AIICO Insurance Plc has recorded a profit after tax of N12 billion for the financial year ended December 31, 2023.

The figure represents an increase of N6.8 billion or 132.6 per cent from N5.2 billion posted during the corresponding period of 2022.

Kundan Sainani, chairman of the AIICO board of directors, said in a statement on Monday after the company’s 54th annual general meeting in Lagos.

Mr Sainani stated that the insurer also recorded a gross written premium of N110.1 billion during the year under review against N88.3 billion posted in 2022. He noted that the year 2023 produced other significant gains for the company due to the meticulous execution of the firm’s business strategy.

The chairman noted that the result was achieved following the company’s transition from IFRS 4 to IFRS 17 standard and a yield of insurance revenue of N72.6 billion in 2023, from N54.8 billion recorded in 2022.

The AIICO chairman said the results were achieved due to socio-economic challenges that contributed to the rise of domestic prices. The economic challenges, Mr Sainani said, were characterised by the increase in monetary policy rate, inflation, removal of fuel subsidy, forex scarcity and the 2023 fiscal bill.

He said, “Despite this unsettling landscape, 2023 was another strong year for AIICO, with the firm generating impressive record revenue and substantial growth. Our profits for the period increased by 132.6 per cent to N12 billion from N5.2 billion in 2022, reflecting strong underlying performance across our businesses.”

Projecting into the future, Mr Sainani said AIICO remained resilient and adaptable, ready to provide more favourable terms to its valued customers and strategically invest in opportunities that yield positive returns.

AIICO’s CEO, Babatunde Fajemirokun, assured the shareholders of high value and better returns on investment in the years ahead.

Mr Fajemirokun said both the board and management of the insurance company were considering devoting a bigger chunk of future profits to dividend payments.

Responding, shareholders of the underwriting firm commended the board and management of AIICO for strengthening the company’s fundamentals and growing its asset base.

(NAN)