BY NKECHI NAECHE-ESEZOBOR—Regency Alliance Insurance Plc has announced a strong financial performance for the 2024 financial year, highlighted by a 15.96 per cent growth in total assets to N21.857bn, compared to N18.848bn recorded in 2023.
The Chairman of the company, Mr. Clem Baiye, disclosed this while presenting the firm’s 2024 financial statements at its 31st Annual General Meeting held on Thursday.
He said the impressive growth in total assets reflected the company’s sustained resilience, prudent investment strategy, and commitment to strengthening its balance sheet amid economic challenges.
According to him, the insurance group’s shareholders’ fund also recorded significant growth, rising by 19.24 per cent to N13.972bn in 2024 from N11.718bn in the previous year. The equity attributable to the company increased to N14.044bn from N11.778bn in 2023.
The company’s insurance revenue rose to N7.302bn in 2024, a 20.03 per cent increase over the N6.083bn recorded in 2023, underscoring business expansion and improved underwriting activities.
However, insurance service expenses, which include incurred claims and other technical expenses, grew by 46.37 per cent from N2.813bn in 2023 to N4.117bn in 2024.
Baiye explained that despite rising costs, the company continued to manage its resources prudently, as shown by a modest 7.66 per cent increase in management expenses year-on-year.
Investment income also rose to N1.165bn in 2024, up from N0.923bn in 2023. In line with market realities, the company revalued its investment property, recognising a fair value gain of N170m in the profit or loss statement.
As a result of these positive outcomes, profit before tax climbed to N2.503bn, representing a 19.49 per cent increase over N2.095bn recorded in 2023, while profit after tax grew by 16.73 per cent to N2.254bn from N1.931bn in the previous year.
To reward shareholders, the board proposed a bonus issue of one new ordinary share for every three held.
Baiye added that the board had also approved plans for a rights issue and private placement to raise the required minimum capital of N15bn in line with the new Insurance Industry Reform Act (NIIRA) 2025.
The Managing Director, Mr. Bode Oseni, assured shareholders that upon completion of the capital raising exercise, the new shares would be allotted and listed on the Nigerian Exchange, positioning Regency Alliance to become a top player in Nigeria’s non-life insurance market.
“The Board is convinced that our company has the potential to become a leading force in the non-life insurance space,” Oseni stated.
