On the other hand, the volume of the intermediated insurance premiums rose to RON80 million from RON63 million in the same period of 2022.
About revenue growth, the company says it is still not directly proportionate with the increase in the volume of the insurance premiums.
„We consider the growth is good, although not directly proportionate with the increase in the volume of the insurance premiums. The situation cand be explaned by some RCA policies, where the work is not properly compasated by the commissions obtained (they do not even cover distribution costs). It is the case of policies issued for risky customers, allocated by BAAR and uncomissioned, or the case of policies with very small commission levels (0,1%, 1%, 2%) for some client categories less wanted by the insurers (transport companies taxi, car rentals, security and protection, driving schools etc.) and also for policies done for less than 6 months. These policies have affected the average commission and thus the growth in revenues. The revenues from the distibution activity represent 99% of revenues, the other revenues come from other activities and financial revenues as well”.
In 3Q/2023, the company posted operating expenses of RON40 million, up 15.10% from the same quarter of 2022.
The company has a RON30.2 million capitalization. In the past six months, its shares have lost 6% amid RON500,000 deals.
(English version by Catalina Apostoiu)