On 26 July 2023, Mapfre Middlesea plc published its interim financial statements covering the six-month period ended 30 June 2023.
The company explained that it has adopted two new International Financial Reporting Standards which also resulted in the restatement of the 2022 financial statements. In this context, the total equity of the Group was reduced by €69.1 million with the major impact emanating from the de-recognition of Mapfre MSV Life’s Value of in-force business amounting to €84.0 million. Meanwhile, the Group also recognised a positive movement of €14.7 million reflecting a change in technical provisions. Overall, total equity as at 30 June 2023 amounted to €158.1 million, of which €79.5 million is attributable to shareholders. This translates to a net asset value per share of €0.864.
In terms of financial performance, in the first half of the year, net income from insurance and investments amounted to €12.2 million compared to a restated figure of €3.09 million in the first half of 2022.
Overall, Mapfre Middlesea generated pre-tax profits of €10.7 million compared to a restated figure of €3.0 million for the first six-months of 2022. After accounting for a tax charge of €3.10 million (H1 2022: €0.60 million) and non-controlling interests of €2.67 million (H1 2022: €0.40 million), the net profit for the period attributable to shareholders amounted to €4.99 million (H1 2022: €1.96 million) which translates to an annualised return on average shareholders’ funds of 12.7%.
In their commentary, the Directors noted that Mapfre Middlesea looks at the second half of 2023 with cautious optimism, while recognising that the economic environment remains influenced by the effects of the war in Ukraine, high inflation, and an increasing interest rate backdrop. The Board and Management explained that they will remain focused on strategic actions to meet the set Key Performance Indicators, increasing shareholder returns, improving operational efficiency, and client satisfaction.