BY NKECHI NAECHE-ESEZOBOR— Guinea Insurance PLC, a leading player in Nigeria’s insurance industry, said it paid a total of N142 million to policyholders at the end of the financial year ended 31st December, 2022.
The insurer disclosed this at its 65th Annual General Meeting (AGM), held at The Providence Hotel in G.R.A., Ikeja, Lagos State, that its claims payment grew by 194.63% over N48.2 million settled in 2021.
Speaking on its financial statement, the chairman of the company, Ugochukwu Godson said its Gross Premium Written rose slightly to N1.359 billion, representing a 0.22% improvement over the preceding year.
While Gross Premium Income exhibited significant growth, surging from N1.34 billion in 2021 to N1.39 billion in 2022, marking an impressive 3.73% increase.
Shareholders were made to know that Net Premium Income also registered substantial expansion, reaching N960 million in 2022, a commendable 9.18% increase compared to the N879 million reported in 2021, this the company attributed to the company’s strategic expansion into new markets, coupled with enhanced underwriting and risk management practices.
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However, Guinea Insurance PLC’s strategic expansion initiatives resulted in substantial upfront expenses, including increased operating costs, capital investments, and research and development expenditures.
These investments had a temporary impact on the company’s financial performance, resulting in a notable increase in Loss After Tax, which rose from N23.4 million in 2021 to N64.7 million in 2022, marking a remarkable surge of 176.50%.
Income Tax Expense in 2022 witnessed a significant reduction of 78.40%, decreasing to N7.9 million from the N36.5 million recorded in 2021, owing to the effective tax planning strategies implemented by the company.
In discussing the company’s growth initiatives and development plans, Guinea Insurance PLC’s Chief Executive Officer, Ademola Abidogun, said that “Guinea Insurance has listed 1,802,800,000 ordinary shares of 50 Kobo each at 50 Kobo per share on the Nigerian Exchange Limited. The total issued and fully paid-up shares of Guinea Insurance Plc have now increased from 6,140,000,000 to 7,942,800,000 ordinary shares of 50 Kobo each.”
He emphasized that this move aligns with the company’s proactive approach to securing future growth, increasing market share, and maximizing returns for investors and partners.
“ Guinea Insurance Plc is fully prepared to make the most of this opportunity, with more available funds, to further strengthen our market position, enhance the customer experience, and engage more in the core business of insurance, specifically underwriting, which involves collecting businesses, underwriting businesses, and making profit.”
