Dharmala sees profit up

JAKARTA (JP): Publicly listed insurance firm PT Dharmala expects a 50 percent net profit increase this year to Rp 11 billion from Rp 7.17 billion (US$2.99 million) in 1996.

President of the life insurance firm, Suhanda Wiraatmadja, said here yesterday that net profit rose 160 percent to Rp 7.17 billion from Rp 4.48 billion in 1995.

Gross premiums were expected to increase to Rp 120 billion this year, up 36 percent from Rp 87.96 billion in 1996, he said.

Suhanda said last year's gross premiums rose 127 percent from Rp 49.34 billion in 1995.

He said that about 45 percent of the total profit would be distributed as dividends, giving shareholders Rp 100 a share.

The insurance company, which is a subsidiary of the Dharmala Group, will allocate about Rp 71.75 million of the profit to the government-sponsored poverty alleviation program.

He said about Rp 785.80 million was for its reserve funds and the remaining Rp 2.78 billion for its retained earnings. (09)