Statement of Cash Flows

Statement of Cash Flows

For the year ended 31 December 2018

     
  Notes 2018 2017
  AED AED
   
OPERATING ACTIVITIES  
Net profit for the year 10,643,090 8,120,127
Adjustments for non-cash items:  
Depreciation of property and equipment 4 1,161,219 949,598
Impairment of investment properties 5 1,038,961
Change in fair value for investments carried at FVTPL 15 3,905,241 267,623
(Gain) / Loss on sale of investments carried at FVTPL 15 (861,732) 2,455,888
Gain on disposal of property and equipment –   (34,500)
Interest and dividend income 15 (5,409,026) (5,581,879)
Provision for employees end of service benefits 12 549,978 453,308
Bad debts expense 8, 16 1,651,296 386,991
(Increases) / Decreases in technical provisions

(7,386,896)

18,367,774

Operating profit before changes in working capital 5,292,131 25,384,930
 
Change in working capital    
Decrease / (Increase) in premium and insurance balances receivable 12,890,745 (7,988,169)
Decrease in reinsurance shares of outstanding claims 3,626,958 3,585,319
(Increase) in other receivables and prepayments (3,460,068) (2,888,329)
Increase in insurance and other payables

5,545,152

6,382,049

Cash flow generated from operating activities 23,894,918 24,475,800
Employees’ end of service benefits paid (7,578)
Directors’ remuneration

(730,000)

Net cash flow generated from operating activities 23,157,340 24,475,800
INVESTING ACTIVITIES  
Payments for purchase of property and equipment 4 (1,233,122) (1,298,463)
Payments for purchase of investment properties 5 (40,000,000)
Proceeds from disposal of property and equipment –   34,500
Proceeds from redemption/disposal of investments carried at amortized cost 6 7,786,521 10,588,479
Purchase of investments carried at FVTOCI 6 (39,159,148) (21,225,140)
Proceed from sale of investments carried at FVTOCI 2,579,520 18,217,087
Purchase of investments carried at FVTPL 6 (17,255,368) (12,635,339)
Proceed from sale of investments carried at FVTPL 8,622,871 6,157,082
Interest and dividend received

5,409,026

5,581,879

Net cash (used in) / generated from investing activities (73,249,700) 5,420,085
   
Net change in cash and cash equivalents (50,092,360) 29,895,885
 
Cash and cash equivalents, beginning of year 109,079,032 79,183,147
 
Cash and cash equivalents, end of year 10
58,986,672
109,079,032