Argus Group Holdings reported a 7.5 per cent increase in net earnings in the year ended March 2023 as sales rose and interest income grew.

“Of particular note is how Argus continues to lead the way in shifting healthcare systems that prioritise and incentivise lower cost and more outcome-oriented healthcare delivery through our Better Health Partnership,” said David Brown, chairman, Argus Group.

While gross written premiums at $9.9 million are still below levels reported in March 2020, the long-term trend as measured by other metrics is positive. Return on equity was at 19.5 per cent in the year ended March 2023, from 12.6 per cent in 2019, and net income is up from $14.2 million in 2019 to $27.7 million in 2023.

Shareholder equity is up from $121.9 million in March 2019 to $141.3 million in March 2023, though it is down from $149.7 million in March 2021.

“Our track record for building shareholder value has been reliable against a backdrop of challenging and volatile times. We have achieved this through solid operating earnings, revenue diversification and continued commitment to careful and diligent custodianship of policyholder and shareholder assets,” the report said.

The company paid a 12-cent final dividend, up from 11 cents a year earlier, which is on top of the 11-cent interim dividend (up from 10 cents in the year-earlier period).

Argus noted its successful business expansion especially through acquisition, although a deal it mentions, the purchase of a large stake in BF&M, has since run into problems.

“Our team has made smart, bold decisions by investing in new capabilities and new markets. It has delivered a series of financially successful acquisitions, post deal integrations and latterly moved quickly to acquire a 37 per cent stake in a local competitor. We believe that this stake is better in the hands of an accountable local community partner, rather than owned by a large overseas insurance group. We consider this a sensible investment and an attractive proposition for our shareholders,” said Alison Hill, group chief executive, in the report.