On 2026-08-04 08:08:19 (Saudi Time), Al-Rajhi Company for Cooperative Insurance (Alrajhi Takaful) announced its Interim financial results for the six months ended on June 30, 2026.

Year-on-Year Performance Drivers

For the six-month period ending 30 June 2026, insurance revenues increased 17.43% YoY to SAR 3,036.82 million (from SAR 2,586.12 million), driven primarily by growth in medical, motor, and general insurance business. Net profit after zakat attributable to shareholders rose modestly by 2.7% YoY to SAR 207.84 million (from SAR 202.37 million), supported by improved insurance results in medical and motor segments and a significantly higher net investment income of SAR 126.25 million (up 22.81% from SAR 102.80 million), reflecting stronger returns from the investment portfolio. These gains were partially offset by increased expenses from investments in digital technology and a deterioration in the Result of Insurance Services, which swung to a loss of SAR 12.29 million from a profit of SAR 383.75 million in the prior period, reflecting higher incurred claims and cost pressures.

Quarter-on-Quarter Performance Drivers

QoQ insurance revenues rose 1.75% to SAR 1,531.59 million (from SAR 1,505.23 million), driven by growth in medical and motor business. However, net profit after zakat attributable to shareholders declined 16.89% QoQ to SAR 94.34 million (from SAR 113.50 million), primarily due to higher incurred claims in general insurance and lower insurance revenue from protection and saving segments, despite improved results in medical and motor. Additionally, net investment income (excluding unit holders' share) fell 5.79% QoQ to SAR 61.25 million (from SAR 65.01 million), further weighing on the bottom line.

Other Items

Al-Rajhi Company for Cooperative Insurance (Alrajhi Takaful) received an unmodified conclusion from its external auditors for the interim period ending June 30, 2026, with no additional comments, reservations, disclaimers, or adverse opinions noted. No material risks, going concern uncertainties, or debt covenant breaches were flagged. Earnings per share for the current period stood at SAR 1.04 per share, compared to SAR 1.01 per share during the same period of the previous year, calculated based on net income attributable to shareholders after zakat of SAR 207,837K over a weighted average of 200,000K ordinary shares outstanding. Total shareholders' equity (after deducting minority interest) increased 21.54% to SAR 2,780,088K as at the end of the current period, compared to SAR 2,287,386K at the end of the same period of the previous year. Total comprehensive income for the current period amounted to SAR 244,397K, up 22.25% from SAR 199,907K in the same period of the previous year. No reclassification of comparison items was reported.

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