BY NKECHI NAECHE-ESEZOBOR--NEM Insurance Plc said it was able to grow it’s Profit after tax by 23% to close at N5.5billion in 2022 as against N4.5 recorded in 2021.
The group profit before Tax (PBT) also went up by 21 per cent for the financial year ended 31, December, 2022 to N5.5billion when compared to N4.5 billion reported in 2021.
Dr. Fidelis Ayebae, Chairman of the company disclosed this during the company’s 53rd Annual General Meeting held today in Lagos, that the company achieved a gross premium N33.3billion, an increase of 20% over the previous years turnover of N27.8billion while N22.1billion was earned in 2022, N19.3 billion was earned in 2021.
Committed to claims payment, he said the company, during the year under review paid a total of N12.3billion as claims to policyholders, this representing an increase of 7.9% over that of the preceding period that was N11.6 billion.
The gross claims ratio for 2021 stood at 42.0% whereas that of 2022 was 37.4%, decrease of 5% while net claims paid for the year was N7.6 billion, against preceding year was N5.5 billion; resulting into an increase of 38%.
The Net Claims ratio was 22% for the year under review and 19.9% for 2021; an increase of 2.1%.
However, investment income recorded growth of 37% to N1.6billion in 2022 from N1.1billion in 20201, while management continues to prioritize efficiency, management expenses shrank to N3.4billion in 2022 from N4.2billion in 2021, representing a decrease of 19%.
The groups Earnings Per Share for the year under review was 1.08 while that of the previous year was 0.88; an increase of 0.28%.
The Parent Company’s EPS for 2022 and the preceding year has the same percentage increase.
Following it’s outstanding performance, the board recommended a dividend of 30 kobo per =N=1 ordinary shares amounting to N1,504 943,330, payable to shareholders subject to deduction of withholding tax at the appropriate rate.
In the area of human capital, he said ” In line with the company’s policy of enhancing the knowledge of members of staff and improving their skills on the job, the management sent over 90% of the staff on various trainings, workshops and conferences during the year under review. Good work tools and working environment were also provided for better performances. Also, deserving, members of staff were promoted during the year.”
On future prospects, he said “as part of our strategy for expansion, NEM Health Ltd was incorporated in 2022 and commenced operation in 2023. Also, our plan to have a viable life company stands.
The Group Managing Director/ CEO, Tope Smart, noted that “despite the challenging operating environment, we achieved the above results due to our determination and the robust strategies put in place.
“It is also worth noting that these results would not have been achieved but for the massive support and loyalty of our clients and brokers who have been there for us over the years. We owe them a debt of gratitude.
He said ” Our appreciation also goes to our Board for providing us with a very conducive environment and allowing us to benefit from their wealth of wisdom and experience which have been helpful at crucial times on this journey. We remain very grateful. I am particularly proud of our staff who have remained very focused, dogged, and unwavering despite the difficult operating environment.”
