SALAMA Cooperative Insurance Co.

SALAMA Cooperative Insurance Co. (SALAMA) is a Saudi Arabian insurance provider operating under the cooperative insurance model mandated by the Saudi Arabian Monetary Authority (SAMA). The company offers a range of property and casualty insurance products, including motor, medical, property, marine, and general accident insurance. As a cooperative insurer, SALAMA operates on a mutual basis where policyholders are considered members and share in the company's profits or losses. The company is listed on the Saudi Exchange (Tadawul) under ticker 8050.

SALAMA generates revenue primarily through insurance premiums collected from policyholders. Its business model involves underwriting risks across various segments, with motor and medical insurance being the largest contributors. The company also earns investment income from its portfolio of cash and liquid assets, which stood at 128.63 million SAR as of the latest period. SALAMA operates with low debt (15.22 million SAR) and has a price-to-sales ratio of 0.37, indicating a relatively low valuation relative to revenue.

The company competes in the highly fragmented Saudi insurance sector, which includes both large players like Tawuniya and Bupa Arabia and smaller specialized firms. SALAMA's market capitalization of 227.70 million SAR positions it as a small-cap insurer. The industry has faced profitability challenges due to intense price competition and regulatory changes. SALAMA's profit margin is negative (-10.41%), reflecting underwriting losses, though revenue grew 22.36% year-over-year and earnings improved 90.62% (likely from a low base). The company's EV/EBITDA of 2.90 suggests it is valued cheaply relative to earnings before interest, taxes, depreciation, and amortization.

SALAMA's primary customers are individuals and businesses in Saudi Arabia seeking insurance coverage for vehicles, health, property, and other risks. The company distributes its products through a network of agents, brokers, and direct channels. Its geographic focus is exclusively the Saudi market, with no international operations. The target audience includes both retail customers (for motor and medical policies) and corporate clients (for property, marine, and general accident insurance). Given the mandatory nature of motor and health insurance in Saudi Arabia, SALAMA benefits from a steady demand base.

An auto-generated descriptive profile based on company data, for informational purposes only.