RUSSIA: dividends of RESO-Garantia for 2019 will amount to half of its net profit

19 May 2020 — Marina MAGNAVAL
Based on the results for 2019, RESO-Garantia will pay dividends to its shareholders in the amount of RUB 4.9 billion (~EUR 70.7 million), which is about half of the group's net profit (RUB 9.8 billion) recorded last year, ASN reports citing the press-service of the insurer.

In 2019, the company's share on the Russian insurance market reached 6.61%. In overall market ranking, RESO-Garantia took the 5th place in terms of GWP. The total consolidated investment income of the company in 2019 amounted to RUB 12.8 billion (~EUR 184.6 million).

Andrei SAVELIEV, the President of RESO-Garantia Group, said:

"Allocation of 50% of net profit under IFRS to dividend payments (37% of the total income based on IFRS) is normal for the Russian market, considering the current macroeconomic situation. (...) RESO-Garantia has a significant reserve of regulatory capital and maintains profitability despite the specifics of the current macroeconomic situation. For the first quarter of 2020, the company's net profit under RAS (Russian accounting standards) amounted to RUB 14.7 billion (~EUR 171.45 million)."

*1 EUR = 69.3406 RUB (December 31st, 2019)
1 EUR = 85.7389 RUB (April 1st, 2020)

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