Yemisi Izuora
NEM Insurance Plc, has disclosed a rise in gross premium which it said rose by 24.7 percent to N13.4billion in 2017 over the previous year of N10.8 billion in 2016.
The insurer’s net premium also grew 15.2 percent to stand at N9.8billion in 2017 when compared to N8.5 billion recorded in 2016.
Speaking at the company’s 48th annaual General Meeting held in Ibadan, Oyo State, the chairman of the company, Dr. Fidelis Atebae said the company has declared a dividend of N0.10kobo per share for its investors for the financial year ended 31, December 2017.
He said the dividend is 25percent increase over 8 kobo paid in the preceding year ended 2016.
On its financial performance, he said profit before taxation for the period under review for the group and parent company grew to N3.09billion and N3.08 Billion; with increases of 44.2 percent and 41.0 percent respectively when compared to N2.15 Billion and N2.19 Billion achieved in 2016 for the group and parent company respectively.
Investment income also increased to N709.9million in 2017 as against N479.5million reported in 2016; indicating an increase of 48.1 percent.
The insurer also recorded impressive performances in its financial assets and total assets as both appreciated 47.7 percent and 21.2 percent for both the group and parent company over the preceding year; while improvements of 31.6 percent and 31.3 percent were recorded in total equity for the group and parent company respectively.
Earning per share for the group during the year under review was 53 kobo; while that of the preceding year was 34 kobo; an increase of 52.7 percent. The EPS of the parent company was 52 kobo, an increase of 49. 5 percent over that of the preceding year which was 35 kobo.
Speaking further the Group Managing Director, Tope Smart reaffirmed that despite the challenging competitive operating environment, the company focus on the industry leadership remained unwavering.
He said: “One of the ways we are doing this is brand differentiation. We have continued to delight our numerous customers by providing them with unparalled services and solutions thereby consolidating our position with them.
“Our service delivery mechanism, which is anchored on our core values of humility, integrity, discipline, excellence, empathy and courage (HIDEEC) has helped us in no small measure in our brand differentiation initiative.
“Our associate in Ghana. RegencyNem Insurance Ghana Limited is riding on the synergy of the merger as the company is presently making waves in the Ghanian insurance industry, and is set to contribute significantly to our bottom line in the years ahead.”
On review of its performance, he said:”Our profit after tax increased from N1.8billion in 2016 to N2.8billion in 2017, an increase of 53percent. Our shareholders fund which stood at N7.4billion in 2016 appreciated to N9.7billion in 2017; representing 32 percent increase. Our balance sheet also has remained very healthy.”
He noted that “notwithstanding the intense competition in the industry, we are very positive that with the very formidable structure we have in place, the future of this company is very bright. More than ever before, we are now better positioned to take advantage of anticipated opportunities that may arise in Nigerian insurance space,” he reassured.
He however thanked clients and staff of the company for their commitment to the company, adding that staffs of the company remained the company’s greatest assets.