Libra Insurance Company (LBRA) Q2 2024 earnings summary

Executive summary

• Q2 2024 gross premiums reached ₪182m, up from ₪139m YoY; H1 premiums were ₪404m versus ₪308m.

• Digital-first model served over 400,000 policies with 200 employees, or 2,000 policies per employee.

• Strong growth in gross and retained premiums accompanied a turnaround from loss to profit; digital model emphasized personalized service and profit sharing.

Financial highlights

• Q2 total income was ₪120m versus ₪70m YoY; comprehensive income before tax was ₪20.3m versus a ₪1.2m loss, and after-tax comprehensive income was ₪13.3m versus a ₪0.8m loss.

• H1 total income was ₪222m versus ₪126m YoY; net profit was ₪24.5m versus a ₪2.7m loss, and comprehensive income before tax was ₪37.3m versus a ₪3.9m loss.

• H1 gross earned premiums were ₪338.4m, up 37%; retained earned premiums reached ₪199.3m, up 96%, and investment gains were ₪8m versus ₪4m.

• Total assets reached ₪1,251.8m at June 30, 2024, up 34% YoY; equity was ₪93.8m, versus ₪69.3m at year-end 2023.

• Cash and cash equivalents were ₪152.4m at June 30, 2024.

Outlook and guidance

• Priorities include profitable life products, including risk and mortgage cover, and expansion of non-auto insurance lines; H1 non-auto products grew 61% YoY.

• Expects continued growth in digital car insurance transfers and expansion in life and other segments, supported by technological innovation and personalized pricing.