AXA Mansard Insurance reports 8% rise in net earnings

AXA Mansard Insurance plc, a member of the AXA Group, has announced its audited financial results for the year ended December 31, 2015, posting profit after tax of N1.66 billion, up 8 percent from N1.54 billion in 2014.

The company’s Net Premium Income rose to N9.90 billion, up 9 percent from N9.05 billion in 2014. Its investment and other income of N4.41 billion, representing 27 percent increase from N3.48 billion in 2014. However, profit before tax of N2.02 billion, was same as N2.02 billion recorded in 2014.

Total assets of the company grew by 14 percent to N51.20 billion in December 31, 2015 from N44.89 billion, as of December 2014. Its shareholders’ funds rose to N17.41 billion in 2015, up 15 percent from N15.2 billion, as of December 2014.

However, the company’s Gross Premium Written went down to N16.50billion, by 5 percent from N17.40billion in 2014.

Commenting on the result, Rashidat Adebisi, chief financial officer, said, “We ended the year 2015 with 5% decline in GPW, caused by certain big ticket Oil and Gas transactions that were not renewed in the year as the political and economic policy uncertainty delayed investment decisions. Despite this decline Net Premium Income grew by 9% showing the underlying resilience of our core business while we also recorded a 29% growth in Investment and Other Income. Profitability was muted by the rise in claims and we closed the year with a 8% growth in Net Earnings”.

Tosin Runsewe, chief client officer, said “In 2015, we laid solid foundations for future growth through a successful first year of integration with the AXA Group, acquisition of our pensions business which gave us a foothold in the fastest growing sector of Nigeria’s non-bank financial services. We also consolidated very strongly on the growth opportunities in our Health Insurance business.”

 “Our strategy remained rooted in delighting our customers and they are now even more assured of our strength and stability as A.M. Best upgraded our ratings to B+ and bbb- for Financial Strength and Issuer Credit Ratings respectively. These are the second highest in sub-Saharan Africa,” Runsewe said.