NASSAU, BAHAMAS — BISX-listed insurer J S Johnson has reported that “all lines of business” were down in its second quarter, with its net income declining by 18 percent.
Alister McKellar, J S Johnson’s managing director, in the company’s second quarter interim report noted that “all lines of business” were down during the quarter, negatively impacting the company’s operating results.
“All lines of business are down during the quarter, negatively impacting our operating results. Some of this may be temporary, with premium payment deferments introduced under the Emergency Orders, but much is lost business that will continue throughout the year,” said McKellar.
He noted that overall lower revenue has led to a drop in net income from $3,679,402 to $3,012,788 — a decline of some 18 percent.
“For our Agency division, the double hit from Dorian and COVID in our Abaco and Freeport markets has also severely limited business activities and contributed to an 11 percent decrease in net revenue – from $9,946,002 to $8,875,111. This revenue fall-off translated into a decrease in net income from $2,772,907 to $1,906,398,” said McKellar.
He noted that a corresponding decline in total expenses has not been enough to counteract that loss.
“Results from our underwriting section remained steady for the quarter, but future revenue may be affected by the fallout from the pandemic and worsening economic conditions in the country. Also, the ever-present threat of the weather is with us, as we move into the peak of the 2020 hurricane season,” he said.
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