AIICO Insurance Plc has posted N14.8 billion growth in revenue in its unaudited results for the interim period ended March 31, 2023.
The company first quarter (Q1) results released on the Nigerian Exchange Limited revealed that under the IFRS 4 standard, premiums written grew 28.7 per cent year-on-year to N31.7 billion from N24.7 billion in Q1, 2022. Insurance service result, which is insurance revenue less expenses increased 318.0 per cent year-on-year to N1.95 billion in Q1 2023 from N466 million in Q1 2022, due mainly to the increase in revenue during the quarter.
Total income, or net insurance and investment result grew 4.9 per cent to N4.7 billion as against N4.5 billion in Q1 2022. Profit before income tax from continuing operations increased 50.1 per cent to N1.4 billion higher than N0.9 billion in full year 2022.
The company’s continuing operations have benefited from improved asset-liability management and risk selection, especially in our corporate business, which have reduced the volatility of the company’s financial position. These are effects that we expect to persist over time.
Profit for the interim period declined to N1.4 billion compared to N4.3 billion in Q1 2022, due solely to the profits earned on the sale of our pensions business in 2022.
Total assets increased by 2.2 per cent to N280.6 billion as of Q1, 2023 from N274.6 billion in full year, 2022, while total equity increased by 1.9 per cent to N44.6 billion from N43.7 billion in December, 2022.
Speaking on the results, the managing director and chief executive officer of AIICO Insurance, Mr. Babatunde Fajemirokun said;0: “we are proud to retain the trust of our customers despite the challenging economic environment in the first quarter of 2023.
“It is a testament to the investments we have made in improving our value proposition, productivity and embedding digital across our organization.
We continue to see improvements in the performance of our parent and subsidiary businesses, furthering our ambition to be a diversified financial services group.”
CFO of AIICO Insurance, Oladeji Oluwatola stated that, “the introduction of IFRS 17 as the standard for insurance reporting heralds a shift, not just in the way we report, but how investors and analysts should examine the fundamentals of a sustainable insurance business.
“With this new standard, the investing public can better compare results between firms, regardless of their business model or the types of products they sell, a key improvement from the previous IFRS 4 standard.”
