Despite the sanitary and economic shocks of the coronavirus pandemic, 2020 was a period of intense construction for mid-sized GFA Insurance marked by the strengthening of its board of directors and the strategic realignment of its business portfolio.
This dynamism has enabled the company to post a solvency ratio of 421%, three times higher than the 150% legal requirement. The solvency ratio measures the extent to which assets cover commitments for future payments, the liabilities.
“In a context of declining sales of new or reconditioned vehicles and rising costs of spare parts, the dynamism of our teams and the diversity of our range have enabled us to generate operating incomes higher than that of 2019,” said Mr. Abdel Ruhomutally, Managing Director of GFA Insurance.
The company is also one of the few Mauritian companies that have already reimbursed the financial support allocated to companies through the ‘Wage Assistance Scheme’.
“We have repaid the full amount for the two months of WAS so that the money can help support those in difficulty,” he added.
As of December 31, 2020, GFA Insurance recorded a turnover of Rs202 million, up 6% compared to 2019. The operational profits of the company grew + 21.2% to reach Rs100.78 million, compared to Rs83.11 million in 2019. Net profits soared by 33.9%, from Rs23.4 million in 2019 to Rs31.3 million in 2020.
The company’s reserves also increased by 6% to reach Rs321million in 2020 (Rs301.39million in 2019). The group’s consolidated assets as of December 31, 2020 amounted to Rs753.60 million, an increase of + 4.6%.
