3 months ago
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Sagicor Group Jamaica Limited’s profit virtually quadrupled to $3.97 billion for the March 2025 first quarter, up from $1.0 billion last year.
The quarterly surge was driven by robust performance across the group’s insurance, banking, and investment segments, alongside unrealised gains in its asset portfolio. Sagicor is the operator of Jamaica’s largest insurance business.
“This performance was driven by meaningful improvements in insurance service results, capital gains, and net interest income,” said Sagicor Group’s President & CEO, Christopher Zacca, in the financial report.
The quarter was marked by disruptions in financial markets, emanating from the turbulence of US trade and other policies.
Sagcior Group was not visibly affected in its operations in the quarter, however, with its total comprehensive income rising to $5.1 billion after factoring for items not included in its profit and loss statement, compared to a comprehensive loss of $396 million a year earlier.
“This quarter saw an uptick in global tensions as the United States announced trade policy adjustments that prompted retaliatory measures from several affected countries, including China,” Zacca stated in the outlook on the periods ahead. “These actions could reverse the gains made in reducing global inflation in 2024; with a possible negative impact on Jamaica’s economic activity.”
Sagicor Group’s quarterly revenue rose to $14.3 billion from $12.5 billion.
The long-term insurance segment saw a sharp rise in net profit, from $250 million to $2.35 billion.
Short-term insurance revenue climbed to $9.11 billion, while profit for that segment increased from $450 million to $870 million. Growth in group health and life products contributed to new business sales, though higher drug and medical costs continued to pressure profit margins.
The commercial banking segment posted $490 million in net profit, slightly down from $530 million last year, despite an 11 per cent revenue increase. Growth was supported by higher net interest income and increased transaction volumes in card payments, while new loans written totalled $8.50 billion, boosting interest income by $500 million.
Investment banking delivered a turnaround, with net profit jumping from $120 million to $540 million. Net investment income surged 94 per cent, driven by trading gains of $860 million.
The company’s balance sheet also strengthened. Sagicor Group’s total assets grew by 10 per cent to $620.6 billion, and stockholder equity improved by 9.0 per cent to $104.24 billion.
Looking ahead, Sagicor remains cautious amid global economic uncertainty.
“Our focus continues to be improving customer experience while increasing operational efficiency, areas that we can control in an increasingly volatile environment,” the company said.
English (US) ·