Acting Chairman, Regency Alliance Insurance Plc, Bayo Adejumo, disclosed that the company’s group profit after tax has risen from N51.3 million in 2013 to N103 million in 2014.
He said at the 21st yearly general meeting of the company presided over by the company’s independent director, Baba Gana-Kingibe, said the company has recorded N294.9m profit after tax for the 2014 financial period.
He also added that dividends were not recommended to shareholders in 2014 because the company’s retained earnings was still in deficit, while also giving the hope that soon, the company would be in a position to reward its shareholders.
He said, “While the company experienced a tough financial year in 2014, the group profit after tax rose from N51.3 million in 2013 to N103.1million in 2014. The Company’s performance modestly improved during the year (2014). The gross premium increased by 12 per cent from N3.146 billion to N3.535 billion. The underwriting profit decreased from N1.033 billion to N946.961million. This decrease is as a result of huge jump in reinsurance expenses in the year compared with the previous year.
“During the year reinsurance, expenses increased by 70 per cent when compared with that of last year. The company during the year had a net claim expense of N605.820 million.The 2014 profit is a dip from the 2013 profit which stood at N403.1m”, and attributed the reduced earning to ‘unrealised loss in value of equities of N113.2 million as against the gain of N229.1 million in 2013’.
Source: Guardian News