2020: Axa Mansard Insurance nets N6.04bn profit
AXA Mansard Insurance plc, a member of the AXA Group has announced its audited financial results for full year 2020 which shows growths across income line during the pandemic year.
The insurers announced 58 per cent growth in profit before tax at N6.04 billion from N3.83 billion in the previous year while profit after tax (PAT) followed suit with 56 per cent uptick to N4.54 billion from N2.91 billion in 2019.
According to the financial report, gross written premium of of the company stood at N47.58 billion, up 9 per cent from N43.62 billion in December 2019.
In addition, net premium income of N31.72 billion was reported up 21 per cent from N26.29 billion in the preceding year.
The insurance company’s investment and other income rose by 25 per cent to N7.09 billion, up from 5.67 billion recorded previously; while its operating expenses stood at N7.7 billion, up 3 per cent N7.51 billion in December 2019.
Statement of Financial Position Highlights
- Total Assets of N94.44bn, up 2% from N92.29bn as at December 2019
- Insurance Liabilities of N29.59bn, up 18% from N25.16bn as at December 2019
- Group Shareholders’ Funds of N33.940bn, up 34% from N25.26bn as at December 2019
- Insurance Shareholders’ Funds of N29.37bn, up 27% from N23.09bn as at December 2019
- Operating Expense Ratio of 17% (December2019: 18%)
- Underwriting Expense Ratio of 8% (December2019: 8%)
- Loss / Claims Ratio of 47% (December2019: 45%)
- Re-Insurance Cost Ratio of 25% (December2019: 30%)
- Return on Average Equity of 20% (December2019: 17%)
- Return on Average Asset of 6% (December2019: 5%)
- Earnings per Share of 14k (December2019: 11k)
Commenting on the results, Mrs. Ngozi Ola-Israel, the Chief Financial Officer said. “It was a challenging year, but we achieved strong growth in PAT (56%) and Underwriting profits (22%). We managed operating costs at a low level of growth of 3% despite COVID headwinds and inflation. We remain committed to delivering excellent underwriting, investment and operating performance while focusing on the satisfaction of our customers and stakeholders.
Commenting on AXA Mansard’s financials at the end of December 2020, Mr. Kunle Ahmed, the Chief Executive Officer, AXA Mansard Insurance, said “The 2020 full Year financial record is a proof of our ability to continually support our customers to achieve their goals even in the midst of difficult and challenging times. With the support of our partners and through the harnessing of our distribution network, we achieved remarkable growth on our Health and P & C lines throughout the year. We are pleased that our continued effort to build a resilient non-bank financial services institution is yielding positive results”.