A Quarter Defined by Risk-Taking
Sagicor Group Jamaica has reasserted itself as more than a conservative insurer. In Q2 2025, the company moved aggressively into shaky global markets, putting $13.85 billion to work when volatility was at its peak. That move paid off. Net profit for the quarter jumped to $4.79 billion, a 60% rise from last year’s $3 billion.
Where others sat on the sidelines, Sagicor captured $585 million in realised gains and added $1.66 billion in paper profits. The contrast with 2024 is striking — when the company only squeezed $30 million in realised gains while taking a $361 million hit on unrealised losses. This is less about luck, more about conviction under pressure.
Insurance: Not Just Volume, But Margin
While market bets generated headlines, insurance did the quiet heavy lifting. Revenues climbed 15% to $15.13 billion. But the real story lies beneath: margin expansion. By repricing short-term products and tightening claims experience, Sagicor turned insurance service results into $3.53 billion — a 96% surge.
Group health and life products expanded, while the release of US$10.7 million from its contractual service margin highlighted actuarial discipline. In plain terms, Sagicor proved it can grow both the top line and squeeze more profit from each dollar earned.
Diverse Engines, One Direction
Beyond insurance and investments, Sagicor’s fee and service income rose 13% to $4.99 billion. Its Central American operations added $255 million in profit share. Even as operating expenses edged up 4% to $8.17 billion, pre-tax profit climbed 65% to $6.23 billion.
The story repeats over the six-month horizon: net profit up 120% to $8.83 billion, almost eclipsing last year’s full-year performance by June. Investment income jumped 75% to $19.15 billion. Capital deployment tripled compared to 2024, with $30.15 billion pushed into financial instruments.
Balance Sheet Muscle
Sagicor’s asset base expanded 9% to $653 billion. Loans grew by $20.5 billion, underscoring its relevance not just as a financial investor but as a lender embedded in the Jamaican economy. Equity climbed to $112.4 billion, with adjusted equity (including CSM) at $155.5 billion.
Deposits and security liabilities rose 12%, insurance obligations grew 5% — a balance sheet that signals discipline rather than overstretch.
Insider Moves and Market View
Leadership isn’t standing still. CEO Christopher Zacca and CFO Andre Ho Lung both bought additional shares in the company, joined by several executives. Their confidence contrasts with a market that left the stock flat for the year, closing at $39.94 with a $156 billion market cap.
