MTU and FinLife break into profit

MTU specializes in cheap policies for rural areas and posted 2005 revenues of zł.42.6 million, which was 80% more than in 2004. That gave MTU a net profit of zł.2.7 million, while the previous year the company posted a loss of zł.1.9 million. By the end of this year, however, MTU does not expect the profit to rise by more than up to zł.3 million (on revenues of zł.200 million). The president of MTU, Jarosław Piatkowski, sees growth through internet and telemarketing distribution channels. The other insurance company, FinLife, has adopted a different strategy. It focuses on improving its profitability, which resulted in a net profit of zł.3.1 million in April this year. Revenues, however, fell by half to zł.19.7 million and by the end of this year and they should total zł.75-80 million, but the company expects its annual profit to fall to no more than zł.1 million. (Puls Biznesu, p.12) J.L.