United Overseas Insurance Ltd (UOI) posted a net profit of S$11.09 million for the six months ended Jun 30, 2026, up 28.4 per cent from S$8.64 million a year earlier, lifted by a combination of lower claims outgo and higher non-underwriting income.
Earnings per share rose to 36.28 Singapore cents from 28.25 cents a year ago. In line with its 50 per cent payout policy, the board declared an interim one-tier tax-exempt dividend of 9.07 cents a share (H1 2025: 7.0 cents), payable in cash on Aug 31, 2026, to shareholders on record as at 5.00 p.m. on Aug 19. The distribution totals S$5.5 million.
Revenue from insurance contracts slipped 8.9 per cent year-on-year (YoY) to S$52.06 million, reflecting the timing of business growth that deferred premium recognition to later periods. However, insurance service expenses decreased 6.8 per cent to S$37.24 million as gross incurred claims fell, offsetting higher acquisition and administrative costs. Net expenses from reinsurance contracts narrowed by 36 per cent to S$7.63 million, supporting a 35.8 per cent jump in insurance service result to S$7.19 million.
By segment, the Singapore Insurance Fund (SIF) generated pre-tax profit of S$11.11 million (H1 2025: S$6.21 million). The Offshore Insurance Fund (OIF) swung to a pre-tax loss of S$0.97 million from a S$0.46 million profit a year earlier, while the Shareholders’ Fund (SHF) contributed S$3.33 million, down slightly from S$3.86 million.
Non-underwriting income climbed 19.6 per cent to S$6.51 million, aided by higher interest income from investments and favourable foreign-exchange movements, which more than offset lower dividend receipts and net fair-value losses on certain securities. Mark-to-market gains on the investment portfolio also lifted other comprehensive income to S$4.89 million, almost doubling last year’s S$2.80 million.
Looking ahead, UOI expects steady growth in Singapore’s and Asean’s insurance markets, underpinned by sustained demand for protection and commercial coverage, but cautions that competitive pressure, claims inflation and geopolitical uncertainties will persist. Management said it will emphasise disciplined underwriting, prudent risk selection and cost efficiency, while maintaining a diversified investment strategy overseen by two external fund managers to navigate volatile markets and safeguard capital.
The company remains debt-free with no borrowings, contingent liabilities or loan capital as at Jun 30. Cash and cash equivalents stood at S$71.43 million, up from S$56.97 million at end-2025, reflecting stronger operating cash flows and net investment proceeds.
UOI’s net asset value per share improved to S$8.62 from S$7.71 a year ago. Transfer books will close from Aug 19 to Aug 20 for dividend entitlements.