EFU General Insurance Limited (“EFU” or “the Company”) was incorporated on 2-Sep-1932 as a public listed company. The Company is listed on the PSX with the symbol “EFUG”

The Company is among the pioneer insurance companies in Pakistan, with the initiation of insurance services in the early 1930s. In the nationalization of Life Insurance in the year 1972, EFU segregated its life insurance operations, ultimately establishing EFUG as a separate entity.

EFU offers a wide range of non-life insurance products that can be categorized into Fire, Engineering, Marine, Aviation, Motor, and Miscellaneous segments. The Company diversified into Takaful business in May-15 and has been operating through a network of 30 branches throughout the country.

The Company's ownership is mainly divided between the JS Group and Bhimjee family. JS Group holds ~43.0%, with Jahangir Siddiqui & Co. Ltd. holding ~21.0%. The Bhimjee family owns ~27.1%, with Rafique R. Bhimjee & family holding ~12.7% and Muneer R. Bhimjee holding ~14.4% stake. The Directors hold ~1.5% stake in the Company. Banks, DFIs, NBFIs, and modarabas hold a minor stake of less than ~1%. The Company has a free float of ~11.4%.

The Company's ownership structure is expected to remain stable as the sponsors are among the well-established investors across various sectors in Pakistan.

EFU is backed by the JS Group, holding a mark in the asset management, financial advisory, and banking services and the Bhimjee family, a prominent name in the Insurance sector

The financial profile of the Sponsoring Groups is quite sound, reflected by their highly successful business ventures in various sectors.

The Company's BoD consists of eight Directors. Among them, there are five Non-Executive Directors where one represents Bhimjee family and one represents JS Group. There are two Independent Directors, and one Executive Director. The BoD ensures independence in the decision making process.

The BoD is chaired by Mr. Saifuddin N. Zoomkawala, a reputed insurance professional and former MD of EFU. He has been associated with the Group since 1964. Ms. Yasmin Hyder, an Independent Director holds 34 years of experience. All other BoD members possess diversified backgrounds and acumen

The BoD meets on a quarterly basis and is assisted by the Audit, Investment, & Ethics, Human Resources, and Remuneration Committees. The Audit and the Investment Committees convene quarterly meetings, while the HR Committees meet twice a year. Meeting minutes are adequately documented to ensure effective and transparent governance

The Company's External Auditor, M/s KPMG Taseer Hadi & Co., issued an unqualified opinion on the financial statements for CY25. The firm is QCR rated and on the SBP's panel of auditors in the category 'A.'

Departmental Heads report to the CEO, who then reports to the BoD. The Company Secretary and Compliance & Risk Officer report directly to the BoD. The Head of Investments, HR, and Internal Audit reports to the respective BoD Committees

Mr. Kamran Arshad Inam has been the CEO since 10-Jul-23 and holds an overall experience of more than two decades. Mr. Najmul Hoda Khan, appointed as the CFO in Sep-24, is a seasoned professional with more than 2 decades of corporate experience. Earlier, Mr. Altaf Gokal served as the CFO of EFU. The management team comprises seasoned professionals.

The management is assisted through Underwriting, Re-insurance & Co-insurance, Claim Settlement, and Risk Management & Compliance Committees, which are chaired by the CEO. Meetings are held on a quarterly basis.

EFU has adopted a Business Intelligence Tool to aid decision-making, tackle business challenges, bolster controls, and improve customer service. Quarterly reports, including segment-wise Premiums and Claims analysis (YoY and QoQ), are provided to the BoD.

The claims management system categorizes claims based on branch size, strength, and capacity. A claim review system, established by the head office, evaluates settlement claims limits that occur after a comprehensive assessment and review of the Survey Report, along with complete documents.

A formal Investment Policy Statment sets the primary guidelines for investment decisions. The BoDs Investment Committee oversees the management of the investment portfolio and makes final decisions. The portfolio is managed by the investment department, with the supervision of the CFO.

The Company's risk management policies are designed to control risks to align with market conditions and the Company's activities.

Pakistan's general insurance industry reported a total GPW of approximately PKR 211bln as of Dec'25 (Dec'24: PKR 214bln), a slight decrease of ~1.4% in Gross Premium Written (GPW).The industry's underwriting performance declined markedly, with underwriting results decreasing by 37.41% YoY to PKR 8.7bln in Dec'25 (Dec'24: PKR 13.9bln). Additionally, investment income declined by around 19% YoY to PKR 31.8bln (Dec'24: PKR 39.3bln), primarily attributable to monetary easing. From a business risk perspective, concentration risk has shown marginal improvement due to a significant expansion in the fire & property segment. However, underwriting performance remains pressured, primarily due to elevated claim ratios in the health segment, coupled with an increase in reinsurance costs. However, emerging factors may provide selective support: heightened geopolitical risks (e.g., USA-Iran tensions) could drive demand in the marine segment, while regulatory enforcement- such as mandatory third-party motor insurance in Sindh-may support premium inflows. Low penetration levels and increasing digital adoption continue to define the medium-term growth and transformation trajectory.

As of CY25, EFU General Insurance has maintained a strong position within the industry, reporting a Gross Premium Written (GPW) of PKR 46,886mln. The Company demonstrated solid underwriting performance, with an underwriting profit of PKR 2,319mln. This reflects EFU’s disciplined risk selection and effective pricing strategies, enabling it to sustain profitability despite competitive market dynamics.

EFU’s total GPW during CY25 stood at PKR 46,886mln, reflecting a ~13.61% increase from PKR 41,269mln in SPLY. The conventional segment remained the primary contributor, generating PKR 42,468mln during CY25, marking a ~12% growth compared to PKR 37,911mln in CY24. Meanwhile, the takaful segment demonstrated notable growth of ~32%, with GPW increasing to PKR 4,417mln in CY25 from PKR 3,358mln in SPLY. Segment-wise, the Fire and Property segment continued to dominate the Company’s portfolio, contributing ~74% to total GPW in CY25, followed by Marine (~11%), Motor (~9%), and Miscellaneous (~6%). The strong concentration in the Fire and Property segment indicates sustained demand for property-related insurance coverage, likely driven by expansion in infrastructure and construction activities, heightened risk awareness, and increasing need for asset protection amid evolving risk dynamics.

PBT during CY25 was reported at PKR 8,726mln, up from PKR 6,665mln in SPLY, representing a ~31% increase in pre-tax profits. EFU reported a PAT of PKR 5,351mln in CY25, compared to PKR 4,294mln in SPLY, reflecting a ~25% increase. The conventional segment recorded a significant improvement in profitability, with PAT rising by ~40%, while the takaful segment witnessed a slight decline of ~7% in PAT. The increase in profitability is largely attributed to higher investment income, which rose substantially during CY25. This growth in investment income provided strong support to the Company’s overall earnings. However, the takaful segment’s marginal decline in profitability indicates relatively stable but slightly pressured performance during the period.

The investment portfolio consisted of equity securities, debt securities, investments in associates and subsidiaries, as well as property, reflecting a well-diversified mix of alternative revenue streams. EFU reported investment income of ~PKR 6,025mln during CY25, up from ~PKR 3,130mln in SPLY, marking a significant increase of ~92%. This growth in investment income is indicative of improved returns across the Company’s investment portfolio, potentially driven by favorable market performance, higher returns on equity investments, and stable income from debt securities, thereby providing strong support to the Company’s overall profitability.

The Company aims to sustain and improve its financial results through sustainable profits, consistent performance improvement, and a rise in underwriting and risk management.

Claims outstanding Days increased slightly during CY25 and stood at 505 Days from 415 days SPLY. Due to rise in claims. Timely repayments of outstanding claims will book well for the company.

EFU maintains re-insurance treaties, with a mix of Surplus, Quota Share and XOL, with Swiss Re (AA- by S&P), SCOR (A+ by S&P), Hannover Re (AA- by S&P), Echo Re (A- by A.M. Best), and Korean Re (A by A.M. Best), along with other well-reputed international reinsurance securities.

As of CY25, liquid assets to net insurance premium improved to 1.7x from 1.5x in SPLY, indicating a stronger liquidity buffer. Similarly, liquid assets net of borrowings relative to outstanding claims (including IBNR) increased to 2.2x from 1.8x, reflecting improved claims-paying capacity and overall liquidity strength.

EFU’s risky assets to equity ratio increased significantly to 60.9% in CY25 from 34.1% in SPLY, reflecting higher exposure to market risk due to increased investment in equity securities. Despite this, equity remained stable, standing at PKR 30,692mln in CY25 compared to PKR 27,359mln in SPLY. The increase in equity indicates gradual internal capital growth, supporting the Company’s expanded risk appetite and investment strategy.