A small but financially rock-solid Islamic (Takaful) insurer that has paid a steady yearly dividend — though its profit has been slowly shrinking.

Takaful Islami Insurance PLC is an insurance company that has been listed on the Dhaka Stock Exchange since 2008. "Takaful" is the Islamic form of insurance: instead of an ordinary insurance contract, customers contribute to a shared pool that is used to help members who suffer a loss, and the whole arrangement is run to follow Islamic rules. So its main appeal is to people and businesses that want protection in a Sharia-compliant way.

It is a small company. Its owners have put in about Tk 42.6 crore of capital (paid-up capital), split into roughly 4.26 crore shares of Tk 10 face value each, and it has built up about Tk 36.9 crore of retained reserves on top of that. That places it among the smaller names in a crowded insurance sector.

Being small and focused on a niche — Islamic insurance — shapes everything about it. It is a steady, cautious business rather than a big, fast-moving one.

Like any insurer, its money comes from two places. First, customers pay premiums (contributions) in return for insurance cover; the company keeps that money and only pays out when someone makes a valid claim. If claims in a year come to less than the premiums collected, the difference is profit.

Second — and this is a big part for an insurer — it earns a return on the large pool of money it holds on behalf of policyholders. It invests those funds, and the income from those investments adds to its earnings. In recent years its core operating profit has held fairly steady at roughly Tk 7 to 8.5 crore a year.

A note on the numbers: for an insurer, "sales" do not show up as a single clean revenue line the way they do for a normal company, so the most reliable way to judge this business is by its profit and its dividend — which we look at next.

The good news is that Takaful has been profitable in every single year. Its yearly profit was about Tk 7.03 crore in 2020, jumped to a high of about Tk 9.6 crore in 2021, and then settled back to around Tk 6 crore for a few years (Tk 6.33 crore in 2022, Tk 6.27 crore in 2023, Tk 6.22 crore in 2024) before easing to about Tk 5.17 crore in 2025.

Measured per share, earnings followed the same path: Tk 1.65 in 2020, a peak of Tk 2.25 in 2021, then Tk 1.49, Tk 1.47, Tk 1.46, and Tk 1.21 in 2025. Over the whole 2020-to-2025 stretch, profit is down about 26% and earnings per share about 27%. So the direction has clearly been gently downhill, even though the company never once lost money.

One recent bright spot: in the first quarter of 2026 the company reported earnings per share of Tk 0.60, up from Tk 0.40 in the same quarter a year earlier. That is only a single quarter, but it hints that the multi-year profit slide may be steadying.

This is the company's strongest area. It carries very little debt: its total borrowing is only about Tk 11.7 crore against shareholders' money of roughly Tk 80 crore. In several years its debt was tiny — around Tk 1.14 crore in 2022, for example — so it is nowhere near being stretched.

An independent rating agency, National Credit Ratings Limited, gave it a "AAA" long-term rating, which is the highest grade, with a stable outlook. That is a strong outside vote of confidence in its ability to pay what it owes.

Cash generation has been mostly healthy too. Cash from its operations was about Tk 13.3 crore in 2021, Tk 9.51 crore in 2022, and Tk 9.07 crore in 2024, with one negative year in 2023 (about minus Tk 2.58 crore). Insurance cash flows can swing from year to year, but the multi-year picture is comfortably positive, and its shareholders' funds have stayed steady near Tk 80 crore.

Takaful has a reliable dividend habit. It has paid a cash dividend in every year we have data for: 10% of face value in 2020, 11% in 2021, 12% in 2022, and 10% in each of 2023, 2024 and 2025. On a Tk 10 face value, that works out to roughly Tk 1.0 to Tk 1.2 per share each year, and for 2025 it declared 10%, or Tk 1.0 per share.

The reliability is a genuine plus — this is a company that keeps paying its owners. The thing to watch is that, as profit has fallen, the dividend now swallows most of what the company earns: in 2025 it paid out about Tk 1.0 per share from earnings of about Tk 1.21 per share.

That leaves little left over to reinvest in growth, and it means that if profit were to fall much further, keeping the dividend at the same level would get harder. For now, though, it has comfortably kept the payment going.

Takaful's clearest edge is its niche together with its financial discipline. As an Islamic (Takaful) insurer it appeals to a specific group of customers who want Sharia-compliant cover, and it backs that up with an unusually clean, low-debt balance sheet and a top credit rating. Its owners are also heavily invested: sponsors and directors hold about 48.9% of the shares, so the people running the company have a lot of their own money at stake, and one director recently added a large block of shares.

Beyond that, though, its edge is limited. It is a small player in a sector packed with dozens of insurance companies, which makes it hard to stand out or to push up prices. The profit it squeezes from its shareholders' money is modest — about Tk 5.17 crore of profit on roughly Tk 80 crore of shareholders' funds in 2025.

Compared with other insurers in our data — such as United Insurance, Reliance Insurance, Sena Insurance, Peoples Insurance and Pragati Insurance — Takaful is one of the smaller and slower names: several of those peers have been growing their yearly earnings, while Takaful's have been drifting lower. So the honest read is safety and a niche, rather than a powerful competitive advantage.

• Rock-solid finances. Almost no debt (about Tk 11.7 crore against roughly Tk 80 crore of shareholders' money) plus the highest "AAA" long-term credit rating give it real staying power.
• Dependable dividend. It has paid a cash dividend in every year on record, most recently 10% (Tk 1.0 per share) for 2025 — welcome for income-focused holders.
• Owners are aligned. Sponsors and directors hold about 48.9% of the company, and a director recently bought a large block of shares, a sign of insider confidence.
• A distinct niche. As an Islamic (Takaful) insurer it serves customers who specifically want Sharia-compliant cover.
• Possible early turn. First-quarter 2026 earnings per share (Tk 0.60) came in above the same quarter a year earlier (Tk 0.40), an early hint that the multi-year profit slide may be steadying.

• Shrinking profit. Both profit and earnings per share have fallen over 2020-2025 (profit down about 26%, earnings per share down about 27%), and a falling trend is the biggest concern here.
• Small and undifferentiated. It is a minor player in a crowded insurance sector, with limited power to set prices or win business from bigger rivals.
• Modest returns. The profit it earns on its shareholders' money is on the low side, and it has been slipping.
• Stretched payout. The dividend now uses up most of the yearly profit (about Tk 1.0 paid from Tk 1.21 of earnings per share in 2025), leaving little for growth and less cushion if profit falls further.
• Lumpy cash flow. Insurance results can swing from year to year — cash from operations was actually negative in 2023 — so any single year can look weak.

Takaful Islami Insurance is, at heart, a safety-and-income story. If you are a patient investor who values a very safe balance sheet and a dependable yearly dividend, and you are comfortable owning a small company in a niche, it has clear appeal.

If you are looking for fast growth or a company that is plainly gaining ground on its rivals, this probably isn't it — its profit has drifted down for years and its competitive edge is modest. The key thing to watch is whether the small first-quarter 2026 improvement grows into a genuine turnaround, or whether earnings keep sliding.

As always, weigh this against the live value estimate and the current signal shown beside this report, and against your own goals, before making any decision.