Chamwe Kaira
Santam Namibia contributed N$675 million to the revenue of Santam Limited in South Africa for the financial year ended 30 June 2025, up from N$600 million in 2024.
The group reported conventional insurance net earned premium growth of 16% to N$17.9 billion, with a net underwriting margin of 11.3% compared to 6.5% in June 2024.
The alternative risk transfer (ART) business recorded a profit before tax of N$417 million, up from N$326 million a year earlier.
Santam said it delivered a strong first-half performance, exceeding long-term targets across key financial indicators.
An interim dividend of 590 cents per share was declared, an increase of 10.3%. Earnings per share rose by 19.5%, while headline earnings per share increased by 18.7%.
The company said its strategy continues to yield positive results across its segments despite a tough operating environment.
It reported solid contributions from personal and commercial lines, achieving an underwriting margin of 11.3% in the first half of 2025.
The investment return on insurance funds rose to 2.6% from 2.3% in June 2024. Santam said this reflected strong returns on local and global fixed-income investments and outperformance of portfolio benchmarks.
However, investment return on capital fell sharply from N$698 million in 2024 to N$35 million in 2025.
“This is mainly attributable to foreign currency translation losses recognised in respect of the foreign exposure in the portfolio following a strengthening of the rand exchange rate in the first half of 2025. The comparable period included foreign currency translation profits,” the company said.
The ART business grew its profit contribution by 28%, driven by improved operating earnings, growth across key income lines, and stronger investment returns on capital.
Internationally, Santam’s strategic investments also posted gains. Net insurance results from Sanlam’s Indian and Malaysian businesses increased by 18%, with Shriram General Insurance in India making the largest contribution through growth across all distribution channels.
