AIICO Announces N7.55bn Profit, Pays 3kobo Dividend

Ebere Nwoji

AIICO Insurance’s plc has announced Profit After Tax of N7.55 billion in its business outing for the year ended December 31,2022 against N4.92 billion profit made by the company in the same period in 2021.

The company announced this  at its 53rd Annual General Meeting held in Lagos .

AIICO’s shareholders at the meeting applauded the growth trajectory achieved by the firm during the period commending  the board and management of the firm for the positive financial performance and sustained dividend payout during the year.

Chairman of AIICO Insurance Plc, Mr. Kundan Sainani, at the meeting, informed the shareholders that the firm’s Gross Premium Written (GPW) stood at N88.28 billion in 2022, compared to N71.63 billion recorded in 2021, while the Gross Premium Income (GPI) was N74.03 billion, as against N61.10 billion achieved in the previous year.

Sainani maintained that the company’s net claims payment was N44.99 billion in the year under review, contrary to N39.91 billion expended in the previous year. According to him, the firm’s total assets in the year were N270.33 billion; total equity, N45.01 billion, and shareholders’ fund, N44.59 billion.

On dividends to shareholders, he noted that the company’s approach to capital allocation has not changed, adding that the firm still has to manage the tension between reinvesting in its businesses and returning cash to shareholders while keeping regulatory and economic capital constraints in view. 

“To manage these tensions, and in recognition of the importance of returning cash to Shareholders, the company has a dividend policy that stipulates a percentage of profits to be returned to shareholders, whenever possible,” he said.

Speaking at the meeting, the National Coordinator, Independent Shareholders Association of Nigeria, (ISAN), Moses Igbrude, said the company’s financial performance amid enormous challenges in the country was  commendable.

Whilst applauding the firm for a 3kobo dividend payout, he implored the firm to do more in insurance education, stressing that getting more policyholders, would beget more profits and return on investment to shareholders.

Another Shareholder, Managing Director Lancelot Ventures Limited, Adebayo Adeleke, commended the firm for recording such a good financial performance.