Botswana Insurance Company Limited (BIHL), the premier long term investment outfit, stood up to enjoy a firm outstanding show on average earnings performance but the move was overshadowed by the fast moving bombshell dropped by the company’s chief executive.
Regina VakaÔÇöthe chief executive officer for the asset management and insurance outfit, bolted out Thursday night after the company made an impressive 36 percent in total revenue to P 1.8 billion, underpinned by both insurance and the asset management.
“The business proved to be resilient and outperformed most of key performance indicators during the tough period from an economic perspective,” the company said in its audited report to December 31, last year.
However, life business made a sterling performance over the period, with the premium shooting up to 25 percent to P 384 million, net insurance income while insurance premium income stood at P 1, 2 billion to assets of P 1, 8 billion.
The move comes at a time when Vaka announced her resignation from the traditional home village, stating that she is doing that to pursue some other interest.
“Regina has been with the group for the last seven years, six of which she spent as the Chief Executive Officer of Botswana Life and the last year as BIHL Group Chief Executive Officer,” the company stated in a statement on Friday.
Further, the company promptly announced that it will find her replacement on an acting capacity but did not go into details.
“Annual premium equivalent from new business increased 25 percent to P 387 million, net insurance premium income grew by 27 percent from P1.26 billion to P 1.6 billion, underscoring the support and confidence bestowed on us by the market and all our business partners,” BIHL said in its reporting.
It further stated that its asset management division leapt up by six percent to P 175 billion, based on the rebound of the global economy and the retention of some mandates during the period under review.
“The year 2010 while still reeling under global economic uncertainties ended the year on a positive note with the global markets as global equities, bonds and commodities saw positive performance.
“The final quarter of 2010 was particularly strong one for the global equities continuing on the second rebound witnessed in the third quarter. Equity markets pushed higher with many developing indices reaching their highest since the Lehman (Brothers) crisis as economic data particularly in the US improved,” BIHL said in its report.
BIHL also praised itself for its embedded value that shot up eight percent to P 24 billion thanks to the company’s strong performance during the period. The move implied total dividend payment of P 216 million.