HALF YEAR REPORT 2020 · 35,404 0.62 Consolidated Results Proﬁt before Tax Proﬁt after Tax E.P.S. DIRECTORS' REVIEW REPORT TO THE MEMBERS 5 SPI Insurance Company Limited Dear

HALF YEAR REPORTHALF YEAR REPORT

20202020HALF YEAR REPORT

2020

Inside SPI Insurance Company Limited

CONTENT

BUSINESS REVIEW

03Key Management

Personnel

04Banks

05Directors’ Review Report

to the Members (English)

10Independent

Auditors’ Review Report

Corporate Information02

FINANCIAL STATEMENTS (CONVENTIONAL)

07

FINANCIAL STATEMENTS (WINDOW TAKAFUL OPERATIONS)

Condensed Interim Statement

of Profit or Loss

28

29Condensed Interim Statement

of Comprehensive Income

31Condensed Interim Statement

of Cash Flows


of Financial Position

27


of Changes in Funds

30


of Profit or Loss

12 13Condensed Interim Statement

of Comprehensive Income


of Cash Flows

15


of Financial Position

11


of Changes in Equity

14Notes To The Condensed

Interim Financial Statements

16

26Independent

Auditors’ Review Report

32Notes To The Condensed

Interim Financial Statements

CORPORATE INFORMATION

Half Year Report 20202

Mr. Ihsan ul Haq Khan (Member)

Nominations Committee:Mr. Azizullah Memon (Chairman)Mian M. A. Shahid (Member)

Mr. Noshad Ahmed (Secretary)

Investment Committee:Mian M. A. Shahid (Chairman)Mr. Azizullah Memon (Member)

Mr. Naeem Tariq (Member/ Secretary)Mr. M. Saleem Sheikh (Member)

Audit Committee:Mr. M. Asghar (Chairman)Mr. M. Saleem Sheikh (Member)

Mian Mohsin Aslam (Secretary)Mr. Khurram Khan (Member)

Auditors:M/s RSM Avais Hyder Liaquat NaumanChartered Accountants

Tax Consultant:M/s M. Bilal & CompanyChartered Accountants

Legal Advisors:M/s Kilam LawM/s Mandviwala & Zafar

UIG House,6 - D, Upper Mall, Lahore.Phone # (042) 35776561-62-67-68,

35756563Fax # (042) 35776560E-mail: [email protected]: www.spiinsurance.com.pk

Suite # 204-A, Second Floor,Madina City Mall, Abdullah Haroon Road,

Phone # (021) 35221805Fax # (021) 35221806

Karachi.

ChairmanMr. Aziz Ullah Memon

Managing Director & Chief ExecutiveMian M. A. Shahid

Directors

Chief Financial Officer

Registered Office:

Head Office:

Mr. M. Asghar

Mr. Ihsan ul Haq Khan



Mr. Uzman Naveed Chaudhary

Mr. M. Saleem SheikhMr. Khurram Khan

Underwriting Committee:Mian M. A. Shahid (Chairman)

Mr. Imran Mehmood (Secretary)

Claim Settlement Committee:Mr. Uzman Naveed Chaudhry (Chairman)Mian M. A. Shahid (Member)Mr. Naeem Tariq (Member/Secretary)

Reinsurance & Co-insurance Committee:Mian M. A. Shahid (Chairman)

Mr. Faisal Akbar (Member/Secretary)

Ethics, Human Resource & Remuneration Committee:Mr. M. Saleem Sheikh (Chairman)Mian M. A. Shahid (Member)Mr. M. Asghar (Member)Mr. Shahid Malik (Secretary)

Mr. Naeem Tariq

Company Secretary Mr. Noshad Ahmed

Chief Internal AuditorMian Mohsin Aslam

Board of Directors

Committees

Risk Management & Compliance Committee:Mr. Uzman Naveed Chaudhry (Chairman)Mr. Azizullah Memon (Member)

Mr. Naeem Tariq (Member)Mr. Faisal Akbar (Secretary)

Mr. M. Asghar (Member)

3 SPI Insurance Company Limited

KEY MANAGEMENT PERSONNEL

Deputy Managing DirectorMr. Shaheryar Akbar Raja

AdvisorMaj. Gen. (R) Asif Duraiz Akhter

General Manager Re-Insurance

Mr. Faisal Akbar (FCA)

Manager Health Business

Mr. Ahmed Salman Mirza

General Manager Claims / MotorMr. Khalid Nazeer Bajwa

Chief Manager Underwriting

Mr. Imran Mehmood (ACII)

Chief Manager Accounts

Mr. Saleem Akhter (FCMA)

Manager Claims / Non Motor

Mr. Naveed ul Haq Nomani

Assistant General Manager I.T

Mr. Saquib Obaid ur Rehman

Assistant General Manager AdministrationMr. Shahid Malik

Manager TravelMr. Iqbal Hashmi

Shariah Advisor

Mufti Muhammad Umar Ashraf

Head of WTOMr. Faisal Rashid

Head of UnderwritingMr. Muzammil Bashir (ACII)

Manager Accounts

Mr. Ali Saeed

Mian M. A. Shahid

Conventional Business

Window Takaful Operations

Syed Waqar AzeemChief Operating Officer

Managing Director & Chief Executive Officer

Banks

4

Al-Barka Bank (Pakistan) Limited

Allied Bank Limited

Apna Micronance Bank Limited

Bank Al-Falah Limited

Bank Al-Habib Limited

Bank Islami Pakistan Limited

Faysal Bank Limited

Finca Micronance Bank Limted

First Women Bank Limited

Habib Bank Limited

JS Bank Limited

Meezan Bank Limited

National Bank of Pakistan

MCB Bank Limited

SILKBANK Limited

Sindh Bank Limited

Soneri Bank Limited

State Bank of Pakistan

The Karakuram Co-operative Bank Limited

Tameer Micronance Bank Limited

The Bank Of Punjab

United Bank Limited

Zarai Taraqiati Bank Limited


June 30,2020

June 30, 2019

(Rupees in thousands)

Premium WrittenNet Premium revenueNet ClaimsManagement ExpensesNet CommissionUnderwriting resultsInvestment and other IncomeGeneral & administration expensesProfit / (Loss) from WTOProfit / (Loss) before tax

301,569256,11063,224

153,47535,7721,630

10,3174,495

13,00020,452

353,606253,732

62,425135,765

38,67116,871

9,5644,186

20,62142,870

Conventional Insurance business

94,91054,84517,65210,39010,96825,57512,196

18712,383

52,27820,4346,171

25,01513,000

116,44848,57216,510

8,47610,85814,40520,038

14620,184

71,13723,475

2,7292977020,621

Participants’ Takaful fund

Contribution written Net Contribution revenue Net Claims Direct expenses Net Rebate on Re-Takaful Contribution deficiency Underwriting results Investment and other Income Surplus in PTF Operator’s fund Wakala fee Commission expensesInvestment and other IncomeGeneral & administration expensesProfit in OPF

Window Takaful Operations

20,45217,835

0.31

42,87035,404

0.62

Consolidated Results

Profit before TaxProfit after TaxE.P.S.

DIRECTORS' REVIEW REPORT

TO THE MEMBERS


Dear Fellow Members!

On behalf of the Board of Directors, I am pleased to present the half yearly review report of the SPI Insurance Company Limited together with the un-audited Financial Statements along with Window Takaful Operations for the half year ending June 30, 2020.

Financial Highlights

Overall-performance of the company during the first half of 2020 has shown some stability against the current market situation on the conventional insurance business side, the premium written stood at Rs.301.569 million as on June 30, 2020 as compared to Rs.353.606 million on June 30, 2019 showing decrease of 14.72% while the net premium registered at Rs.256.110 million as against Rs.253.732 million in the preceding year showing an increase of 0.94%. The net claims expenses stood at Rs.63.224 million as against Rs.62.425 million for the same period ending June 30, 2019 showing an increase of 1.28%. The management expenses registered at Rs.153.475 million as against Rs.135.765 million as on June 30, 2019 showing increase of 13.04%. Net commission expenses posted at Rs.35.772 million as against Rs.38.671 million in last year. The underwriting results registered profit at Rs.1.630 million as against Rs.16.871 million in the year 2019 showing decrease of 90.34%. The investment and other income was Rs.10.317 million as against Rs.9.564 million in the year 2019 showing growth of 7.87%. Accordingly, profit before tax posted at Rs. 20.452 million as compared to profit of Rs.42.870 million earned by Company for the same period last year as a result the earning per share remained Rs.0.31 as compared to Rs.0.62 in the year 2019.

The written contribution under Window Takaful Operations for the period ended June 30, 2020 was Rs.94.910 million as against Rs.116.448 million in the preceding year showing decrease of 18.50% while net contribution revenue was Rs. 54.845 million as compared to Rs.48.572 million in last year. Wakala fee registered at Rs.52.278 million as against Rs.71.137 million in the preceding year showing decrease of 26.51%. The net claims expenses stood at Rs.17.652 million as against Rs.16.510 million on June 30, 2019 showing an increase of 6.92%. Net commission expenses posted at Rs.20.434 million as against Rs.23.475 million in last year in operators fund. General and administration expenses stood at Rs.25.015 million as against Rs.29.770 million in the year 2019 showing decrease of 15.97% in operator's fund. Underwriting results registered at Rs.12.196 million as against Rs.20.038 million profit showing decrease of 39.14% as compared to last year in the Participants’ Takaful fund. Profit arising from operators fund is Rs.13.00 million as against Rs.20.621 million in the year 2019. Surplus arising from the Participants’ Takaful fund was Rs.12.383 million as against Rs.20.184 million profits in the year 2019. Marginal increase / (decrease) is shown in operating results during the half year ended June 30, 2020.

6

For and on behalf of the Board of Directors

Mian M. A. Shahid Azizullah MemonDirector & Chief Executive Chairman Lahore: August 28, 2020

Credit Rating

The Company is rated single “A” with (stable outlook) by Pakistan Credit Rating Agency Limited (PACRA).

ISO 9001:2015 Certification

Due to overall performance during the year 2019 ISOQAR Limited has approved ISO 9001:2015 in compliance with their requirement and has issued the said certificate of registration, which is valid till March 10, 2022.

Capitalization of accumulated Profits

Company distributed bonus shares among the existing shareholders during the first half of 2020, B-4 @ 15% for rupees 75 million on May 05, 2020.

Future Outlook In view of the business trend during the one year period from 1st July, 2019 till 30th June, 2020 the economic activity during current half year remained sluggish due to impact of COVID-19, however few segments have shown some stability. The Management has to strive hard for acceleration of business during the remaining period of the year.

Appreciation and Acknowledgement

We would like to express our sincere gratitude to The Securities and Exchange Commission of Pakistan, State Bank of Pakistan, our Reinsurers and Bankers for their continued guidance and assistance. We would also like to take this opportunity to extend our thanks to valued customers and the shareholders for reposing their confidence. We also appreciate the efforts of the management and employees for their hard work and dedication towards the growth of the Company.

DIRECTORS' REVIEW REPORT

TO THE MEMBERS


301,569

256,110

63,224

153,475

35,772

1,630

10,317

4,495

13,000

20,452

94,910

54,845

17,652

10,390

10,968

25,575

12,196

187

12,383

52,278

20,434

6,171

25,015

13,000

20,452

17,835

0.31

353,606

253,732

62,425

135,765

38,671

16,871

9,564

4,186

20,621

42,870

116,448

48,572

16,510

8,476

10,858

14,405

20,038

146

20,184

71,137

23,475

2,729

29,770

20,621

42,870

35,404

0.62


Half Year Report 20208 Half Year Report 2020

FINANCIALSTATEMENTS

For the half year ended June 30, 2020

INDEPENDENT AUDITORS' REVIEW REPORT

To the Members of SPI Insurance Company Limited Report on review of Condensed Interim Financial Statements

Introduction

We have reviewed the accompanying condensed interim statement of financial position of SPI Insurance Company Limited as at June 30, 2020 and the related condensed interim statement of profit or loss, condensed interim statement of comprehensive income, condensed interim statement of changes in equity, condensed interim statement of cash flows and notes to the condensed interim financial statements for the six-months period then ended (here-in-after referred to as the “condensed interim financial statements”). Management is responsible for the preparation and presentation of these condensed interim financial statements in accordance with the accounting and reporting standards as applicable in Pakistan for interim financial reporting. Our responsibility is to express a conclusion on these condensed interim financial statements based on our review.

Scope of Review

We conducted our review in accordance with International Standard on Review Engagements 2410, “Review of Interim Financial Information Performed by the Independent Auditor of the Entity”. A review of condensed interim financial statements consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with International Standards on Auditing and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

Emphasis of Matter

We draw attention to Note 2.4 of the financial statements, which states that in order to comply with the requirements of General Takaful Accounting Regulations, 2019, the Company has changed its accounting policy related to recognition of wakala fee in its Window Takaful Operations. The change in accounting policy and its impact is discussed in the said note. Our opinion is not modified in respect of this matter.

Conclusion

Based on our review, nothing has come to our attention that causes us to believe that the accompanying condensed interim financial statements are not prepared, in all material respects, in accordance with the accounting and reporting standards as applicable in Pakistan for interim financial reporting.

Other Matter

The figures of the condensed interim statement of profit or loss and condensed interim statement of comprehensive income for the three-months period ended June 30, 2020 and 2019 have not been reviewed, as we are required to review only the cumulative figures for the six-months period then ended.

The engagement partner on the review resulting in this independent auditors' review report is Inam ul Haque.

RSM AVAIS HYDER LIAQUAT NAUMAN CHARTERED ACCOUNTANTSPlace: LahoreDate: August 28, 2020

10 Half Year Report 2020

3

4

2.4

567

6

78

2.4

9

ASSETS

Property and equipmentIntangible assetsInvestments In equity securities In government securities In term depositsTotal assets in Window Takaful Operations - Operator's FundLoans and other receivablesInsurance / Reinsurance receivablesReinsurance recoveries against outstanding claimsDeferred commission expenseDeferred tax assetPrepaymentsCash and bank balancesTotal Assets

EQUITY AND LIABILITIESCAPITAL AND RESERVESOrdinary Share CapitalCapital reserve Fair value reserveRevenue reserve Un-appropriated profit / Accumulated (loss)Total Equity

LIABILITIES

Underwriting Provisions Outstanding claims (including IBNR) Premium deficiency reserves Unearned reinsurance commission Unearned premium reservesRetirement benefit obligationsDeferred tax liabilityBorrowingsInsurance / Reinsurance payablesOther creditors and accrualsTotal liabilities in Window Takaful Operations - Operator's FundProvision for tax - Income taxTotal LiabilitiesTotal Equity and LiabilitiesContingencies and Commitments

98,714,636 172,908

152,778,594 106,898,426 69,930,000 114,296,243 133,959,065 415,067,737 165,221,394 26,228,510 -

85,965,882 34,685,312 1,403,918,707

575,000,000

86,906,219

6,531,200 668,437,419

272,820,873 2,009,718 13,683,640 188,870,190 8,654,906 2,774,582 19,645,327 74,355,873 64,684,760 82,626,369 5,355,050 735,481,288 1,403,918,707 -

102,680,650 192,120

205,835,025 118,684,650 69,430,000 127,674,024 145,125,662 411,759,189 79,196,657 29,167,009

- 77,374,815 32,113,521 1,399,233,322

500,000,000

131,991,655

66,847,911 698,839,566

176,934,310-

12,527,628233,163,578

8,654,90612,439,32721,483,89464,181,04661,970,656

105,852,1963,186,215

700,393,7561,399,233,322

-

108,654,770240,149

50,168,070164,214,43121,230,000

139,466,793171,307,298343,798,505 80,064,20228,800,67919,030,89469,367,80627,489,053

1,223,832,650

500,000,000

(382,655)

(2,705,592)496,911,753

190,054,492-

10,545,652220,918,91110,364,906

-21,558,13380,171,58742,428,793

120,697,01230,181,411

726,920,8971,223,832,650

- The annexed notes 1 to 13 form an integral part of these condensed interim nancial statements.

(Un-audited)June 30,

2020Rupees

Note

(Audited)December 31,

2019

(Audited)December 31,

2018Rupees Rupees..............Restated ..............

CONDENSED INTERIM STATEMENT OF FINANCIAL POSITION (UN-AUDITED) as at June 30, 2020

11

Chief Executive Officer DirectorDirectorChairman

SPI Insurance Company Limited

2020 2019 2020 2019

Rupees Rupees Rupees Rupees....Restated....

Net insurance premium 8 99,657,269 134,061,926 256,110,901 253,732,777

Net insurance claims 6 1,363,031

(28,289,446)

(63,224,758)

(62,424,945)

Premium Deficiency (2,009,718)

-

(2,009,718)

-

Net commission expenses 7 (26,494,480)

(23,853,712)

(35,771,995)

(38,671,153)

Insurance claim expenses (27,141,167)

(52,143,158)

(101,006,471)

(101,096,098)

Management expenses (78,060,627)

(71,054,031)

(153,474,469)

(135,765,510)

Underwriting results (5,544,525)

10,864,737

1,629,961

16,871,169

Investment income 3,898,752

3,951,662

7,589,996

8,288,688

Other income 2,636,724

1,142,857

2,726,917

1,275,932

Other expenses (1,516,996)

(1,439,786)

(2,793,472)

(3,065,273)

Result of operating activities (526,045) 14,519,470 9,153,402 23,370,516

Finance costs on lease liabilities (890,581)

(872,235)

(1,701,154)

(1,120,876)

Profit from Window Takaful Operator's Fund 2.4 15,285,304

1,111,204

12,999,644

20,620,509

Profit for the period before tax 13,868,678 14,758,439 20,451,892 42,870,149

Provision for taxation (5,244,994) (6,447,807) (2,617,004) (7,465,925)

Profit for the period 8,623,684

8,310,632

17,834,888

35,404,224

Earnings per share - basic and diluted 0.15

0.14

0.31

0.62

The annexed notes 1 to 13 form an integral part of these condensed interim nancial statements.

Three-months periodended June 30,

Six-months period ended June 30,Note

CONDENSED INTERIM STATEMENT OF PROFIT OR LOSS (UN-AUDITED)

12


for the six-months period ended June 30, 2020


CONDENSED INTERIM STATEMENT OF COMPREHENSIVE INCOME (UN-AUDITED)

13


2020 2020

Rupees Rupees

Profit for the period 8,623,684 17,834,888

Other comprehensive (loss) / income

Other comprehensive (loss) / income (45,047,523)

(48,237,034)

Total comprehensive (loss) / income for the period (36,423,839)

(30,402,146)


Three-months periodended June 30,

Six-months period ended June 30,

(43,477,048)

(45,085,436)

(3,151,598)

Unrealized (loss) /gain on available -for-sale investments

Items that may be reclassified subsequently to profit or loss:

2019 2019

Rupees Rupees

8,310,632 35,404,224

(1,607,536) 34,192,607

6,703,096 69,596,831

-

(1,607,536)

34,625,412

(432,805)Other comprehensive (loss) from Window Takaful Operations

(1,570,475)


....Restated....


CONDENSED INTERIM STATEMENT OF CHANGES IN EQUITY (UN-AUDITED)

14


Capital reserve Revenue reserve

Fair value reserveUn-appropriated

profit

Balance as at January 01, 2019 as previously reported 500,000,000 (382,655) 42,841,213 542,458,558

Effect of change in accounting policy (Refer Note 2.4) -

-

(45,546,805)

(45,546,805)

Balance as at January 01, 2019 as restated 500,000,000

(382,655)

(2,705,592)

496,911,753

Total comprehensive income / (loss) for the periodProfit for the period -

-

35,404,224

35,404,224Other comprehensive (loss) / income - 34,625,412 (432,805) 34,192,607

-

34,625,412

34,971,419

69,596,831

Balance as at June 30, 2019 as restated 500,000,000

34,242,757

32,265,827

566,508,584

Balance as at January 01, 2020 as restated 500,000,000

131,991,655

66,847,910

698,839,565

Total comprehensive income for the periodProfit for the period -

-

-

17,834,888

17,834,888

Other comprehensive (loss) -

(45,085,436)

(3,151,598)

(48,237,034)

Transaction with ownersIssuance of Bonus Shares 75,000,000 (75,000,000) -

- (45,085,436) 14,683,290 (30,402,146)

Balance as at June 30, 2020 575,000,000

86,906,219

6,531,200

668,437,419


Total

----------------------------------------- Rupees -------------------------------------------

Issued, subscribed and paid up capital

D e s c r i p t i o n



CONDENSED INTERIM STATEMENT OF CASH FLOWS (UN-AUDITED)

15


2020 2019Rupees Rupees

Operating cash flows:a) Underwriting activities:

Insurance premium received 308,346,096 364,371,130Reinsurance premium paid (93,156,300)

(65,441,468)

Claims paid (60,295,317)

(62,698,327)

Reinsurance and other recoveries received (1,584,083)

(41,081,260)

Commission paid (48,906,870)

(53,600,425)

Commission received 15,952,544

10,255,366

Management expenses paid (144,288,748)

(133,935,462)

Net cash flow from underwriting activities (23,932,678)

17,869,554

b) Other operating activities:

Income tax paid (2,154,449)

(1,499,988)General expenses paid (2,793,473)

(3,065,273)Other operating receipts/(payments) 12,553,793

(1,239,834)Loan to employees and agents 154,422

(720,760)

Net cash flow from other operating activities 7,760,293

(6,525,855)

Net cash flow from all operating activities (16,172,385) 11,343,699

Investment activities:

Profit/ return received 9,846,011 8,914,471 Payments for investments 19,257,219 48,830,675 Fixed capital expenditure (4,615,487) (1,584,378)Proceeds from disposal of fixed assets 8,000

1,753,950

Net cash flow from investing activities 24,495,743

57,914,718

Financing activities:

Payments on finance leases (5,751,567)

(5,229,784)

Net cash flow from financing activities (5,751,567) (5,229,784)

Net cash inflow from all activities 2,571,791

64,028,633

Cash and cash equivalents at the beginning of the period 32,113,521

27,489,053

Cash and cash equivalents at the end of the period 34,685,312

91,517,686

Reconciliation of Profit and Loss Account

Operating cash flows (16,172,385)

11,343,699

Depreciation / amortization (8,596,303)

(9,124,997)Provision for doubtful debts 1,012,983

7,464,457 Gain on disposal of fixed assets 3,590

1,172,331 (Decrease) in assets other than cash (83,819,256)

(69,462,835)Decrease in liabilities 106,411,449 98,143,482Investment and other income 10,313,323 8,392,289Lease charges (1,701,154) (1,120,876)Gain / (loss) on takaful operations 12,999,644 (3,937,401)Provision for taxation (2,617,004) (7,465,925)

Profit for the period 17,834,888 35,404,224


Six months period ended June 30,



NOTES TO THE CONDENSED INTERIM FINANCIAL STATEMENTS (UN-AUDITED)

LEGAL STATUS AND NATURE OF BUSINESSSPI Insurance Company Limited (the Company) is an unquoted public limited company incorporated in Islamabad, Pakistan on February 15, 2005 under the repealed Companies Ordinance, 1984 (now Companies Act, 2017). The Company is engaged in non-life insurance business mainly comprising of fire, marine, motor, health and miscellaneous. The Company commenced its commercial operations on April 13, 2005. The registered office of the Company is situated at suite # 204-A, Second Floor, Madina City Mall, Abdullah Haroon Road, Karachi, in the province of Sindh and principal office of the Company is situated at UIG House 6-D, 1st Floor, Upper Mall, Lahore, in the province of Punjab, Pakistan.The Company has been allowed to work as Window Takaful Operator through License No. 3 on November 20, 2014 by Securities and Exchange Commission of Pakistan under Window Takaful Rules, 2012 to carry on Islamic General Insurance in Pakistan. It has not transacted any business outside Pakistan.

BASIS OF PREPARATION Statement of compliance

These condensed interim financial statements have been prepared in accordance with the accounting and reporting standards as applicable in Pakistan for interim financial reporting. The accounting and reporting standards as applicable in Pakistan for interim financial reporting comprise of: -International Accounting Standard (IAS) 34, Interim Financial Reporting, issued by the

International Accounting Standards Board (IASB) as notified under the Companies Act, 2017; and

-Provisions of and directives issued under the Companies Act, 2017, Insurance Ordinance, 2000, Insurance Rules 2017, Takaful Rules, 2012 and Insurance Accounting Regulations, 2019.

Where the provisions of and directives issued under the Companies Act, 2017, the Insurance Ordinance, 2000, the Insurance Rules 2017, Takaful Rules, 2012 and the Insurance Accounting Regulations, 2019 (referred to as relevant local laws) differ with the requirements of IAS 34, the provisions of and directives issued under the relevant local laws have been followed.

Total assets, total liabilities, profit, comprehensive income of the Window Takaful Operations of the Company referred to as the Operator's Fund has been presented in these condensed interim financial statements in accordance with the requirements of Circular 25 of 2015 dated 9 July, 2015.

The disclosures made in these condensed interim financial statements have, however, been limited based on the requirements of the International Accounting Standard 34: 'Interim Financial Reporting'. These condensed interim financial statements do not include all the information and disclosures required in a full set of financial statements and should be read in conjunction with the audited annual financial statements of the Company for the year ended December 31, 2019.

These condensed interim financial statements have been presented in Pakistani Rupees, which is also the functional and presentation currency of the Company.

Estimates, judgements and risk management policies

The preparation of these condensed interim financial statements in conformity with approved accounting standards, as applicable in Pakistan, requires the management to make judgments, estimates and assumptions that affect application of accounting policies and reported amounts of assets, liabilities, income and expenses.

2

1

2.1

2.1.1

2.1.2

2.1.3

2.1.4

2.2.1

2.2

16



The estimates and associated assumptions are based on historical experience and various other factors that are believed to be reasonable under the circumstances, the results of which form the basis of making the judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates.

Significant areas of estimation uncertainty and critical judgments in applying accounting policies that have the most significant effect on amounts recognized in these condensed interim financial statements are the same as those disclosed in the audited annual financial statements of the Company for the year ended December 31, 2019.

Risk management policies and procedures are consistent with those disclosed in the audited annual financial statements of the Company for the year ended December 31, 2019.

Basis of measurementThese condensed interim financial statements have been prepared under the historical cost convention except certain financial instruments that are carried at fair value. Change in Accounting PolicyAdoption of new General Takaful Accounting Regulations, 2019SECP has issued the General Takaful Accounting Regulations, 2019 which includes format for the preparation and presentation of the financial statements of the Window Takaful Operations of the Company. The new Accounting Regulations are effective for the accounting periods beginning on or after 01 January, 2020. In order to comply with the requirements of these regulations, the Company has changed its accounting policy related to recognition of wakala fee in Window Takaful Operations which was being recognized upfront on the issue of Takaful policy. The wakala fee is now recognized over the period of Takaful. Change in accounting policy has been applied retrospectively in the condensed interim financial statements of Window Takaful Operations of the company in accordance with the requirements of IAS-8 Accounting Policy, Changes in Accounting Estimates and Errors. Resultant impact of change in accounting policy on the condensed interim financial statements is as under;


2.2.2

2.3

2.4

17

As previously stated As restated As previously

stated As restated

Statement of financial position

Total assets in Window Takaful - Operator's Fund 127,674,024 127,674,024 139,466,793 139,466,793

Un-appropriated profit / Accumulated (loss) 102,469,544 66,847,911 42,841,213 (2,705,592)

Total liabilities in Window Takaful - Operator's Fund 70,230,563 105,852,196 75,150,207 120,697,012

As previously stated As restated As previously

stated As restated

Statement of Profit or Loss

Profit / (loss) from Window Takaful Operator's Fund (9,591,215) 20,620,509 (5,316,066) (50,862,871)

--------------------Rupees--------------------

December 31, 2019 December 31, 2018

December 31, 2018

--------------------Rupees--------------------

December 31, 2019



Significant accounting PoliciesThe accounting policies and methods of computation followed in the preparation of these condensed interim financial statements are the same as those applied in the preparation of the audited annual financial statements of the Company for the year ended December 31, 2019 except change in accounting policy discussed in Note 2.4.

Application of new and revised international financial reporting standardsStandards, amendments to published approved accounting standards and interpretations becoming effective in current period:There are certain new standards, amendments and International Financial Reporting Interpretations Committee (IFRIC) interpretations that became effective during the period and are mandatory for accounting periods of the Company beginning on or after January 01, 2020 but are considered not to be relevant or not to have any significant effect on the Company's operations. The new standards, amendments and IFRIC interpretations that are relevant to the operations of the Company are disclosed in the audited annual financial statements of the Company for the year ended December 31, 2019.

Standards, amendments to published approved accounting standards and interpretations becoming effective in future periods:There are other new standards, amendments and IFRIC interpretations that are mandatory for accounting periods of the Company beginning on or after January 01, 2020 but are considered not to be relevant or not to have any significant effect on the Company's operations. The new standards, amendments and IFRIC interpretations that are relevant to the operations of the Company are disclosed in the audited annual financial statements of the Company for the year ended December 31, 2019.


2.6.2

2.6.1

2.5

2.6

18

Operating fixed assets:

Owned assets

Leased assets

3.1 Additions and deletions in property and equipmentFollowing are the major additions and deletions in fixed assets:

Tangible owned assets

Furniture and fixtures

Office equipment

Computer equipment

Motor vehicles

Leased assets

Leased vehicles

PROPERTY AND EQUIPMENT

June 30, December 31,2020 2019

(Unaudited) (Audited)

59,946,951 64,788,393

38,767,685 37,892,257

98,714,636

102,680,650

2020 2019 2020 2019

33,250

553,735

-

-

124,299

356,576

-

3,950

312,438

278,817

-

-

232,500

6,939,300

4,410

577,669

702,487

8,128,428

4,410

581,619

3,913,000

-

-

3,784,762

Additions (at cost) Deletions (at net book value)

Rupees


Rupees


Rupees


3


6

2020 2019 2020 2019

Rupees Rupees Rupees Rupees

Claims Paid 19,737,918

26,183,671

60,295,317

62,698,327

Add: Outstanding claims including IBNR - Closing 272,820,873

218,895,131

272,820,873

218,895,131

Less: Outstanding claims including IBNR - Opening (196,289,462)

(196,069,339)

(176,934,310)

(190,054,492)

Claims expense 96,269,329

49,009,463

156,181,880

91,538,966

Less: Reinsurance and other recoveries received 3,395,791

(2,837,906)

6,932,385

7,967,789

165,221,394 101,210,434 165,221,394 101,210,434

(70,984,825)

(77,652,511)

(79,196,657)

(80,064,202)

Reinsurance and other recoveries revenue 97,632,360

20,720,017

92,957,122

29,114,021

(1,363,031)

28,289,446

63,224,758

62,424,945

Less: Reinsurance and other recoveries in respect of outstanding claims - Opening

NET INSURANCE CLAIMS

Add: Reinsurance and other recoveries in respect of outstanding claims - Closing

Three-months period ended June 30,



4

Shares Cost Fair Value Shares Cost Fair Value

Number NumberRelated party

Listed shares

Apna Microfinance Bank Limited 8,462,237

50,011,000

152,658,755

8,462,237

50,011,000

205,716,981

Others

Listed shares - (Note 4.1)

Saudi Pak Leasing Company Limited 16,065

226,625

9,479

16,065

226,625

15,744

Kohinoor Industries Limited 31,000

313,100

110,360

31,000

313,100

102,300

Unlisted shares - (Note 4.2)

Callmate Telips Telecom Limited 32,000

-

-

32,000

-

-

8,541,302

50,550,725

152,778,594

8,541,302

50,550,725

205,835,025

4.1

4.2 Trading in these shares has been suspended.

5

June 30, December 31,2020 2019


151,774,136 158,550,896

(11,599,639) (14,299,866)

140,174,497 144,251,030

312,987,670 304,471,202

(38,094,430) (36,963,043)

274,893,240 267,508,159

415,067,737 411,759,189

Rupees

Less provision for impairment of due from other insurers / reinsurers

INVESTMENT IN EQUITY SECURITIES - AVAILABLE FOR SALE

Due from insurance contract holders

Due from other Insurers / reinsurers

Less provision for impairment of receivables from insurance contract holders

June 30, 2020 December 31, 2019

INSURANCE / REINSURANCE RECEIVABLES

Rupees Rupees

(Un-audited) (Audited)

These shares are deposited into CDC account and blocked on the instructions of Securities and ExchangeCommission of Pakistan (SECP) in accordance with Circular No. 9 of 2006 issued by the SECP.

NOTES TO THE CONDENSED INTERIM FINANCIAL STATEMENTS (UN-AUDITED)for the six-months period ended June 30, 2020

7

2020 2019 2020 2019


Commission paid or payable 25,428,610

35,349,137

47,630,028

54,445,834

Add: Deferred commission expense - Opening 33,980,684

27,777,586

29,167,009

28,800,679

Less: Deferred commission expense - Closing (26,228,510)

(34,111,698)

(26,228,510)

(34,111,698) Net Commission 33,180,784 29,015,025 50,568,527 49,134,815

Less: Commission received or recoverable 10,334,716 6,413,684 15,952,544 10,255,366

Add: Unearned re-insurance commission - Opening 10,035,228 9,084,985 12,527,628 10,545,652

Less: Unearned re-insurance commission - Closing (13,683,640) (10,337,356) (13,683,640) (10,337,356) Commission from reinsurers 6,686,304 5,161,313 14,796,532 10,463,662

26,494,480 23,853,712 35,771,995 38,671,153

8

2020 2019 2020 2019


Written Gross Premium 157,444,561

219,614,343

301,569,336

353,606,068

Add: Unearned premium reserve - Opening 200,256,755 204,964,792 233,163,578 220,918,911

Less: Unearned premium reserve - Closing (188,870,190) (249,499,712) (188,870,190) (249,499,712)

Premium earned 168,831,126 175,079,423 345,862,724 325,025,267

Less: Reinsurance premium ceded 60,750,178 39,683,321 96,583,608 68,722,858

Add: Prepaid reinsurance premium - Opening 89,783,797 66,545,358 74,528,333 67,780,814

Less: Prepaid reinsurance premium - Closing (81,360,118)

(65,211,182)

(81,360,118)

(65,211,182)

Reinsurance expense 69,173,857 41,017,497 89,751,823 71,292,490 99,657,269 134,061,926 256,110,901 253,732,777

9 CONTINGENCIES AND COMMITMENTS



NET INSURANCE PREMIUM

There is no significant change in contingencies and commitments reported in audited annual financial statements for the year ended December 31, 2019.

NET COMMISSION EXPENSES



20





Premium Deficiency

Net insurance premiumCommission incomeNet underwriting income

Insurance claims

Net claims

Commission expense

Management expenses

Underwriting results

Net investment income

Other income

Other expenses

Finance cost

Profit before tax

Segment assets

Unallocated assets

Segment assets - Operator's Fund

Segment liabilities

Unallocated liabilities

Insurance premium ceded to reinsurers

Net insurance claims and expenses

Profit from Window Takaful Operator's Fund

Unallocated assets - Operator's Fund

Unallocated liabilities - Operator's FundSegment liabilities - Operator's Fund

Insurance claims recovered from reinsurers

10 SEGMENT INFORMATION

Gross written premium 83,330,527 43,759,659 102,459,655 6,114,660 65,904,835

(2,009,718) - - - - (2,009,718)

(37,200,905) (16,144,117) (20,699,212) (428,181) (15,279,408) (89,751,823)

60,721,606 27,324,931 94,153,321 7,177,275 64,724,050 254,101,1834,917,705 1,918,353 4,196,645 3,763,829 14,796,532

65,639,311 29,243,284 98,349,966 7,177,275 68,487,879 268,897,715

(118,246,432) (1,855,938) (17,522,530) (4,275,899) (14,281,081) (156,181,880)

93,940,378 199,420 (2,393,538) - 1,210,862 92,957,122

(24,306,054) (1,656,518)

(19,916,068)

(4,275,899)

(13,070,219)

(63,224,758)

(18,287,381) (8,052,673)

(14,572,552)

(890,539)

(8,765,382)

(50,568,527)

(42,408,517) (22,270,137)

(52,143,701)

(3,111,869)

(33,540,245)

(153,474,469)

(85,001,952) (31,979,328)

(86,632,321)

(8,278,307)

(55,375,846)

(267,267,754)

(19,362,641) (2,736,044)

11,717,645

(1,101,032)

13,112,033

1,629,961

7,589,996

2,726,917

(2,793,473)

(1,701,154)

12,999,644

20,451,892

278,835,508 65,390,152 171,466,112 9,052,252 163,133,734 687,877,758

- - - - - 601,744,706

278,835,508 65,390,152

171,466,112

9,052,252

163,133,734

1,289,622,464

-

-

-

-

-

--

-

-

-

- 114,296,243

-

-

-

-

-

114,296,243

1,403,918,707

218,854,807 23,830,900

134,707,305

20,452,881

151,884,684

549,730,577-

-

-

-

-

103,124,342

218,854,807 23,830,900

134,707,305

20,452,881

151,884,684 652,854,919

-

-

-

-

- -- - - - - 82,626,369

- - - - - 82,626,369

735,481,288

301,569,336

Gross direct premium 54,941,025 29,143,566 80,827,153 6,078,704 39,968,796 210,959,244

Facultative inward premium 27,072,860 13,224,435 19,004,573 - 25,294,362 84,596,230

Administrative surcharge 1,316,642 1,391,658 2,627,929 35,956 641,677 6,013,862

Insurance premium earned 99,932,229 43,469,048 114,852,533 7,605,456 80,003,458 345,862,724

------------------------------------------------------------ Rupees ------------------------------------------------------------

Six-months period endedJune 30, 2020

Marine, aviation and transport

Motor Crop and livestock Miscellaneous TotalFire and property

damage


22

Gross written premium 92,535,648

44,611,900

108,781,563

49,829,901

57,847,056

353,606,068

Gross direct premium 58,957,358

34,694,158

73,816,329

13,752,670

56,607,908

237,828,423

Facultative inward premium 32,202,316 8,562,791 32,614,636 35,946,313 223,761 109,549,817

Administrative surcharge 1,375,974 1,354,951 2,350,598 130,918 1,015,387 6,227,828

Insurance premium earned 82,777,471 44,805,336 105,597,424 48,253,546 43,591,490 325,025,267

Net insurance premium 59,574,996 37,882,044 82,318,565 45,451,557 28,505,615 253,732,777

Commission income 1,787,177 475,168 4,785,024 203,404 3,212,889 10,463,662

Net underwriting income 61,362,173 38,357,212 87,103,589 45,654,961 31,718,504 264,196,439

------------------------------------------------------------ Rupees ------------------------------------------------------------

Insurance premium ceded to reinsurers (15,085,875) (71,292,490)(23,202,475) (23,278,859)(6,923,292) (2,801,989)

Crop and livestock

MotorSix-months period ended

June 30, 2019Miscellaneous Total

Fire and property damage


Insurance claims (58,266,523) 2,595,625 (32,950,373) (4,789,769) 1,872,074 (91,538,966)

Net claims (33,621,277) 2,133,086 (28,443,000) (969,348) (1,524,406) (62,424,945)

Commission expense (16,697,717) (8,578,179) (13,349,980) (905,784) (9,603,155) (49,134,815)

Management expenses (35,528,659) (17,128,545) (41,766,207) (19,131,974) (22,210,125) (135,765,510)

(85,847,653)

(23,573,638) (83,559,187) (21,007,106) (33,337,686) (247,325,270)


14,783,574

3,544,402

24,647,855

(1,619,182)

16,871,169

Net investment income 8,288,688

Other income 1,275,932

Other expenses (3,065,273)

Finance cost (1,120,876)

20,620,509

Profit before tax 42,870,149

Segment assets 183,101,669

52,540,755

163,133,325

60,907,674

130,396,841

590,080,264

Unallocated assets -

- - - - 605,449,560

183,101,669

52,540,755

163,133,325

60,907,674

130,396,841

1,195,529,824

Segment assets - Operator's Fund -

- - - - -

- - - - - 144,237,902

- - - - - 144,237,902

1,339,767,726

Segment liabilities 186,360,124

29,358,334

154,081,515

26,206,648

166,178,555

562,185,176

Unallocated liabilities -

- - - - 105,793,549

186,360,124

29,358,334

154,081,515

26,206,648

166,178,555

667,978,725

-

-

-

-

- -

- - - - - 84,291,522

- - - - - 84,291,522

752,270,247

(3,396,480) 4,507,373

Segment liabilities - Operator's Fund

Net insurance claims and expenses

Profit from Window Takaful Operator's Fund

Unallocated assets - Operator's Fund

3,820,421 Insurance claims recovered from reinsurers 24,645,246 (462,539) 29,114,021

Unallocated liabilities - Operator's Fund

11Related parties comprise of chief executive officer, directors, major shareholders, key management personnel, associated companies, entities with common directors and post employment benefit plans. The transactions with related parties are carried out at commercial terms and conditions and compensation to key management personnel is on employment terms.

RELATED PARTY TRANSACTIONS



Silk Bank Limited - associated companyInsurance premium Balance at beginning of the period 42,285,116 19,764,912 Gross insurance premium written 11,368,774 7,225,479 Received / adjusted during the period (19,370,710)

(8,382,129) Balance at end of the period 34,283,180

18,608,262

Outstanding claims at beginning of the period 13,095,233

18,598,600Gross claim expense for the period 945,977

2,106,913Claim paid during the period (3,298,228)

(5,107,673)

Outstanding claims at end of the period 10,742,982

15,597,840Other transactions during the yearBank charges 8,691 16,544Profit on term deposit receipts 1,080,103

51,783

Profit on bank deposits 1,854

8,913

Tawasul Health Care TPA (Pvt.) Limited - associated companyAdvisory services -

1,664,941Advance paid against services - net 530,000

850,000

Provident fund planContributions made during the period 3,118,746 3,465,395

Transactions with ownersIssuance of Bonus Shares 75,000,000 -

Insurance claim expense


United Track Systems (Private) Limited - associated companyMotor tracking device charges 205,465 374,441

Apna Microfinance Bank Limited - associated companyBank Charges 1,559 2,921 Profit on term deposit receipts - 730,217 Profit on bank deposits 1,665 16,754


Transactions with related parties other than those which have been specifically disclosed elsewhere in these condensed interim financial statements are follows:

12

1313.1

13.2 Provision for taxation in these condensed interim financial statements is subject to adjustment in annual financial statements.

13.3

13.4 Figures have been rounded off to the nearest Rupees.

There is no unusual item included in these condensed interim financial statements which is affecting the assets, liabilities, equity, profit, comprehensive income and cash flows of the Company.

GENERALSeparate set of condensed interim financial statements representing assets, liabilities, revenues, expenses and profit of Window Takaful Operations has been annexed to these condensed interim financial statement as per the requirement of Takaful Rules, 2012.

DATE OF AUTHORIZATION FOR ISSUEThese condensed interim financial statements were authorized for issue by the Board of Directors of the Company on ____________________.




August 28, 2020

For the half year ended June 30, 2020

INDEPENDENT AUDITORS' REVIEW REPORT

To the members of SPI Insurance Company LimitedReport on review of Condensed Interim Financial Statements of Window Takaful Operations

Introduction

We have reviewed the accompanying condensed interim statement of financial position of Window Takaful Operations of SPI Insurance Company Limited (the Company) as at June 30, 2020 and the related condensed interim statement of profit or loss, condensed interim statement of comprehensive income, condensed interim statement of changes in funds, condensed interim statement of cash flows and notes to the condensed interim financial statements for the six-months period then ended (here-in-after referred to as the “condensed interim financial statements”). Management is responsible for the preparation and presentation of these condensed interim financial statements in accordance with the accounting and reporting standards as applicable in Pakistan for interim financial reporting. Our responsibility is to express a conclusion on these condensed interim financial statements based on our review.

Scope of Review

We conducted our review in accordance with International Standard on Review Engagements 2410, “Review of Interim Financial Information Performed by the Independent Auditor of the Entity”. A review of condensed interim financial statements consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with International Standards on Auditing and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

Emphasis of Matter

We draw attention to Note 2.5 of the financial statements, which states that in order to comply with the requirements of General Takaful Accounting Regulations, 2019, the Company has changed its accounting policy related to recognition of wakala fee. The change in accounting policy and its impact is discussed in the said note. Our opinion is not modified in respect of this matter.

Conclusion

Based on our review, nothing has come to our attention that causes us to believe that the accompanying condensed interim financial statements are not prepared, in all material respects, in accordance with the accounting and reporting standards as applicable in Pakistan for interim financial reporting.

Other Matter

The figures of the condensed interim statement of profit or loss and condensed interim statement of comprehensive income for the three-months period ended June 30, 2020 and 2019 have not been reviewed, as we are required to review only the cumulative figures for the six-months period then ended.

The engagement partner on the review resulting in this independent auditors' review report is Inam ul Haque

RSM AVAIS HYDER LIAQUAT NAUMAN CHARTERED ACCOUNTANTSPlace: LahoreDate: August 28,2020


As at June 30, 2020

CONDENSED INTERIM STATEMENT OF FINANCIAL POSITION (UN-AUDITED)

27


June 30,2020

December 31, 2019

December 31, 2018

June 30,2020

December 31, 2019

December 31, 2018

(Un-audited) (Audited) (Audited) (Un-audited) (Audited) (Audited)

ASSETS

Property and equipment 3

8,167,024

11,667,176

2,700,714

2,935,786

3,483,449

Intangible assets

-

-

124,727

138,585

173,232

Investments

In equity securities

-

-

57,721,139

55,073,351

50,473,488

In term deposits

1,100,000

1,100,000

9,400,000

9,081,302

8,529,905

Loans and other receivables

-

-

30,468,069

40,277,783

51,838,391

Takaful / Retakaful receivables 4

179,134,330

233,638,372

-

-

-

Deferred wakala fee

35,621,633

45,546,805

-

-

-

Retakaful recoveries against outstanding claims 7

20,784,167

16,089,913

-

-

-

Deferred commission expense 8

-

-

11,537,672

16,222,877

20,541,262

Prepayments

39,664,029

51,608,690

204,629

438,475

325,673

Cash and bank balances

11,267,782

11,665,613

2,139,293

3,505,865

4,101,393

Total Assets

295,738,965 371,316,569 114,296,243 127,674,024 139,466,793

Fund and Liabilities

Capital Reserves

Waqf money 500,000 500,000 - - -

Statutory fund

-

-

50,000,000

50,000,000

50,000,000

Fair value reserve

-

-

37,913

3,189,511

471,421

Revenue Reserves

Accumulated surplus

13,051,535

53,197,615

-

-

-

Accumulated loss

- -

(18,368,039)

(31,367,683)

(31,701,640)

Total Funds

13,551,535 53,697,615 31,669,874

21,821,828

18,769,781LiabilitiesUnderwriting Provisions

Unearned contribution reserves 5

134,600,774

113,867,016 -

-

-Outstanding claims (including IBNR) 7

61,741,606 76,599,077 -

-

-Contribution deficiency reserves 5,901,200 - - - -Reserve for unearned re-takaful rebate 6

8,586,673 11,313,380 - - -Unearned wakala fee - - 21,307,612 35,621,633 45,546,805Takaful / Retakaful payables - unsecured 20,688,710 56,180,068 - - -Other creditors and accruals 50,668,467 59,659,413 61,318,757 70,230,563 75,150,207Total Liabilities 282,187,430 317,618,954 82,626,369 105,852,196 120,697,012Total Fund and Liabilities

6,941,970

-

-

1,100,000

-

181,721,158

21,307,612

22,426,658

-

29,039,465

4,331,449

266,868,312

500,000

- -

25,434,826

-

25,934,826

69,597,284

66,435,132

31,474,813

6,685,545

-

18,839,118

47,901,594

240,933,486

266,868,312 295,738,965 371,316,569 114,296,243 127,674,024 139,466,793

Contingencies and Commitments 9 - - - -

The annexed notes 1 to 13 form an integral part of these condensed interim financial statements.

------------------------------ Rupees ------------------------------

Note

Participants' Takaful Fund Operator's Fund

Window Takaful OperationsSPI Insurance Company Limited

(Audited)Restated (Refer to Note No. 2.5)Restated (Refer to Note No. 2.5)

CONDENSED INTERIM STATEMENT OF PROFIT OR LOSS (UN-AUDITED)

28


2020 2019 2020 2019


Participants' Takaful Fund Revenue Account

Contributions earned 5 35,818,509

22,181,019

107,635,370

98,294,562

Less: Contributions ceded to retakaful 5 (30,253,572)

(23,912,803)

(52,790,287)

(49,722,233)

Net contributions revenue 5,564,937

(1,731,784)

54,845,083

48,572,329

Retakaful rebate earned 6 6,079,361

5,214,729 10,968,189

10,858,552

Net underwriting income 11,644,298

3,482,945

65,813,272

59,430,881

Net takaful claims 7 (5,603,120)

(6,168,965)

(17,652,604)

(16,510,414)

Contribution deficiency (25,573,613)

(14,405,758)

(25,573,613)

(14,405,758)(31,176,733) (20,574,723) (43,226,217) (30,916,172)

Other direct expenses (2,459,924) (5,960,639) (10,390,967) (8,476,281)

(Deficit) / Surplus before investment and other income (21,992,359)

(5,960,639)

12,196,088

20,038,428

Investment income 47,579

25,074

59,662

52,298

Other income 33,982 35,258 127,541 93,625

(Deficit) / surplus for the period (21,910,798)

(5,900,307)

12,383,291

20,184,351

Wakala fee 31,012,668

18,190,717

52,277,953

71,137,100

Commission expense 8 (9,860,615)

(13,093,032)

(20,434,161)

(23,475,348)


(14,107,987)

(23,928,392)

(28,800,926)

9,637,349 (9,010,302) 7,915,400 18,860,826


2,691,620

6,135,442 2,691,620

Direct expenses (616,188) (377,313) (1,086,533) (969,243)

Other income 13,201 16,688 35,335 37,306

Profit / (loss) for the period 15,169,804 (6,679,307) 12,999,644 20,620,509


Operator's Fund Revenue Account

Note

Three-months period

ended June 30,

Six-months period

ended June 30,


Restated (Refer to Note No. 2.5)

Restated (Refer to Note No. 2.5)


29

CONDENSED INTERIM STATEMENT OF COMPREHENSIVE INCOME (UN-AUDITED)


2020 2019 2020 2019


PARTICIPANTS' TAKAFUL FUND

(Deficit) / surplus for the period (21,910,798)

(5,900,307)

12,383,291

20,184,351

Other comprehensive income for the period - -

- -

Total comprehensive income/(loss) for the period (21,910,798) (5,900,307) 12,383,291 20,184,351

OPERATOR'S FUND

Profit / (loss) for the period 15,169,804

(6,679,307)

12,999,644

20,620,509

Other comprehensive (loss)/income for the period:

Items that may be reclassified subsequently to profit or loss:

Unrealized gain / (loss) on available -for-sale investments (1,570,475)

(1,607,536)

37,913 (779,561)

Other Item

Fair value reserve realized on sale of available -for-sale investments -

-

(3,189,511)

346,756

(1,570,475)

(1,607,536)

(3,151,598)

(432,805)

Total comprehensive income / (loss) for the period 13,599,329 (8,286,843) 9,848,046 20,187,704


Three-months period

ended June 30,

Six-months period ended

June 30,



30


CONDENSED INTERIM STATEMENT OF CHANGES IN FUNDS (UN-AUDITED)

Balance as at January 01, 2019 as previously reported 500,000 53,197,615 53,697,615

Effect of change in accounting policy (Refer Note 2.5) - 9,925,172 9,925,172

Balance as at January 01, 2019 as restated 500,000

63,122,787

63,622,787

Surplus for the period -

20,184,351

20,184,351Other comprehensive income for the period -

-

-

-

20,184,351

20,184,351

Balance as at June 30, 2019 as restated 500,000

83,307,138

83,807,138

Balance as at January 01, 2020 as restated 500,000

13,051,535

13,551,535

Surplus for the period - 12,383,291 12,383,291Other comprehensive income for the period - - -

Total comprehensive income for the period - 12,383,291

12,383,291

Balance as at June 30, 2020 500,000

25,434,826

25,934,826

Description

Balance as at January 01, 2019 as previously reported 50,000,000

471,421

13,845,165

64,316,586

Effect of change in accounting policy (Refer Note 2.5) -

- 45,546,805

45,546,805

Balance as at January 01, 2019 as restated 50,000,000 471,421

59,391,970

109,863,391

Profit for the period -

-

20,620,509

20,620,509Other comprehensive (loss) for the period -

(432,805)

-

(432,805)

-

(432,805)

20,620,509

20,187,704

Balance as at June 30, 2019 as restated 50,000,000 38,616 80,012,479 130,051,095

Balance as at January 01, 2020 as restated 50,000,000 3,189,511 (31,367,683) 21,821,828

Profit for the period -

-

12,999,644

12,999,644Other comprehensive (loss) for the period -

(3,151,598)

-

(3,151,598)

- (3,151,598) 12,999,644 9,848,046

Balance as at June 30, 2020 50,000,000 37,913 (18,368,039) 31,669,874


Attributable to participants of the PTF

Waqf money Accumulated surplus Total

Attributable to share holders of the Company

Statutory reserve Un-appropriated profit /

(Accumulated loss) Total

-------------------------------------- Rupees ----------------------------------------

Fair value reserve

----------------------------- Rupees -----------------------------Description



CONDENSED INTERIM STATEMENT OF CASH FLOWS (UN-AUDITED)

31


2020 2019 2020 2019

Operating cash flows:

a) Operating activities:

Contribution received 53,842,795

67,572,180

-

-

Wakala fees received -

-

42,389,553

37,342,414

Retakaful contribution paid (44,015,315)

(29,943,330)

-

-

Claims paid (29,316,757) (39,044,534)

-

-

Retakaful and other recoveries received / (paid) 8,461,878

(17,423,154)

-

-

Commission paid - -

(16,936,296)

(15,746,607)

Retakaful rebate received 9,067,061

8,941,801

-

-

Direct expenses (2,396,323)

(6,726,203)

-

-

Net cash flow generated from / (used in) underwriting activities (4,356,661)

(16,623,240)

25,453,257

21,595,807

b) Other operating activities:

General and management expenses paid - -

(30,125,772)

(25,769,144)

Payment against short term leases - -

(2,364,689)

-

Other operating receipts/(payments) (2,639,334) 9,268,746 5,653,274 (364,117)

Net cash flow (used in) / generated from other operating activities (2,639,334) 9,268,746 (26,837,187) (26,133,261)

Net cash (used in) all operating activities (6,995,995)

(7,354,494)

(1,383,930)

(4,537,454)

Investment activities:

Investment income received 59,662

52,298

6,135,442

2,691,620

Investment made during the period - - (6,118,084) (2,095,372)

Fixed capital expenditure -

-

-

(9,900)

Net cash generated from investing activities 59,662 52,298 17,358 586,348

Net cash (outflow) from all activities (6,936,333)

(7,302,196)

(1,366,572)

(3,951,106)

Cash and cash equivalents at the beginning of the period 11,267,782

11,665,613

3,505,865

4,101,393

Cash and cash equivalents at the end of the period 4,331,449

4,363,417

2,139,293

150,287

Reconciliation of statement of profit or Loss

Net cash (used in) all operating activities (6,995,995) (7,354,494) (1,383,930) (4,537,454)

Depreciation/ Amortization (1,225,054) (1,750,076) (248,930) (307,693)

Contribution deficiency (25,573,613)

(14,405,758)

-

-

Increase/(Decrease) in assets other than cash 20,709,266

(16,870,529)

14,728,765

(7,357,441)

(Increase)/Decrease in liabilities 25,281,484

50,165,511

(6,267,038)

30,094,171

Investment and other income 187,203 145,923 6,170,777 2,728,926

Profit for the period 12,383,291 20,184,351 12,999,644 20,620,509

Attributed to:

Profit for the period before tax attributable to shareholders - - 12,999,644 20,620,509

Surplus in participants' equity 12,383,291 20,184,351 - -

12,383,291 20,184,351 12,999,644 20,620,509

Operator's Fund Participants' Takaful Fund

RupeesRupees




LEGAL STATUS AND NATURE OF BUSINESSSPI Insurance Company Limited (the Company) is an unquoted public limited company incorporated in Pakistan on February 15, 2005 under the repealed Companies Ordinance, 1984 (now Companies Act, 2017). The Company is engaged in non-life insurance business mainly comprising of fire, marine, motor, health and miscellaneous. The Company commenced its commercial operations on April 13, 2005. The registered office of the Company is situated at suite # 204-A, Second Floor, Madina City Mall, Abdullah Haroon Road, Karachi and principal office of the Company is situated at UIG House 6-D, 1st Floor, Upper Mall, Lahore, Pakistan.The Company has been allowed to work as Window Takaful Operator through License No. 3 dated November 20, 2014 by the Securities and Exchange Commission of Pakistan under Window Takaful Rules, 2012 to carry on Islamic General Insurance in Pakistan. It has not transacted any business outside Pakistan.For the purpose of carrying on the takaful business, the Company has formed a waqf for participants' equity fund. The Waqf namely SPI Insurance Company Limited - Window Takaful Operations Waqf Fund (hereafter referred to as participant takaful fund (PTF)) on October 29, 2014 was executed under a trust deed by the Company with a ceded money of Rs. 500,000. Waqf deed also governs the relationship of Operators and policy holders for management of takaful operations, investment of policy holder's funds and investment of Operator's funds approved by Shariah advisor of the company.

BASIS OF PREPARATION Statement of compliance

These condensed interim financial statements have been prepared in accordance with the accounting and reporting standards as applicable in Pakistan for interim financial reporting. The accounting and reporting standards as applicable in Pakistan for interim financial reporting comprise of:

-International Accounting Standard (IAS) 34, Interim Financial Reporting, issued by the International Accounting Standards Board (IASB) as notified under the Companies Act, 2017; and

-Provisions of and directives issued under the Companies Act, 2017, Insurance Ordinance, 2000, Insurance Rules, 2017, Takaful Rules, 2012, Insurance Accounting Regulations, 2017 and General Takaful Regulations, 2019.

Where the provisions of and directives issued under the Companies Act, 2017, the Insurance Ordinance, 2000, the Insurance Rules 2017, Takaful Rules, 2012 and the Insurance Accounting Regulations, 2019 (referred to as relevant local laws) differ with the requirements of IAS 34, the provisions of and directives issued under the relevant local laws have been followed.

These condensed interim financial statements reflect the financial position and results of operations of both the Operator's Fund and Participants' Takaful Fund in a manner that the assets, liabilities, income and expenses of the Operator's Fund and Participants' Takaful Fund remain separately identifiable.

The disclosures made in these condensed interim financial statements have, however, been limited based on the requirements of the International Accounting Standard 34: 'Interim Financial Reporting'. These condensed interim financial statements do not include all the information and disclosures required in a full set of financial statements as presbribed by the SECP and should be read in conjunction with the audited annual financial statements of the Operator for the year ended December 31, 2019.

These condensed interim financial statements have been presented in Pakistani Rupees, which is also the functional and presenstation currency of the Company.


2.1

2.1.1

2.1.2

2.1.3

2.1.4

2

1

32



Estimates, judgements and risk management policiesThe preparation of these condensed interim financial statements in conformity with approved accounting standards, as applicable in Pakistan, requires the management to make judgments, estimates and assumptions that affect application of accounting policies and reported amounts of assets, liabilities, income and expenses.

The estimates and associated assumptions are based on historical experience and various other factors that are believed to be reasonable under the circumstances, the results of which form the basis of making the judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates.

Significant areas of estimation uncertainty and critical judgments in applying accounting policies that have the most significant effect on amounts recognized in these condensed interim financial statements are the same as those disclosed in the audited annual financial statements of the Company for the year ended December 31, 2019.

Risk management policies and procedures are consistent with those disclosed in the audited annual financial statements of the Company for the year ended December 31, 2019.

Basis of measurementThese condensed interim financial statements have been prepared under the historical cost convention except certain financial instruments that are carried at fair value. Significant Accounting PoliciesThe accounting policies and methods of computation followed in the preparation of these condensed interim financial statements are the same as those applied in the preparation of the audited financial statements of the Company for the year ended December 31, 2019, except changes in accounting policy discussed in Note 2.5 below.

Changes in Accounting Policy Adoption of new General Takaful Accounting Regulations, 2019SECP has issued the General Takaful Accounting Regulations, 2019 which includes format for the preparation and presentation of the financial statements of the Window Takafull Operations of the Company. The new Accounting Regulations are effective for the accounting periods beginning on or after 01 January, 2020. In order to comply with the requirements of these regulations, the Company has changed its accounting policy related to recognition of wakala fee which was being recognized upfront on the issue of Takaful policy. The wakala fee is now recognized over the period of Takaful. Change in accounting policy has been applied retrospectively in accordance with the requirements of IAS-8 Accounting Policy, Changes in Accounting Estimates and Errors. The impact of change in accounting policy is as under;


2.2

2.2.1

2.2.2

2.3

2.4

2.5

As previously stated

As restatedAs previously

statedAs restated

Participants' Takaful Fund

Statement of financial positionDeferred wakala fee -

35,621,633 -

45,546,805 Accumulated surplus 22,976,707

13,051,535

-

- Unearned contribution reserves 89,053,969 134,600,774 68,320,211

113,867,016

Statement of Profit or LossContributions earned 113,997,982

98,294,562 168,538,159 214,084,964

Operator's FundStatement of financial positionUnearned wakala fee -

35,621,633 -

45,546,805

Accumulated loss 4,253,950 (31,367,683) 13,845,165

(31,701,640)Statement of Profit or LossWakala fee 89,821,161 71,137,100 103,654,963 115,746,423

December 31, 2019 January 01, 2019

--------------------Rupees--------------------

33



June 30, December 31,

2020 2019


Rupees Rupees

29,151,519 26,048,413

(8,296,622) (2,270,153)

20,854,897

23,778,260 167,319,054

161,065,744

(6,452,793)

(5,709,674)

160,866,261 155,356,070

181,721,158 179,134,330

3June 30, December 31,

2020 2019Note (Unaudited) (Audited)

Rupees Rupees

Operating fixed assets - owned

Participants' Takaful Fund 6,941,970 8,167,024

Operator's Fund 3.1 2,700,714 2,935,786

9,642,684 11,102,810

3.1 During the year nil (December 31, 2019: Rs. 9,900) additions were made in Office Equipement.

4

Less: provision for impairment of receivables from takaful participants holders

Less provision for impairment of due from other insurers / reinsurers

PROPERTY AND EQUIPMENT

Due from other takaful/ retakaful operators

TAKAFUL / RETAKAFUL RECEIVABLES - PTF

Due from takaful participants holders


34

Application of new and revised international financial reporting standardsStandards, amendments to published approved accounting standards and interpretations becoming effective in current period:There are certain new standards, amendments and International Financial Reporting Interpretations Committee (IFRIC) interpretations that became effective during the period and are mandatory for accounting periods of the Company beginning on or after January 01, 2020 but are considered not to be relevant or not to have any significant effect on the Company's operations. The new standards, amendments and IFRIC interpretations that are relevant to the operations of the Company are disclosed in the audited annual financial statements of the Company for the year ended December 31, 2019.

Standards, amendments to published approved accounting standards and interpretations becoming effective in future periods:There are other new standards, amendments and IFRIC interpretations that are mandatory for accounting periods of the Company beginning on or after January 01, 2020 but are considered not to be relevant or not to have any significant effect on the Company's operations. The new standards, amendments and IFRIC interpretations that are relevant to the operations of the Company are disclosed in the audited annual financial statements of the Company for the year ended December 31, 2019.

2.6.1

2.6

2.6.2



5

Written gross contribution

Less: Wakala Fee

Contribution net of Wakala Fee

Contribution earned

Re-takaful contribution ceded

Re-takaful expense

Net Contribution

6

Retakaful rebate received

Add: Unearned re-takaful rebate - Opening

Less: Unearned re-takaful rebate - Closing

NET CONTRIBUTION

Add: Unearned contribution reserve - Opening

Add: Prepaid re-takaful contribution - Opening

Less: Prepaid re-takaful contribution - Closing

Less: Unearned contribution reserve - Closing

RETAKAFUL REBATE

2020 2019 2020 2019


4,586,493 4,264,449 9,067,061 8,941,801

8,178,413 10,346,909 8,586,673 11,313,380

(6,685,545) (9,396,629) (6,685,545) (9,396,629)

6,079,361 5,214,729 10,968,189 10,858,552



Six-months period endedJune 30,

2020 2019 2020 2019


41,746,621

38,971,842

94,909,833

116,447,975 (16,698,648)

(15,588,737)

(52,277,953)

(71,137,100) 25,047,973

23,383,105

42,631,880

45,310,875 80,367,820

59,681,240 134,600,774 113,867,013

(69,597,284)

(60,883,326) (69,597,284) (60,883,326)

35,818,509 22,181,019 107,635,370 98,294,562

21,315,089

19,741,945 42,165,723 41,382,439

37,977,948

47,439,754 39,664,029 51,608,690

(29,039,465)

(43,268,896)

(29,039,465)

(43,268,896)

30,253,572 23,912,803 52,790,287 49,722,233

5,564,937 (1,731,784) 54,845,083 48,572,329


Three-months period

ended June 30,


June 30,


35

7

Claims Paid

Claims expense

Less: Re-takaful and other recoveries received

Add: Re-takaful and other recoveries in respect of outstanding claims - Closing

Less: Re-takaful and other recoveries in respect of outstanding claims - Opening

Re-takaful and other recoveries revenue

Net Claims Expense

CLAIMS EXPENSE

Less: Outstanding claims including IBNR - Opening

Add: Outstanding claims including IBNR - Closing

2020 2019 2020 2019Rupees Rupees Rupees Rupees

15,953,678

16,559,975

29,316,757

39,044,534

66,435,132

69,480,693

66,435,132

69,480,693

(64,758,417)

(71,577,419)

(61,741,606)

(76,599,077)

17,630,393 14,463,249 34,010,283 31,926,150

9,581,825

4,672,494

14,715,188

17,755,502

22,426,658

13,750,147

22,426,658

13,750,147

(19,981,210)

(10,128,357)

(20,784,167)

(16,089,913)

12,027,273

8,294,284

16,357,679

15,415,736

5,603,120

6,168,965

17,652,604

16,510,414

Three-months period

ended June 30,


June 30,




10


Gross written contribution 32,300,983

9,957,681

41,526,711

7,740,291 3,384,167

94,909,833

Gross direct contribution 19,595,780

9,670,337

23,693,472

7,702,291 1,670,574

62,332,454

Facultative inward contribution 12,401,795

244,576

17,670,659

- 1,695,769

32,012,799

Administrative surcharge 303,408 42,768 162,580 38,000 17,824 564,580

Takaful contribution earned 41,251,071

9,105,584

41,339,481

14,581,336 1,357,896

107,635,368

(33,820,697) (5,709,464) (11,026,596) - (2,233,530) (52,790,287)

Net takaful contribution 7,430,374

3,396,120

30,312,885

14,581,336

(875,634)

54,845,081

Rebate income 6,770,968 1,265,345 2,027,020 - 904,856 10,968,189

Net underwriting income 14,201,342

4,661,465

32,339,905

14,581,336

29,222

65,813,270

Takaful claims (15,790,292)

(5,498,771)

(9,203,998)

(2,991,370)

(525,852)

(34,010,283)

Net claims (6,856,970)

(1,179,878)

(6,538,364)

(2,991,370)

(86,022)

(17,652,604)

Direct expenses (3,536,392) (1,090,192) (4,546,448) (847,426) (370,507) (10,390,965)

Contribution deficiency expense (23,568,857)

(1,324,254)

(2,233,539)

- 1,553,037

(25,573,613)

Net takaful claims and expenses (33,962,219)

(3,594,324)

(13,318,351)

(3,838,796) 1,096,508

(53,617,182)


1,067,141

19,021,554

10,742,540 1,125,730

12,196,088

Net investment income 59,662

Other income 127,541

Surplus for the period 12,383,291


22,161,710

91,266,925

14,820,115

9,195,788 233,187,282


-

-

-

-

33,681,030

266,868,312

16,357,679

Miscellaneous

Takaful contribution ceded to retakaful

Takaful claims recovered from retakaful


439,830

SEGMENT INFORMATION

2,665,634 -

------------------------------------------------------------ Rupees ------------------------------------------------------------


MotorSix-months period ended

June 30, 2020Total

8,933,322 4,318,893

Health

9

There is no significant change in the contingencies and commitments reported in the audited annual financial statements for the year ended December 31, 2019.

CONTINGENCIES AND COMMITMENTS

8

2020 2019 2020 2019Rupees Rupees Rupees Rupees

Commission paid or payable 7,333,381 12,035,134 15,748,956 21,194,590

Add: Deferred commission expense - Opening 14,064,906 19,318,402 16,222,877 20,541,262

Less: Deferred commission expense - Closing (11,537,672) (18,260,504) (11,537,672) (18,260,504)

9,860,615 13,093,032 20,434,161 23,475,348

COMMISSION EXPENSE

Three-months period

ended June 30,


June 30,

Operator's Fund


36



5,237,844 52,295,402 28,078,336 1,738,830 116,448,008

3,794,624 35,574,999 12,749,266 1,263,257 77,774,184

1,400,132 16,605,529 15,289,574 459,394 37,703,371

43,088 114,874 39,496 16,179 970,453

4,797,115 42,946,712 7,408,629 2,598,255 98,294,557

(3,952,166) (11,939,251) - (1,195,653) (49,722,233)

844,949 31,007,461 7,408,629 1,402,602 48,572,324

869,473 2,260,192 - 298,783 10,858,552

1,714,422

33,267,653

7,408,629

1,701,385

59,430,876

(5,611,587)

(8,416,135)

(3,007,445)

(212,452)

(31,926,150)

6,919,684 1,183,220 - 184,042 15,415,736

1,308,097

(7,232,915)

(3,007,445)

(28,410)

(16,510,414)

(381,264)

(3,806,596)

(2,043,830)

(126,570)

(8,476,276)

(331,847) (2,835,634) - (435,997) (14,405,758)

594,986

(13,875,145)

(5,051,275) (590,977)

(39,392,448)

1,119,436

47,142,798

12,459,904

2,292,362

20,038,428

52,29893,625

20,184,351

29,097,563

24,392,038

3,948,742

756,783

40,543,846 (32,635,163)

7,908,683 7,430,104

15,338,787

(14,678,531)

7,128,790

(7,549,741)

(2,118,019)

(10,802,280)

(20,470,040) 35,808,827

Total

------------------------------------------------------------ Rupees ------------------------------------------------------------

MiscellaneousFire and property

damageMarine, aviation and transport

Motor Health


Gross written contribution

Gross direct contribution

Facultative inward contribution

Administrative surcharge

Takaful contribution earned

Net takaful contribution

Rebate income

Net underwriting income

Takaful claims

Net claims

Direct expenses

Contribution deficiency expense

Net takaful claims and expenses

Underwriting results

Net investment incomeOther income

Surplus for the period

Takaful contribution ceded to retakaful

Takaful claims recovered from retakaful



37

Segment liabilities 94,502,157

9,000,728

65,345,156

11,031,177

13,152,673

193,031,891


-

-

-

-

47,901,595

240,933,486

Operator's Fund

Wakala fee 20,145,228

4,240,557

20,277,841

6,059,144 1,555,183

52,277,953

Commission expense (9,216,715)

(1,817,830)

(6,553,630)

(2,315,046)

(530,940)

(20,434,161)



Other income 35,335

Direct expenses (1,086,533)


Segment assets 4,933,126 344,385 5,703,651 131,687 424,823 11,537,672

Unallocated assets - - - - - 102,758,571

114,296,243

Segment liabilities - - - - - -

Unallocated liabilities - - - - - 82,626,369

82,626,369




Motor Health Miscellaneous Total

------------------------------------------------------------ R upees ------------------------------------------------------------




38

14,861,425

137,286,883

65,371,851

5,983,182

328,132,676

-

-

-

-

15,380,517

343,513,193

8,488,470

84,049,593

46,818,322

6,070,052

221,785,583

104,629,335 -

76,359,146

- -

-

-

-

68,834,536

290,620,119

Segment assets

Unallocated assets

Segment liabilities

Unallocated liabilities

Operator's Fund

Wakala fee 24,666,766 12,093,593 1,189,712 71,137,100Commission expense (12,000,346)

(8,791,262)

(1,248,255)

(312,214)

(23,475,348)



Other income 37,306

Direct expenses (969,243)



4,738,423

278,529

18,260,504


-

-

125,977,398

144,237,902

Segment liabilities -

-

-

-


-

-

105,852,196

105,852,196

11


Silk Bank Limited - (Associated Company)532

1,016 59,662

52,298

Contribution receivable

Balance at beginning of the period 2,323,736 25,432Gross contribution written 1,470,264

1,806,417

Received / adjusted during the period (3,108,201)

(1,803,608)

Balance at end of the period 685,799

28,241

Insurance claim expense

Outstanding claims at beginning of the period 266,075

383,923

Gross claim expense for the period 64,279

134,217

Claim paid during the period (82,430)

(221,876)

Outstanding claims at end of the period 247,924

296,264

Other balances with associated companyTerm deposits 1,100,000

1,100,000

Profit and loss sharing accounts 640,437 120,461Current accounts 28,190 1,720,366

Provident fund planContributions made during the period 182,807 183,822

Bank chargesProfit on term deposit receipts

RELATED PARTY TRANSACTIONS

Six-months period endedJune 30,

------------------------------------------------------------ R upees ------------------------------------------------------------




Motor Health Miscellaneous Total

31,110,900

6,782,597

-

-

-

2,076,129(1,123,271)

91,474

-

-

-

The related parties comprise United Track Systems (Pvt.) Limited and Silk Bank Limited (Islamic - Emaan) on the basis of related group companies, entities under common control, entities with common directors, major shareholders, key management personnel and employee retirement benefits fund. Amount due to / from and other significant transactions, other than those disclosed elsewhere in these financial statements, are as follows:




39


There is no unusual item included in the condensed interim financial statements which is affecting the assets, liabilities, profit / surplus / loss / deficit, comprehensive income / loss, funds or cash flows of the window takaful operations of the Company.

These are separate financial condensed interim financial statements of Window Takaful Operations of the Company and are annexed with the condensed interim financial statements of the Company as per requirement of Takaful Rules, 2012.

Figures have been rounded off to the nearest Rupees.

These condensed interim financial statements were authorized for issue by the Board of Directors of the Company on ____________________.

12

13

13.1

13.2

13.3

GENERAL

DATE OF AUTHORIZATION FOR ISSUE



August 28, 2020


Documents

HALF YEAR REPORT 2020 · 35,404 0.62 Consolidated Results Proﬁt before Tax Proﬁt after Tax E.P.S. DIRECTORS' REVIEW REPORT TO THE MEMBERS 5 SPI Insurance Company Limited Dear