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Abu Dhabi National Insurance's First-half Profit Down Amid Geopolitical Risks, Flood-related Claims

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Abu Dhabi National Insurance's First-half Profit Down Amid Geopolitical Risks, Flood-related Claims

Abu Dhabi National Insurance Co. (ADX:ADNIC) delivered a year-over-year increase in insurance revenue in the first half of 2026, while logging a decline in profit amid the current geopolitical situation in the Middle East.

The United Arab Emirates-based insurer's profit attributable to shareholders for the six months ended June 30 decreased to 212.8 million Emirati dirhams from the year-ago 228.3 million dirhams, according to a Wednesday release. Before zakat and income tax, profit amounted to 225.1 million dirhams.

Insurance revenue, on the other hand, rose over the period to 4.09 billion dirhams from 4.01 billion dirhams, whereas other operating expenses widened to 115.5 million dirhams from 110.8 million dirhams.

"The results reflect prudent recognition of provisions related to geopolitical risks, flood-related claims and the impact of short-term investment market volatility. Despite these external headwinds, the underlying performance of the business remains strong, supported by disciplined risk management and the continued resilience of our core operations," Chairman Sheikh Mohamed Bin Saif Al-Nahyan said in an earnings release.

Meanwhile, the group's gross written premiums came in at 6.14 billion dirhams in the six-month period, supported by growth from several strategic clients and higher business generated from major construction projects.

"Looking ahead, ADNIC remains confident in its outlook for the remainder of 2026. The strength of the Group's underlying business, diversified portfolio, disciplined underwriting approach and expanding international footprint position the Company well to benefit as market conditions continue to normalize," the chairman added.

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