Karachi: The United Insurance Company of Pakistan Limited has successfully adhered to the Pakistan Stock Exchange (PSX) regulations concerning the free float of shares, according to an independent reasonable assurance report. The report, issued by an independent auditor, covers the company's free float statement as of March 31, June 30, September 30, and December 31, 2024, aligning with Regulation No. 5.7.2(b)(ii) of the PSX Regulations.

According to the assurance report, the company has fulfilled its obligation to submit an annual Free-Float Certificate, verified by an auditor, to the PSX. The management of United Insurance is responsible for preparing the statement in accordance with the criteria set by the PSX Regulations. This includes maintaining adequate records and implementing internal controls to ensure the statement is free from material misstatement due to fraud or error.

The auditor's responsibility was to express an opinion on whether the statement was prepared in accordance with the applicable criteria. This involved performing procedures to gather evidence about the free float of shares and related information in the statement. The auditor assessed risks of material misstatement and evaluated the presentation of the statement.

The report highlights that the total outstanding shares of United Insurance remained constant at 346.75 million throughout the quarters of 2024. However, shares held by directors, sponsors, and senior management officers, along with associates, showed a slight increase from 19.13 million in the first quarter to 20.08 million by the end of the year. Shares held in physical form significantly reduced from 76.35 million in the first quarter to 1.97 million in subsequent quarters. Cross holdings by associate and group companies remained steady at 280.52 million from the second quarter.

The free float of shares, which represents the shares available for trading in the open market, was recorded at 45.13 million in the first quarter and slightly decreased to 44.18 million by the end of the fourth quarter.

According to information available from the Pakistan Stock Exchange (PSX), the report further affirms that the computation of free float shares aligns with the PSX regulation, ensuring compliance and transparency in the company's financial practices.

The assurance engagement was conducted in accordance with International Standard on Assurance Engagements 3000 (Revised), which requires obtaining a reasonable level of assurance about the statement's accuracy. The auditor also emphasized compliance with ethical standards as outlined by the Code of Ethics for Chartered Accountants issued by the Institute of Chartered Accountants of Pakistan.

The report concludes with an opinion stating that the statement as of March 31, June 30, September 30, and December 31, 2024, is prepared in accordance with the PSX Regulations. This assurance report is specific to the requirements of the PSX and is not intended for any other purpose.