Green Delta Insurance financial analysis: 38.9% combined ratio, Tk 3.99bn reinsurance receivable (Oct 2026)

The largest private general insurer: ceding 57.5% of premium earns it a 38.9% combined ratio, but Tk 3.99bn sits with reinsurers and overdraft interest eats its investment income

What it is. Green Delta Insurance PLC (DSE: GREENDELT) was incorporated in 1985, listed in 1990 and writes fire, marine, motor, aviation, health and other general insurance through 30 branches [1 p.350]. It wrote Tk 5,400m of gross premium in 2025, up 31.5%, of which fire was 50.2% and marine 31.2% [1 p.367] [12]. It is also a small financial group: it owns 99.99% of Green Delta Securities (a broker), Green Delta Capital (a merchant bank), Professional Advancement Bangladesh (training) and GD Assist (services), and 40% of the asset manager Green Delta Dragon [1 p.350]. Directors and sponsors own 30.58% of the shares [1 p.88].

Where it stands. Company profit after tax rose 13.7% to Tk 685m in 2025 (EPS Tk 6.84), on underwriting profit up 20.6% to Tk 1,169m [1 p.341] [1 p.368] [12]. The group figure is lower: consolidated profit attributable to shareholders was Tk 545m (EPS Tk 5.44), because the broking and merchant-banking subsidiaries lost money [1 p.368] [1 p.384] [1 p.425]. In the first half of 2026 consolidated underwriting profit rose 48.7% but investment and other income fell 26.9%, a Tk 76m workers' profit participation charge appeared (none in H1 2025) [2 p.2] [1 p.341], and profit after tax fell 8.1% to Tk 259m [12]. DSE shows nine-month 2026 EPS of Tk 3.53 against Tk 3.63 a year earlier [8] [9]. The shares closed at Tk 62.2 on 29-Oct-2026 [7].

What drives shareholder returns. Green Delta earns most of its profit from underwriting, not from its investments: underwriting profit was 115.9% of pre-tax profit in 2025 [12], which means everything below the revenue accounts (investment income, less unallocated expenses and finance cost) was a net cost. The underwriting result rests on a reinsurance model. It ceded Tk 3,107m of premium (57.5%) and earned Tk 893m of commission back, 28.7% of the premium ceded [1 p.344] [12]. That commission more than paid for agency commission (Tk 527m) and covered part of management expenses. On the other side, the company carries a large investment book (Tk 6,011m by its own definition, of which Tk 1,135m is subsidiaries) and Tk 2,635m of short-term borrowing [1 p.141] [1 p.363]. Capital allocation has been steady: a cash dividend of Tk 2.50-3.00 a share in each of the last five years, no stock dividend since 2020, and a reserve for exceptional losses topped up each year [1 p.107] [8] [1 p.340].

• Is the Tk 3,989m due from reinsurers and SBC being collected? Signpost: note 17 of the FY2026 annual report (the FY2025 board met on 15-Feb-2026, so around Feb-2027).
• Why does a cash-rich insurer carry Tk 2,635m of overdrafts? Signpost: note 13 and the finance-cost line in the FY2026 annual report.
• How much did the end of agency commission save, and what did it cost in premium? Signpost: the class revenue accounts in the FY2026 annual report; the interims do not show gross premium or commission separately.
• Will the subsidiaries return to profit? Signpost: the subsidiary accounts in the FY2026 annual report (GDSL lost Tk 52m and GDCL Tk 33m in 2025).
• Will IDRA finalise lower management-expense caps? Signpost: an IDRA notification on the draft reported by TBS on 14-Sep-2025 (no date announced).

A fire-and-marine insurer that keeps 42.5% of what it writes, with a broker, a merchant bank and two service companies attached

How it makes money. A Bangladeshi general insurer collects premium up front, cedes part of each risk to reinsurers (who pay a commission back), sets aside a reserve for the unexpired part of each policy, and pays claims, agency commission and management expenses from what remains. Green Delta's unexpired-risk reserve is 40% of net premium for fire, marine cargo, motor and miscellaneous and 100% for marine hull, on premium excluding public-sector business [1 p.361]. The sum of the four class revenue accounts is the underwriting profit, Tk 1,169m in 2025 [1 p.341]. Below that, the profit and loss account adds investment and other income (Tk 394m) and deducts Tk 444m of management expenses that are not allocated to the revenue accounts plus Tk 107m of directors' fees, audit fees, WPPF and depreciation [1 p.341].

Classes. Fire is half the book: Tk 2,711m of gross premium in 2025, of which the company kept only Tk 875m (32.3%) [1 p.367] [12]. Marine cargo was Tk 1,547m and is mostly retained (55.0%), marine hull Tk 137m, motor Tk 149m (88.8% retained) and miscellaneous, which includes health, engineering and aviation, Tk 857m [1 p.367]. The company describes its underwriting as balanced between fire and marine: in 2025 fire supplied 40% of underwriting profit and marine 46% [1 p.140]. Marine has been the steadiest line, with underwriting profit between Tk 404m and Tk 548m in each year from 2020 to 2025 [1 p.140].

Reinsurance. Green Delta has treaty arrangements with SBC, Tryser & Co., JB Boda, ED Broking, Marsh India, Protection Insurance and other foreign reinsurers covering all classes [1 p.139]. Its overall retention has stayed at 40-43% for five years [1 p.139]. The company's own table prints motor retention of 6% for 2024 against 80-89% in the other years, which looks like a typing error; the 2024 motor revenue account shows Tk 107.7m net premium [1 p.139] [1 p.347]. Ceding most of the fire book is the key choice: in 2025 the company ceded Tk 1,836m of fire premium and received Tk 541m of fire commission, so the fire revenue account carried more commission income than claims and agency commission combined [1 p.345] [1 p.367].

Scale and reach. The 2025 notes list 442 employees for the full year and 74 for part of it [1 p.371]. The company calls itself Bangladesh's largest non-life insurer [1 p.56]; on 2025 gross premium it was level with Reliance Insurance (Tk 5,410m) and well above Pioneer (Tk 3,876m) and City (Tk 939m) [4 p.87] [5 p.11] [6 p.366]. Credit Rating Agency of Bangladesh (CRAB) rated its claim-paying ability AAA with a stable outlook on 2024 financials, valid to 30 June 2026, and lists AAA for every year since 2014 [1 p.121].

Combined ratio 38.9% in 2025: claims 17.2% of net premium, reinsurance commission larger than agency commission

We use one definition of the combined ratio for Green Delta and every peer: net claims incurred plus management expenses in the revenue account plus agency commission, less commission earned on reinsurance ceded (including any profit commission), over net premium. On that basis Green Delta's combined ratio was 38.9% in 2025 and 47.5% in 2024 [12]. The company does not print a combined ratio of its own; its ratio pages show a 'Loss Ratio' and a 'Management Expenses Ratio' [1 p.105].

Claims. Net claims incurred were Tk 394m in 2025 against Tk 313m in 2024, 17.2% of net premium against 17.6% [1 p.344] [12]. The mix moved. Fire claims fell 14.6% to Tk 93m even though net fire premium rose 74.6%; miscellaneous claims rose 51.7% to Tk 188m, 51.3% of miscellaneous net premium, and became the largest claims line [1 p.367] [12]. The company's own commentary says higher claims hurt fire and miscellaneous underwriting in the year [1 p.140], though on the revenue accounts fire profit rose from Tk 277m to Tk 465m and only miscellaneous fell (Tk 131m to Tk 113m) [1 p.341]. Net claims went from Tk 145m in 2021 to Tk 473m in 2023 and back to Tk 394m [1 p.107].

Commission. Agency commission rose 49.4% to Tk 527m in 2025, faster than gross premium (+31.5%), and rose from 8.6% to 9.8% of gross premium [1 p.344] [12]. Reinsurance commission rose 46.9% to Tk 893m, 28.7% of the premium ceded [12]. Commission earned therefore exceeded commission paid by Tk 366m, so the net commission line added 16.0% of net premium to the result instead of costing it [12]. Fire carries most of this: Tk 541m of fire reinsurance commission against Tk 276m of fire agency commission [1 p.345].

Management expenses. The company spent Tk 862.96m of management expenses in the revenue accounts and allocated it to classes in proportion to gross premium: 50% to fire, 29% to marine cargo, 3% to hull, 3% to motor and 16% to miscellaneous [1 p.371]. That was 37.6% of net premium and 16.0% of gross premium [12]. A further Tk 444m of management expenses sits in the profit and loss account without allocation, against Tk 323m in 2024 [1 p.341]. If that is included the combined ratio becomes 58.2% (65.6% in 2024) [12]. The interim accounts split costs differently, into 'operating' and 'non-operating' management expenses: Tk 2,017m and Tk 551m for 2025 in the company's quarterly table [1 p.99].

Margin trend. Underwriting profit was 77.8% of net premium in 2021 and 51.0% in 2025 [12]. The fall came because net premium grew (from Tk 1,547m to Tk 2,293m) while underwriting profit stayed between Tk 969m and Tk 1,203m [1 p.107]. Retention moved only from 40.3% to 42.5% [12], so the change came mainly from claims (9.4% of net premium in 2021, 17.2% in 2025) and from the expense lines [12].

A Tk 6.0bn investment book that earned Tk 394m, against Tk 402m of finance cost on overdrafts; subsidiaries lost money in 2025

The book. By the company's own definition the investment book was Tk 6,011m at end-2025 [1 p.141]. The two largest parts are quoted shares at market value (Tk 1,628m) and fixed deposits (Tk 1,547m, of which Tk 1,265m are within cash and cash equivalents) [1 p.363] [1 p.364]. Government securities rose to Tk 565m as treasury bills went from Tk 180m to Tk 405m [1 p.363]. Unquoted holdings (Tk 205m at cost) include Alliance Leasing and Finance (Tk 120m), United Hospital (Tk 56m) and BD Venture (Tk 20m) [1 p.363]. The bond book includes Tk 22m of LankaBangla Finance zero-coupon bonds and Tk 100m of a Runner Auto sustainability bond [1 p.363]. The notes do not list fixed deposits bank by bank, so we cannot say how much sits with weak banks or finance companies.

Listed shares. Quoted shares are carried at market price, with unrealised gains held in an investment fluctuation fund in equity [1 p.322]. The fund fell from Tk 653m to Tk 568m in 2025 after a Tk 95m unrealised loss (Tk 9m of it offset by deferred tax) [1 p.342]. The deferred-tax note gives a carrying amount of Tk 631m of unrealised gain on marketable securities at end-2025 [1 p.362]. The book paid Tk 92.5m of dividends in 2025, 5.7% of its year-end market value, while share trading lost Tk 3.9m [1 p.366] [12]. The auditor named the investment fluctuation fund a key audit matter, noting that 'a large unreported fall in the value of any holding may wipe out the value of the portfolio' [1 p.329]. The notes do not list individual holdings.

Income and its quality. Investment and other income rose 21.4% to Tk 394m in 2025 [1 p.341]. Interest was 52.5% of it and dividends 23.5% [12]. Two items are unlikely to repeat every year: a Tk 44.5m gain on disposing of assets (the Aftabnagar land, Tk 60m, left the balance sheet in 2025, though the notes do not tie the gain to a specific asset) and Tk 20m of interest charged to the broking subsidiary [1 p.365] [1 p.366]. Fixed-deposit interest of Tk 148m on an average Tk 1,589m of deposits is a 9.3% yield [12]. The company's five-year table shows 'investment income' of Tk 255m-391m a year since 2021, 25-39% of pre-tax profit [1 p.107] [12].

Borrowing. The company had Tk 2,635m of short-term bank borrowing at end-2025: overdrafts with Mercantile Bank (Tk 1,136m), Jamuna Bank (Tk 952m) and Dhaka Bank (Tk 207m), plus Tk 340m of term and time loans [1 p.363]. The cash-flow statement shows Tk 402m of finance cost paid (Tk 351m in 2024) [1 p.343], and the note 32 reconciliation adds the same amount back to pre-tax profit [1 p.369]. The profit and loss account has no finance-cost line [1 p.341]; on its arithmetic the cost can only sit inside the Tk 444m of management expenses, though the filing does not state this. Finance cost was 101.9% of investment and other income in 2025 and 15.4% of average borrowing [12]. The notes say only that interest is incurred 'on account of overdraft and short term loan' [1 p.356]; they do not explain why the company borrows while holding Tk 1,926m of cash and deposits [1 p.364].

Subsidiaries and associate. Green Delta has Tk 1,135m invested at cost in four subsidiaries: Green Delta Capital Tk 390m, Green Delta Securities Tk 325m, GD Assist Tk 250m and Professional Advancement Bangladesh Tk 170m [1 p.363]. It also lends Tk 140m to Green Delta Securities as a margin loan [1 p.363]. Green Delta Securities lost Tk 52.3m in 2025, after losses of Tk 73.2m in 2024 and Tk 18.9m in 2023 [1 p.384]. Green Delta Capital lost Tk 32.8m after a Tk 42.2m profit in 2024 [1 p.425]. Professional Advancement Bangladesh lost Tk 25.7m [1 p.441]. The associate, Green Delta Dragon Asset Management, cost the company Tk 3.4m (Tk 11.7m in 2024) [1 p.364]. As a result consolidated profit attributable to shareholders was Tk 545m, 79.6% of the company's Tk 685m, and consolidated EPS was Tk 5.44 [1 p.368] [12]. The group borrowed Tk 3,275m in total, and its finance cost was Tk 502m [1 p.363] [1 p.369].

The broking subsidiary is also where the group's capital-market link is clearest. Its managing director, Wafi Shafique Menhaz Khan, is described in the annual report as chairman of Sunlife Insurance Company Limited and a member of Green Delta's management committee [1 p.59], and the chief executive's profile refers to 'the recent acquisition of Sun Life Insurance' [1 p.57]. The investment notes do not list a holding in Sunlife Insurance [1 p.363], so the filing does not show how, or by which group company, the stake is held.

Tk 3.99bn due from reinsurers and SBC equals 55.5% of equity; outstanding claims are small at Tk 187m

Reinsurance receivable. The largest asset is Tk 3,989m 'due from overseas re-insurer & SBC', up 3.5% from Tk 3,854m [1 p.364]. That equals 55.5% of equity [12], far above the 20% level that the sector format treats as a red flag. The notes do not split it between SBC and foreign reinsurers, give no ageing and show no provision; the accounting policy describes it simply as amounts receivable 'in respect of re-insurance claims recoverable' [1 p.322]. The cash-flow reconciliation shows the receivable rising by Tk 114m in 2025 after falling by Tk 499m in 2024 [1 p.369]. Against this the company showed only Tk 123m payable to other insurers, all of it co-insurance premium [1 p.361].

Other advances. Advances, deposits and prepayments were Tk 2,302m, of which Tk 2,254m is 'other advances' with no further breakdown in the notes [1 p.364]. Together with the reinsurance receivable, these two lines are 43.0% of total assets, and neither is explained in detail.

Claims reserves. Outstanding claims were Tk 187m at end-2025, up 11.4%, of which Tk 140m is fire [1 p.361]. That is 0.47 times the year's net claims incurred. The auditor treated outstanding claims as a key audit matter and tested the claims register, survey reports and claim-committee minutes [1 p.329]. Premium deposits (cover notes not yet converted to policies) were Tk 587m, all marine cargo [1 p.361].

Tax. The income-tax provision fell from Tk 2,138m to Tk 1,605m after a Tk 852m 'adjustment during the year' [1 p.361]. The notes do not say which assessment years were settled. Cash tax paid was Tk 373m against a Tk 319m current charge [1 p.343] [1 p.340].

Cash flow. Operating cash flow was Tk 851m in 2025 (Tk 8.50 a share) against Tk 180m in 2024 [1 p.343]. Over five years operating cash flow per share has been volatile: negative Tk 4.32 in 2021, then Tk 6.53, Tk 6.25, Tk 1.80 and Tk 8.50 [1 p.107]. In the first half of 2026 consolidated operating cash flow was Tk 225m against Tk 560m a year earlier [2 p.4], and DSE shows nine-month NOCFPS of Tk 2.78 against Tk 6.25 [9].

Auditor. K. M. Hasan & Co. audited the 2025 accounts and gave an opinion that they present a true and fair view, with key audit matters on premium income, property and equipment, deferred tax, the investment fluctuation fund and outstanding claims [1 p.326] [1 p.327] [1 p.328] [1 p.329]. The 2024 accounts were audited by Islam Quazi Shafique & Co., who gave an unmodified opinion [1 p.330]. In a subsidiary, the auditor of Professional Advancement Bangladesh drew attention to a Tk 8.2m fixed deposit with People's Leasing & Financial Services that earned no interest [1 p.442]; that company's notes say 'no provisions were made due to the unascertained net realizable value' [1 p.451].

IDRA: agent licences suspended from 1-Jan-2026; expense caps in draft; solvency 2.42 times

Agency commission. The Business Standard reported on 24-Dec-2025 that IDRA, in a circular dated 23 December, was 'suspending all individual agent licences' of non-life insurers with effect from 1 January 2026 and 'has scrapped the scope for paying commissions in the non-life insurance sector' [10]. This is a single outlet, so we attribute it. Reliance Insurance's 2025 annual report, a peer filing, says the same in its own words: 'agency commission licenses are suspended effecting from 1 January 2026 by IDRA' [4 p.77]. Green Delta's 2025 annual report does not mention the change in the pages we searched. Its 2026 interims do not show agency commission as a separate line; they report one figure for 'Management expenses (Including Claims & Commission)' [2 p.2].

What the interims show. That combined line fell 18.6% to Tk 718m in H1 2026 while net premium rose 7.6% to Tk 1,232m; the line fell from 77.0% to 58.3% of net premium, and underwriting profit rose 48.7% to Tk 705m [2 p.2] [12]. In the first quarter, on the company (separate) accounts, underwriting profit more than doubled to Tk 275m [3 p.6] [12]. Because the interims combine claims, commission and management expenses, we cannot say how much of the fall is commission. The interims also do not show gross premium, so the effect on premium cannot be measured before the FY2026 annual report. In 2025 agency commission was Tk 527m, 9.8% of gross premium and 23.0% of net premium [12].

Management-expense limits. The company does not state its allowable management-expense limit or its compliance with it in the pages we read. The auditor reports, under section 63(2) of the Insurance Act 2010, that all management expenses were 'duly debited to the related Revenue Accounts and the profit or loss account' [1 p.331]; it does not comment on the limit. On our arithmetic, management expenses in the revenue accounts plus agency commission were 25.7% of gross premium in 2025, and 34.0% if the Tk 444m of unallocated management expenses is added [12]. The Business Standard reported on 14-Sep-2025 that IDRA had drafted lower caps, for example cutting the marine cap on premium above Tk 1.2bn from 16% to 6% and the fire and general cap from 22% to 12% [11]. That is a draft reported by one outlet; we do not compare Green Delta's ratio with it as a test of compliance.

Solvency. Available solvency margin rose 73% from Tk 1,492m to Tk 2,583m in 2025 against a required Tk 1,069m [1 p.139]. Our arithmetic gives 2.42 times; the company prints 2.40. For 2022 the printed ratio (2.00) does not match the margins on the same table (908/519 = 1.75) [1 p.139] [12]. Green Delta's 2025 cover is below Reliance's printed 3.03 [4 p.87] and City's 3.42 [6 p.366]. The filing does not explain the Tk 1,091m jump in the available margin.

Five-year ratios: premium up 8.9% a year, ROE 8.6-10.8%, underwriting margin down from 77.8% to 51.0%

Growth. Gross premium rose from Tk 3,843m in 2021 to Tk 5,400m in 2025, an 8.9% annual rate, but not smoothly: it fell 9.6% in 2024 and rose 31.5% in 2025 [1 p.107] [12]. The company's quarterly table shows the 2025 rise spread across all four quarters, with Q3 at Tk 1,570m against Tk 846m a year earlier [1 p.99]. Net premium grew at a similar pace because retention barely moved [12].

Profit mix. Underwriting profit exceeded pre-tax profit in four of the five years (95.8% in 2021, 101-116% in 2022-2025) [12]. That means investment income, plus other income, did not cover unallocated management expenses, finance cost, depreciation and WPPF. Investment income as printed in the five-year table rose from 25.0% to 38.7% of pre-tax profit [12]. Profit after tax fell from Tk 787m in 2021 to Tk 602m in 2024 before recovering to Tk 685m [1 p.107].

Returns. Return on average equity was 10.8% in 2022, 8.8% in 2023, 8.6% in 2024 and 9.8% in 2025 [12]; the company prints 12%, 11%, 9%, 9% and 10% for 2021-2025 [1 p.107]. Returns are held down by a large equity base relative to the insurance book: net premium was only 0.32 times equity in 2025 [12], and about a fifth of equity is tied up in subsidiaries and the associate (both loss-making in 2025) and the margin loan [12]. The effective tax rate was 32.1% [12].

Cash conversion. Operating cash flow was 1.24 times profit after tax in 2025 and 0.30 times in 2024 [12]. The swing comes from working capital: in 2024 the company paid down Tk 1,122m it owed reinsurers, and in 2025 that line was flat [1 p.369]. Over 2022-2025 operating cash flow added up to 0.88 times cumulative profit after tax, on our arithmetic from the five-year table.

Peers on one definition: Green Delta's 38.9% combined ratio against 53.1% at Reliance, 68.1% at Pioneer and 74.9% at City

Each peer figure below is taken from the peer's own 2025 annual report. We apply one combined-ratio definition to all four: (net claims + management expenses in the revenue account + agency commission - reinsurance commission including profit commission) / net premium. The peers print their own ratios on different bases, and we quote the labels: Reliance prints a 'Combined ratio' of 82.48% [4 p.87], Pioneer a 'Combined Ratio' of 68.07% [5 p.11], and City a 'Combined ratio' of 71.32 [6 p.366]. Green Delta prints none.

What the table shows. Green Delta and Reliance write the same amount of gross premium, but Green Delta keeps 42.5% against Reliance's 29.5% [12]. Green Delta's claims ratio (17.2%) is the lowest of the four, and its reinsurance commission is the largest relative to net premium (38.9%) [12]. That commission is why its combined ratio is lowest. Its management expenses plus agency commission (25.7% of gross premium) sit between Reliance (17.8%) and Pioneer (31.2%) [12]. The comparison has a limit: Green Delta keeps Tk 444m of management expenses outside its revenue accounts [1 p.341], and Reliance Tk 137m [4 p.86]; neither is in the combined ratio.

Returns and payout. Green Delta's 2025 return on year-end equity was 9.5%, against 10.7% at Reliance, 9.7% at Pioneer and 14.6% at City [12]. Investment and other income is a smaller share of pre-tax profit at Green Delta (39.1%) than at Reliance (57.6%) or City (65.7%) [12]. Green Delta paid out 39.5% of company EPS as cash, against 35.6% at Reliance, 65.7% at Pioneer and 29.4% at City [12]. Reliance's printed solvency ratio is 3.03, shown in its table with a % unit [4 p.87]; City's is 3.42 [6 p.366]; we did not take Pioneer's.

Directors and sponsors own 30.58%; the chief executive holds 9.90%; cash dividends every year, 27% for 2025

Ownership. Directors and sponsors held 30.58% at end-2025 [1 p.88], and DSE shows the same figure at 31-Jul-2026 and 31-Aug-2026 [8]. The six shareholder directors each hold about 2% (the minimum holding for a director): the chairperson Shamsun Nahar Begum Choudhury 2.02%, Dilruba Chowdhury 2.06%, Sayera Khatun Choudhury 2.03%, Delwara Absar 2.02%, Iqbal Khan (Jamal) 2.06% and Mesbah Dilwar Rahman 2.02% [1 p.89]. The managing director and chief executive, Farzanah Chowdhury, holds 9.90%, the largest disclosed holding [1 p.89]. The company reports no shareholder with 10% or more [1 p.89]. The founding managing director, Nasiruddin Ahmad Choudhury, co-founded the company in 1985 and is now an adviser [1 p.56].

Board. Two independent directors, Md. Habibullah Monju and Kazi Mustaid Murshed, joined on 20-Aug-2025; their appointment is to be put to shareholders, and the appointment of a female independent director is described as 'in progress' [1 p.52] [1 p.144]. The board and its committees met 15 times in 2025 [1 p.144]. Directors received Tk 0.95m in fees and expenses, and the notes state that they took no other benefit [1 p.370] [1 p.371]. The chief executive is also an independent director of DESCO, Bata Bangladesh and Linde Bangladesh [1 p.57].

Related parties. The related-party note lists only the subsidiaries [1 p.370]. The largest exposures are the Tk 140m margin loan to Green Delta Securities, on which Tk 49m of interest was receivable at year-end, and Tk 40m of rent and service charges owed by Professional Advancement Bangladesh [1 p.370]. The note says all such transactions are 'conducted at arm's length at normal commercial rates' [1 p.370]. The note does not list premium written for directors' other companies, and the annual report states 'Parent, Subsidiary, Associated Companies & Other Related Parties: Nil' under shareholding [1 p.89].

Dividends. DSE lists cash dividends of 25% for 2015, 20% for 2016 and 2017, 10% for 2018, 15% for 2019, 24.5% for 2020, 30% for 2021, 25% for 2022-2024 and 27% for 2025, with stock dividends of 10% (2018), 5% (2019) and 7.5% (2020) [8]. For 2025 the board proposed a 27% cash dividend (Tk 2.70 a share) and no interim dividend [1 p.144]; the AGM was set for 31-Mar-2026 with a record date of 8-Mar-2026 [1 p.11], and Tk 270m of dividend was paid in H1 2026 [2 p.4]. The payout was 39.5% of company EPS and 49.6% of consolidated EPS [12]. The company also holds a Tk 110m dividend equalisation fund, created 'for making proposed and approved dividend payments consistently' in a bad year [1 p.356].

2026 so far: underwriting up, investment income down, nine-month EPS Tk 3.53 against Tk 3.63

Consolidated EPS was Tk 0.73 in Q1 2026 (Tk 1.03), Tk 1.86 in Q2 (Tk 1.79) and Tk 0.94 in Q3 (Tk 0.81), giving Tk 3.53 for nine months against Tk 3.63 [3 p.2] [2 p.2] [8] [9]. Consolidated NAV per share was Tk 74.89 at 30-Sep-2026 [9]. The first-quarter figure shows the pattern: consolidated underwriting profit rose from Tk 125m to Tk 276m, but investment and other income fell from Tk 207m to Tk 102m and a Tk 54m WPPF charge appeared [3 p.2]. The full Q3 accounts were not in our corpus; only the DSE-announced EPS, NAV and NOCFPS are used.

Investment income in 2026. H1 2026 investment income (excluding brokerage commission) fell from Tk 258m to Tk 167m [2 p.2]. The interim does not explain the fall. Over the same period the investment fluctuation fund in consolidated equity rose from Tk 436m to Tk 979m [2 p.1], an unrealised gain on listed shares that goes to equity, not to profit. That is the main reason consolidated NAV per share rose from Tk 70.53 to Tk 75.83 in six months [2 p.1].

Market facts. The shares closed at Tk 62.2 on 29-Oct-2026, 14.1% above the Tk 54.5 close a year earlier; the 52-week range was Tk 43.0-76.1 [7] [8]. At that price the market value was Tk 6.23bn on 100.19m shares [1 p.368] [7]. The shares traded at 9.1 times 2025 company EPS, 11.4 times 2025 consolidated EPS, 0.87 times 2025 company NAV per share and 0.83 times the Q3 2026 consolidated NAV, with a 4.3% yield on the 2025 dividend [12]. At the 2021-2025 year-ends the P/E ranged from 7.6 to 13.5 times and the P/B from 0.71 to 1.58 times [1 p.107] [12]. We state these as facts only and draw no conclusion from them.

What's next: the first full year without agency commission, IDRA's expense caps, and the FY2026 accounts

These are the known events that will move Green Delta's lines, with dates and sources. We do not forecast numbers.

Commission and premium. The first-half accounts show the combined claims, commission and management line down 18.6% while net premium rose 7.6% [2 p.2] [12]. In 2025 agency commission was Tk 527m [1 p.344], so its removal is the largest single change to the cost base. What the interims cannot show is whether agents' business stayed: gross premium is not reported in the interim statements. The FY2026 class revenue accounts will answer both questions. Each 1pp of gross premium paid as agency commission was Tk 54m in 2025 [12].

Investment income and finance cost. Both lines move with interest rates. In 2025 fixed-deposit interest was Tk 148m and finance cost Tk 402m [1 p.366] [1 p.369]. On the 2025 balances, each 1pp change in the overdraft rate moved finance cost by about Tk 26m, and each 1pp on fixed-deposit yields moved interest income by about Tk 15m [12]. Both are history-based sensitivities, not forecasts.

Subsidiaries. The broker and merchant bank depend on the stock market. Green Delta Securities lost money in each of 2023-2025 [1 p.384], and Green Delta Capital swung to a loss in 2025 [1 p.425]. Their results, together with the listed-share book, decide the gap between company and group EPS.

Risks: an unexplained reinsurance receivable, borrowing costs above investment income, loss-making subsidiaries, and a share book that swings equity

The largest balance-sheet risk is the Tk 3,989m due from reinsurers and SBC [1 p.364]. It is larger than half of shareholders' equity, it grew in 2025, and the filing gives no split between SBC and foreign reinsurers, no ageing and no provision. If part of it proved hard to collect, both cash and equity would be affected. The second is the funding structure: finance cost on Tk 2,635m of short-term borrowing was larger than all investment and other income in 2025 [1 p.363] [1 p.369], so higher rates hurt the company even though it is a large deposit holder. The third is the group: the two capital-market subsidiaries lost a combined Tk 85m in 2025 [1 p.384] [1 p.425], and the listed-share book moved equity by Tk 95m in 2025 and by much more in H1 2026 [1 p.342] [2 p.1]. Finally, the underwriting result depends on reinsurance commission (Tk 893m in 2025) [1 p.344]; any change in reinsurance terms moves the combined ratio directly.

• Full Q3 2026 accounts (results announced 29-Oct-2026): investment income and the claims-commission-expense line.
• FY2026 annual report (expected around Feb-2027): notes 13 (borrowing), 17 (reinsurance receivable), 26 (investment income) and the class revenue accounts.
• IDRA's final management-expense rules (no date announced).
• CRAB rating renewal (previous rating valid to 30-Jun-2026).
• Subsidiary results for 2026 in the FY2026 annual report.

Five-year history

Figures for 2021-2023 are from the 2025 annual report's five-year table, which rounds to Tk 1m [1 p.107]; 2024 and 2025 use the audited statements [1 p.338] [1 p.341] [1 p.344]. All are company (separate) figures; consolidated EPS was Tk 5.39 in 2024 and Tk 5.44 in 2025 [1 p.368]. History before 2021 is limited to underwriting profit by class (2020) [1 p.140]; the 2020 and 2021 annual reports in our corpus are statement-only extracts and were not used.

FAQ

Why is Green Delta Insurance's combined ratio so low?

Because it cedes most of its fire business and earns large reinsurance commission. In 2025 it ceded Tk 3,107m of premium and earned Tk 893m of commission, more than its Tk 527m of agency commission. Net claims were 17.2% of net premium. On net claims plus revenue-account management expenses plus agency commission less reinsurance commission, over net premium, the combined ratio was 38.9%.

How much does Green Delta have due from reinsurers and SBC?

Tk 3,989m at end-2025, 55.5% of shareholders' equity, up from Tk 3,854m. The annual report does not split it between Sadharan Bima Corporation and foreign reinsurers or give an ageing.

Why is consolidated EPS lower than company EPS?

The subsidiaries lost money in 2025: Green Delta Securities lost Tk 52m and Green Delta Capital Tk 33m. Consolidated profit attributable to shareholders was Tk 545m (EPS Tk 5.44) against Tk 685m (EPS Tk 6.84) for the company.

What happened to agency commission in 2026?

The Business Standard reported that IDRA suspended individual agent licences of non-life insurers from 1-Jan-2026, and Reliance Insurance's annual report gives the same date. Green Delta's interims combine claims, commission and management expenses in one line, which fell 18.6% in H1 2026 while net premium rose 7.6%.

What dividend did Green Delta pay for 2025?

A 27% cash dividend, Tk 2.70 a share, 39.5% of company EPS. It has paid a cash dividend every year since at least 2015; the last stock dividend was 7.5% for 2020.

Sources

1. Green Delta Insurance PLC Annual Report 2025 (corpus GREENDELT_ANNUAL_2025_2, 482 pages; PDF page numbers, printed page = PDF page - 2) · link · accessed 2026-10-31
2. Green Delta Insurance PLC un-audited consolidated financial statements to 30-Jun-2026 · link · accessed 2026-10-31
3. Green Delta Insurance PLC un-audited financial statements to 31-Mar-2026 (consolidated p.1-4, separate p.5-8) · link · accessed 2026-10-31
4. Reliance Insurance PLC Annual Report 2025 (peer; directors' report p.77, summary of accounts p.86, highlights p.87) · link · accessed 2026-10-31
5. Pioneer Insurance PLC Annual Report 2025 (peer; financial ratios and five-year summary p.11) · link · accessed 2026-10-31
6. City Insurance PLC Annual Report 2025 (peer; five-year summary p.366, consolidated revenue account p.394) · link · accessed 2026-10-31
7. AnalystBro market data: DSE daily bars for GREENDELT, RELIANCINS, PIONEERINS and CITYGENINS to 29-Oct-2026 · link · accessed 2026-10-31
8. Dhaka Stock Exchange company page for GREENDELT (old.dsebd.org): interim EPS 2026 (Q1 0.73, Q2 1.86, Q3 0.94, 9M 3.53), cash dividend history 2015-2025, shareholding at 31-Dec-2025, 31-Jul-2026 and 31-Aug-2026, 52-week range · link · accessed 2026-10-31
9. DSE announcements via AnalystBro events: LR19 board meeting 15-Feb-2026; Q2 2026 results 2-Aug-2026 (NAV Tk 75.83); Q3 2026 results 29-Oct-2026 (9M EPS Tk 3.53, NAV Tk 74.89, NOCFPS Tk 2.78); Q3 2025 results 30-Oct-2025 (9M EPS Tk 3.63, NOCFPS Tk 6.25) · link · accessed 2026-10-31
10. The Business Standard, 'IDRA scraps commission payments in non-life insurance sector', 24 Dec 2025 · link · accessed 2026-10-31
11. The Business Standard, 'IDRA moves to reduce management expenses in non-life insurance', 14 Sep 2025 · link · accessed 2026-10-31
12. AnalystBro history and ratio model for GREENDELT (model.xlsx, the workbook below) · link · accessed 2026-10-31