The capital structure of the Company as at 30 June 2015, as prescribed under the RBC Framework is provided below:
Eligible Tier 1 capital Share capital (paid up) Share premium Retained earnings
Tier 2 capital AFS reserve Revaluation reserve Share option reserve Subordinated loan
Deductions Goodwill Deferred tax assets
Total capital available
30.06.2015 RM'000
01.01.2015 RM'000
119,048 71,597 552,314 742,959
119,048 71,597 501,456 692,101
16,567 12,193 3,367 150,000 182,127
10,179 12,192 3,367 150,000 175,738
(165,822) (3,611) (169,433)
(165,822) (5,628) (171,450)
755,653
696,389
9
AXA AFFIN GENERAL INSURANCE BERHAD (Company No. 23820-W) (Incorporated in Malaysia)
Contents
Page
Statements of Financial Position
1
Statements of Income
2
Statements of Comprehensive Income
2
Statements of Changes in Equity
3
Statements of Cash Flows
4-5
Notes to the Financial Statements
6-9
AXA AFFIN GENERAL INSURANCE BERHAD (Company No. 23820-W) (Incorporated in Malaysia) UNAUDITED STATEMENTS OF FINANCIAL POSITION AS AT 30 JUNE 2015
Note
Assets Property, plant and equipment Intangible asset - software Goodwill Investment in a subsidiary Other investments Available-for-sale financial assets Loans and receivables Reinsurance assets Insurance receivables Other receivables Deferred tax asset Tax recoverable Cash and cash equivalents Total assets
10
11
Equity and liabilities Share capital Share premiums Retained earnings Available-for-sale reserve Revaluation reserve Share option reserve Total equity Insurance contract liabilities Deferred tax liabilities Borrowings Insurance payables Other payables Tax payable Total liabilities Total equity and liabilities
12
30.06.2015
31.12.2014
Group RM'000
Company RM'000
Group RM'000
Company RM'000
20,339 1,161 165,822 1,942,818 1,248,975 693,843 200,121 258,184 73,837 3,611 7,615 2,673,508
20,339 1,161 165,822 170,261 1,942,818 1,248,975 693,843 200,121 258,184 73,837 3,611 7,589 2,843,743
20,488 1,803 165,822 1,778,450 1,196,874 581,576 227,743 175,449 75,989 5,628 9,149 2,460,521
20,488 1,803 165,822 170,261 1,778,450 1,196,874 581,576 227,743 175,449 75,989 5,628 9,022 2,630,655
119,048 71,597 549,660 18,934 12,193 3,367 774,799
119,048 71,597 552,314 16,567 12,193 3,367 775,086
119,048 71,597 498,682 12,546 12,192 3,367 717,432
119,048 71,597 501,456 10,179 12,192 3,367 717,839
1,477,603 152,507 193,345 56,463 18,791 1,898,709 2,673,508
1,477,603 152,507 193,345 226,404 18,798 2,068,657 2,843,743
1,346,870 152,006 181,929 51,537 10,747 1,743,089 2,460,521
1,346,870 152,006 181,929 221,443 10,568 1,912,816 2,630,655
The accompanying notes form an integral part of the financial statements.
1
AXA AFFIN GENERAL INSURANCE BERHAD (Company No. 23820-W) (Incorporated in Malaysia) UNAUDITED STATEMENTS OF INCOME FOR THE 6-MONTH FINANCIAL PERIOD ENDED 30 JUNE 2015 30.06.2015
30.06.2014
Group RM'000
Company RM'000
Group RM'000
Company RM'000
Operating revenue
629,931
629,931
524,856
524,856
Gross written premiums Change in unearned premiums provision Gross earned premiums
679,121 (85,679) 593,442
679,121 (85,679) 593,442
577,667 (82,325) 495,342
577,667 (82,325) 495,342
(104,441) 5,680 (98,761)
(104,441) 5,680 (98,761)
(99,673) 6,953 (92,720)
(99,673) 6,953 (92,720)
494,681
494,681
402,622
402,622
36,488 946 22,501 90 60,025
36,488 946 22,501 90 60,025
29,514 2,017 19,784 72 51,387
29,514 2,017 19,784 72 51,387
Gross claims paid Claims ceded to reinsurance Gross change to contract liabilities Change to contract liabilities ceded to reinsurance Net claims incurred
(260,100) 37,911 (45,054) (33,302) (300,545)
(260,100) 37,911 (45,054) (33,302) (300,545)
(222,442) 35,094 (82,571) 20,716 (249,203)
(222,442) 35,094 (82,571) 20,716 (249,203)
Commission expense Management expenses Finance costs Other operating expenses Other expenses
(78,919) (96,480) (7,074) (250) (182,723)
(78,919) (96,415) (7,074) (250) (182,658)
(69,413) (79,492) (5,984) (250) (155,139)
(69,413) (79,492) (5,984) (250) (155,139)
71,438 (20,460) 50,978
71,503 (20,645) 50,858
49,667 (15,476) 34,191
49,667 (15,476) 34,191
42.82
42.72
28.72
28.72
Gross written premiums ceded to reinsurers Change in unearned premiums provision Premiums ceded to reinsurers Net earned premiums Investment income Realised gains and losses Fair value gains and losses Reinsurance commission income Other operating revenue Other revenue
Profit before taxation Taxation Net profit for the financial period Basic earnings per share (sen)
UNAUDITED STATEMENTS OF COMPREHENSIVE INCOME FOR THE 6-MONTH FINANCIAL PERIOD ENDED 30 JUNE 2015 30.06.2015
Net profit for the financial period
30.06.2014
Group RM'000
Company RM'000
Group RM'000
Company RM'000
50,978
50,858
34,191
34,191
9,292
9,292
(419)
(419)
(944) (2,016) 6,332
(944) (2,016) 6,332
2,061 (436) 1,206
2,061 (436) 1,206
57,310
57,190
Other comprehensive income Available-for-sale reserve: Net gain arising during the financial period Net realised (loss)/gain transferred to income statement Tax effect thereon
Total comprehensive income for the financial period
The accompanying notes form an integral part of the financial statements.
2
35,397
35,397
AXA AFFIN GENERAL INSURANCE BERHAD (Company No. 23820-W) (Incorporated in Malaysia) UNAUDITED STATEMENTS OF CHANGES IN EQUITY FOR THE 6-MONTH FINANCIAL PERIOD ENDED 30 JUNE 2015
Share capital RM'000
Share premiums RM'000
Revaluation reserve RM'000
Share option reserve RM'000
AFS reserve RM'000
Retained earnings RM'000
Total RM'000
At 1 January 2015 Total comprehensive income for the financial period At 30 June 2015
119,048
71,597
12,192
3,367
12,546
498,682
717,432
119,048
71,597
1 12,193
3,367
6,388 18,934
50,978 549,660
57,367 774,799
At 1 January 2014 Total comprehensive income for the financial period At 30 June 2014
119,048
71,597
10,292
3,050
15,833
409,954
629,774
119,048
71,597
10,292
3,050
1,310 17,143
34,191 444,145
35,501 665,275
Share capital RM'000
Share premiums RM'000
Non-distributable Revaluation Share option reserve reserve RM'000 RM'000
AFS reserve RM'000
At 1 January 2015 Total comprehensive income for financial year At 30 June 2015
119,048
71,597
12,192
3,367
10,179
501,456
717,839
119,048
71,597
1 12,193
3,367
6,388 16,567
50,858 552,314
57,247 775,086
At 1 January 2014 Total comprehensive income for financial year At 30 June 2014
119,048
71,597
9,342
2,271
11,648
343,821
557,727
119,048
71,597
9,342
2,271
2,262 13,910
17,909 361,730
20,171 577,898
GROUP
COMPANY
The accompanying notes form an integral part of the financial statements. 3
Distributable Retained earnings RM'000
Total RM'000
AXA AFFIN GENERAL INSURANCE BERHAD (Company No. 23820-W) (Incorporated in Malaysia) UNAUDITED STATEMENTS OF CASH FLOWS FOR THE 6-MONTH FINANCIAL PERIOD ENDED 30 JUNE 2015 30.06.2015 Group Company RM'000 RM'000 Operating Activities Net profit for the financial period Investment income Realised gains and losses Finance costs Fair value gains and losses Taxation Purchase of AFS financial assets Proceeds from disposal of AFS financial assets Proceeds from maturity of AFS financial assets Share-based compensation Non-cash items: Depreciation of property, plant and equipment Amortisation of intangible asset software Allowance for/(write-back of) impairment of insurance receivables Changes in working capital: Decrease/(increase) in loans and receivables Decrease/(increase) in reinsurance assets Increase in insurance receivables Decrease/(increase) in other receivables Increase in insurance contract liabilities Increase/(decrease) in insurance payables Increase in other payables Cash generated from operating activities Dividend income received Interest income received Interest paid on borrowings Income tax paid Net cash inflows from operating activities
30.06.2014 Group Company RM'000 RM'000
50,978 (36,488) (946) 7,074 20,460 (101,205)
50,858 (36,488) (946) 7,074 20,645 (101,205)
34,191 (29,514) (2,017) 5,984 15,476 (383,841)
34,191 (29,514) (2,017) 5,984 15,476 (383,841)
55,000
55,000
5,000
5,000
2,852 -
2,852 -
123,000 -
123,000 -
1,041
1,041
862
862
708
708
1,034
1,034
-
-
(542)
(542)
136,431 (27,669) (39,770) (6,793) 164,896 (6,917) 8,771
136,431 (27,669) (39,770) (6,793) 164,896 (6,917) 8,851
(107,609) 27,622 (82,735) 2,152
(107,609) 27,622 (82,735) 2,152
130,733 11,416 4,925
130,733 11,416 4,961
(14,022)
(13,921)
(1,418)
(1,338)
969 31,461 (6,573) (12,411)
969 31,461 (6,573) (12,411)
660 27,644 (5,984) (9,095)
660 27,644 (5,984) (9,086)
(576)
(475)
11,807
11,896
The accompanying notes form an integral part of the financial statements.
4
AXA AFFIN GENERAL INSURANCE BERHAD (Company No. 23820-W) (Incorporated in Malaysia) UNAUDITED STATEMENTS OF CASH FLOWS FOR 6-MONTH FINANCIAL PERIOD ENDED 30 JUNE 2015 (CONTINUED) 30.06.2015 Group Company RM'000 RM'000 Investing Activities Proceeds from disposals of property, plant and equipment Purchase of property, plant and equipment Purchase of intangible asset software Net cash outflows from investing activities Financing Activities Repayment of borrowings Net cash (outflows)/inflows from financing activities Net increase in cash and cash equivalents Cash and cash equivalents at the beginning of the financial year Cash and cash equivalents at the end of the financial year Cash and cash equivalents comprise: Cash and bank balances
30.06.2014 Group Company RM'000 RM'000
-
-
-
(892)
(892)
(520)
(520)
(66)
(66)
(113)
(113)
(958)
(958)
(633)
(633)
-
-
-
-
-
-
-
-
(1,534)
(1,433)
11,174
11,263
9,149
9,022
19,849
19,717
7,615
7,589
31,023
30,980
7,615
7,589
31,023
30,980
The accompanying notes form an integral part of the financial statements.
5
AXA AFFIN GENERAL INSURANCE BERHAD (Company No. 23820-W) (Incorporated in Malaysia)
NOTES TO THE FINANCIAL STATEMENTS - 30 JUNE 2015 1.
Basis of preparation The interim financial statements of AXA Affin General Insurance Berhad (“the Company”) are unaudited and have been prepared in accordance with Malaysian Financial Reporting Standards (“MFRS”), International Financial Reporting Standards and the provisions of the Companies Act, 1965 in Malaysia. They do not include all information required for full annual financial statements, and should be read in conjunction with the Company’s annual financial statements for the year ended 31 December 2014.
2.
Comments on seasonality or cyclicality The business operations of the Company were not significantly affected by seasonality or cyclical factors for the current interim period ended 30 June 2015.
3.
Unusual item affecting assets, liabilities, equity, net income or cash flows There were no items affecting assets, liabilities, equity, net income, or cash flows which are unusual because of their nature, size, or incidence for the current interim period ended 30 June 2015.
4.
Changes in estimates There were no material changes in the basis used for accounting estimates for the current interim period ended 30 June 2015.
5
Issues, repurchases and repayments of debt and equity securities There were no issuances, cancellations, repurchases, resale and repayments of debt and equity securities by the Company for the current interim period ended 30 June 2015.
6
Dividend paid No dividend was paid during the current interim period ended 30 June 2015.
7
Events after the interim period There were no material events after the interim period that had not been reflected in the financial statements for the interim period.
8
Effect of changes in the composition of the Company There were no changes in the composition of the Company during the period under review.
9
Changes in contingent liabilities or contingent assets The Company does not have any contingent assets or liabilities at or arisen after the balance sheet date.
6
AXA AFFIN GENERAL INSURANCE BERHAD (Company No. 23820-W) (Incorporated in Malaysia) NOTES TO THE FINANCIAL STATEMENTS - 30 JUNE 2015 (CONTINUED) 10
OTHER INVESTMENTS
Available-for-sale ("AFS") financial assets Loans and receivables ("LAR")
30.06.2015 Group Company RM'000 RM'000
31.12.2014 Group Company RM'000 RM'000
1,248,975 693,843 1,942,817
1,248,975 693,843 1,942,817
1,196,874 581,576 1,778,450
1,196,874 581,576 1,778,450
688,261
688,261
692,177
692,177
501,171
501,171
445,776
445,776
58,672 250
58,672 250
58,105 250
58,105 250
621 1,248,975
621 1,248,975
566 1,196,874
566 1,196,874
231,845 1,017,130 1,248,975
231,845 1,017,130 1,248,975
187,449 1,009,425 1,196,874
187,449 1,009,425 1,196,874
484 693,359 693,843
484 693,359 693,843
782 580,794 581,576
782 580,794 581,576
130 354 484
130 354 484
(a) AFS financial assets: At fair value Malaysian Government Securities - unquoted in Malaysia Corporate debt securities - unquoted in Malaysia Equity securities - quoted in Malaysia - unquoted in Malaysia REITs/unit trusts - quoted in Malaysia
Maturing within 12 months Maturing after 12 months (b) LAR At amortised cost Loans Fixed and call deposits
Loans maturing within 12 months Loans maturing after 12 months
397 385 782
(c) Carrying value of financial instruments
Group and Company At 1 January 2014 Purchases Maturities Disposals Net gain recorded in other comprehensive income Net realised gain transferred to income statement Movement in impairment allowance Amortisation adjustment Movement in interest income accrued At 31 December 2014 Purchases Maturities Disposals Net gain recorded in other comprehensive income Net realised gain transferred to income statement Movement in impairment allowance Amortisation adjustment Movement in interest income accrued At 30 June 2015
AFS RM'000
LAR RM'000
Total RM'000
815,937 544,125 (150,252) (7,989) (1,726) (2,835) (710) (2,814) 3,138 1,196,874 101,205 (55,000) (1,908) 9,292 (944) 54 (985) 387 7 1,248,975
696,907 1,087,866 (1,201,737) (1,460) 581,576 1,536,426 (1,428,817) 4,658 693,843
1,512,844 1,631,991 (1,351,989) (7,989) (1,726) (2,835) (710) (2,814) 1,678 1,778,450 1,637,631 (1,483,817) (1,908) 9,292 (944) 54 (985) 5,045 1,942,818
397 385 782
AXA AFFIN GENERAL INSURANCE BERHAD (Company No. 23820-W) (Incorporated in Malaysia) NOTES TO THE FINANCIAL STATEMENTS - 30 JUNE 2015 (CONTINUED) 11 REINSURANCE ASSETS 30.06.2015 Group RM'000 Claims liabilities Premium liabilities
31.12.2014 Company RM'000
150,861 49,260 200,121
150,861 49,260 200,121
Group RM'000
Company RM'000
184,163 43,580 227,743
184,163 43,580 227,743
12 INSURANCE CONTRACT LIABILITIES GROUP AND COMPANY Gross RM'000 Provision for claims reported by policyholders Provision for IBNR claims Claims liabilities Premium liabilities
30.06.2015 Reinsurance RM'000
Net RM'000
Gross RM'000
31.12.2014 Reinsurance RM'000
Net RM'000
605,385 331,536 936,921 540,682 1,477,603
(123,032) (27,829) (150,861) (49,260) (200,121)
482,353 303,707 786,060 491,422 1,277,482
575,029 316,838 891,867 455,003 1,346,870
(141,586) (42,577) (184,163) (43,580) (227,743)
433,443 274,261 707,704 411,423 1,119,127
Gross RM'000 891,867
30.06.2015 RI RM'000 (184,163)
Net RM'000 707,704
Gross RM'000 760,901
31.12.2014 RI RM'000 (175,196)
Net RM'000 585,705
343,864
(34,349)
309,515
625,474
(106,143)
519,331
(41,505)
25,979
(15,526)
(24,480)
1,195 1,600 (260,100) 936,921
3,761 37,911 (150,861)
4,956 1,600 (222,188) 786,060
10,120 3,060 (483,208) 891,867
(2,320) 90,055 (184,163)
7,800 3,060 (393,153) 707,704
455,003 679,121 (593,442) 540,682
(43,580) (104,441) 98,761 (49,260)
411,423 574,680 (494,681) 491,422
367,904 1,134,729 (1,047,630) 455,003
(39,494) (198,614) 194,528 (43,580)
328,410 936,115 (853,102) 411,423
(i) Claims liabilities GROUP AND COMPANY
At 1 January Claims incurred in the current accident year before provision of risk margin for adverse deviation ("PRAD") and claims handling expenses ("CHE") Movement in claims incurred in prior accident years before PRAD and CHE Movement in PRAD of claims liabilities at 75% confidence level Movement in claims handling expenses Claims paid during the financial year At 30 June/31 December
9,441
(15,039)
(ii) Premium liabilities GROUP AND COMPANY At 1 January Premiums written in the financial period Premiums earned during the financial period At 30 June/31 December
8
AXA AFFIN GENERAL INSURANCE BERHAD (Company No. 23820-W) (Incorporated in Malaysia) NOTES TO THE FINANCIAL STATEMENTS - 30 JUNE 2015 (CONTINUED) 13 OPERATING LEASE REQUIREMENTS The Group and Company (as lessee) have entered into non-cancellable operating lease agreements on the rental of offices for branch operations. These leases have remaining non-cancellable lease terms not later than 5 years. 30.06.2015 Group Company RM'000 RM'000 Not later than 1 year Later than 1 year and not later than 5 years
31.12.2014 Group Company RM'000 RM'000
4,477 2,325
4,477 2,325
4,464 3,891
4,464 3,891
6,802
6,802
8,355
8,355
14 CAPITAL COMMITMENTS 30.06.2015 Group Company RM'000 RM'000 Capital expenditure approved and contracted for: Property, plant and equipment
12,160
12,160
31.12.2014 Group Company RM'000 RM'000
8,676
8,676
15 CAPITAL STRUCTURE The capital structure of the Company as at 30 June 2015, as prescribed under the RBC Framework is provided below:
Eligible Tier 1 capital Share capital (paid up) Share premium Retained earnings
Tier 2 capital AFS reserve Revaluation reserve Share option reserve Subordinated loan
Deductions Goodwill Deferred tax assets
Total capital available
30.06.2015 RM'000
01.01.2015 RM'000
119,048 71,597 552,314 742,959
119,048 71,597 501,456 692,101
16,567 12,193 3,367 150,000 182,127
10,179 12,192 3,367 150,000 175,738
(165,822) (3,611) (169,433)
(165,822) (5,628) (171,450)
755,653
696,389
9
