Pioneer Insurance posts lower profit but declares higher dividends

Listed non-life insurance company Pioneer Insurance declared a 4.6 per cent lower profit of Tk 446.95 million in 2025, compared to the year before, despite higher revenue.
According to a stock exchange filing on Tuesday, the company's earnings per share shrank to Tk 4.57 per share in 2025 from Tk 4.79 per share in 2024.
Pioneer Insurance Company Limited provides comprehensive general insurance, including motor, fire, marine, and aviation.
In 2025, it had to pay more claims than in the previous year, which is why profit fell this year, the company said.
Despite the reduction in profit, Pioneer Insurance declared a higher dividend for investors this year.
The board of directors has recommended a 25 per cent cash and 5 per cent stock dividends (subject to approval of the regulator) for the year ended December last year. For the previous year, the company paid 25 per cent cash dividends.
According to the company, the reason for declaring the bonus shares is to increase the paid-up capital to strengthen its financial status both in Bangladesh and the global insurance market. The bonus shares, if permitted, would be given out of accumulated profits.
The company has improved cash generation capacity in 2025 to Tk 3.09 per share from negative Tk 0.91 per share in the previous year.
Meanwhile, after the earnings disclosure, the stock of the company fell 2.29 per cent to Tk 51.10 per share on Tuesday on the Dhaka Stock Exchange (DSE).
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