AIICO Insurance Plc is considering increasing the portion of its profits allocated to dividend payouts.
In a statement on Monday, the Managing Director/Chief Executive Officer, Mr. Babatunde Fajemirokun, disclosed this at the company’s 54th annual general meeting held in Lagos.
Fajemirokun assured shareholders of high value and better returns on investment in the coming years.
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“Both the board and management are considering devoting a larger portion of future profits to dividend payments,” Fajemirokun said.
The Chairman of AIICO, Mr. Kundan Sainani, highlighted significant gains in 2023 due to the meticulous execution of the company’s business strategy.
This resulted in a gross written premium of N110.1 billion during the review year, compared to N88.3 billion in 2022.
According to Sainani, the company’s transition from IFRS 4 to IFRS 17 standards led to the recognition of insurance revenue of approximately N72.6 billion, up from N54.8 billion in 2022. This reflects the company’s commitment to transparency and robust financial practices.
Despite socio-economic challenges such as increases in the monetary policy rate, inflation, removal of fuel subsidies, forex scarcity, and other headwinds contributing to the rise of domestic prices, 2023 was a strong year for AIICO. The company achieved impressive record revenue and substantial growth.
Profits for the period increased by 132.6% to N12 billion, from N5.2 billion in 2022, demonstrating strong underlying performance across the business.
Sainani emphasized AIICO’s resilience and adaptability, stating the company is prepared to offer more favorable terms to its valued customers and strategically invest in opportunities yielding advantageous returns.
Shareholders at the AGM commended the board and management for strengthening the company’s fundamentals and growing its asset base.
Dr. Alex Adio praised the company for its consistent dividend payments and urged an increase in the dividend payout next year. Dr. Anthony Omojola commended the share buy-back scheme, noting it would enhance earnings per share and increase the share price.
Founded in 1963, AIICO Insurance provides life & general insurance, health insurance, and investment management services.
