Adeduro
BY NKECHI NAECHE-ESEZOBOR–-Law Union & Rock Insurance Plc, has posted an impressive financial result for the financial year ended 31 December 2019, indicating a grows of 254.43 percent in its profit after Tax.
This is contained in a notice to the Nigerian Stock Exchange made available to BusinessToday Online that it’s PAT appreciated from N226.5 million in 2018, to N802.8 million. A reflection of efficiency in asset utilization and management cost control.
The leading underwriting firms in the country also said it recorded a growth in its Gross Written Premium from N4.54 billion in 2018 to N4.82 billion, indicating a growth of 6.34 percent increase in top-line performance for the period.
Shareholders fund and underwriting result were not left out as both grew from N6.4 billion to N7.2 billion and from N638.2 million to N982.9 million; representing 12.3 and 54.01 percent growth respectively.
The top underwriter total assets went up slightly from 11.2 billion in 2018 to 12.1 billion in 2019, representing 8.35 percent growth in 2019.
However underwriting Expenses decreased by 4.14 percent from N2.52 billion to N2.41 billion while Management Expense increased by 6.6 percent, from N1.3 billion to N1.4 billion. Net Claims Expenses reduced by almost 20 percent, indicating that the company was able to write more profitable business, despite average claims costs rising in the industry.
The company also achieved seven percent growth on the Return on Assets, translating to N936.17 million recorded in 2019. There was also 11 percent growth on Return on Equity while more than 100 percent of the company’s Written Premium was earned.
Commenting on the result, the Managing Director, Ademayowa Adeduro said the company was pleased with its 2019 financial year end results, despite the challenging operating environment. However, they intend to do better, as the year started well, with Q1 and Q2 recording double digit growth Q-on-Q. It is to put this same level of performance into the following quarters to ensure commensurate growth all year round.
According to him, these are all good indices showing the company is healthy and growing.
