(Unaudited Financial Statements for the Year Ended 31st December 2024)
Key Financial Metrics
- Gross Revenue: ₦153.78 billion (2024) vs. ₦98.84 billion (2023)
- Insurance Service Revenue: ₦98.16 billion (2024) vs. ₦65.19 billion (2023)
- Interest Income: ₦34.44 billion (2024) vs. ₦20.99 billion (2023)
- Net Insurance Finance Income: ₦17.05 billion (2024) vs. ₦3.57 billion (2023)
- Profit Before Tax: ₦60.95 billion (2024) vs. ₦25.99 billion (2023)
- Net Profit After Tax: ₦51.30 billion (2024) vs. ₦19.68 billion (2023)
- Earnings Per Share (EPS): 856 kobo (2024) vs. 324 kobo (2023)
- Net Assets Per Share: 2,046 kobo (2024) vs. 937 kobo (2023)
Custodian Investment Plc recorded strong revenue growth, primarily driven by higher insurance service revenue and investment income. Net profit after tax surged 160%, reflecting efficient financial and operational management.
Asset and Liability Highlights
- Total Assets: ₦406.28 billion (2024) vs. ₦275.02 billion (2023)
- Cash & Cash Equivalents: ₦44.66 billion (2024) vs. ₦25.06 billion (2023)
- Financial Assets: ₦277.76 billion (2024) vs. ₦190.71 billion (2023)
- Investment Properties: ₦18.17 billion (2024) vs. ₦13.26 billion (2023)
- Insurance Contract Liabilities: ₦193.97 billion (2024) vs. ₦144.51 billion (2023)
- Equity Attributable to Owners: ₦120.35 billion (2024) vs. ₦71.55 billion (2023)
The company’s total assets grew by 48%, showcasing financial stability and strong liquidity. Investments in real estate and financial assets provided further diversification and growth opportunities.
Operational Highlights & Cost Management
- Insurance Service Expenses: ₦61.62 billion (2024) vs. ₦46.94 billion (2023)
- Management Expenses: ₦16.16 billion (2024) vs. ₦10.44 billion (2023)
- Net Expense from Reinsurance Contracts: ₦36.65 billion (2024) vs. ₦22.28 billion (2023)
- Cost of Sales: ₦7.76 billion (2024) vs. ₦3.44 billion (2023)
- Increase in Reinsurance Contract Liabilities: ₦72.60 million (2024) vs. ₦45.34 million (2023)
Custodian Investment Plc’s ability to efficiently manage operational costs despite rising reinsurance and management expenses reflects a well-structured financial strategy. The company optimized its cost structure while maintaining strong underwriting profitability.
Capital Expenditures & Shareholder Returns
- Dividends Paid: ₦4.71 billion in 2024 vs. ₦4.12 billion in 2023
- Retained Earnings Growth: ₦90.10 billion (2024) vs. ₦45.67 billion (2023)
- Shareholder Equity Increase: ₦120.35 billion (2024) vs. ₦71.55 billion (2023)
Dividend payments increased by 14%, ensuring continued shareholder value creation while retaining significant earnings for future growth. Custodian Investment Plc also invested heavily in capital expenditures, expanding its investment portfolio and insurance service infrastructure.
Management Commentary
The company achieved a record-breaking performance, with robust top-line and bottom-line growth. Investments in insurance operations and asset management paid off, leading to improved margins and profitability.
Key Takeaways from Management:
- Strong revenue expansion across core financial segments
- Improved efficiency in insurance underwriting and investment management
- Disciplined cost control strategies leading to higher margins
- Strategic reallocation of capital to optimize returns
Outlook for 2025
Custodian Investment Plc is optimistic about sustained growth, focusing on:
- Expanding investment holdings to strengthen revenue diversification
- Enhancing digital transformation to streamline operations
- Tackling foreign exchange risks through proactive financial strategies
- Strengthening reinsurance partnerships to mitigate risk exposure
- Increasing investments in real estate and private equity for long-term growth
The company expects continued increases in insurance service revenue and investment income, backed by strategic expansion initiatives, enhanced technological integration, and operational efficiency. Management is committed to leveraging digital transformation, improving customer engagement, and optimizing claims processing to drive further revenue growth. Additionally, expansion into emerging markets and alternative investment channels will provide further income diversification, positioning Custodian Investment Plc for long-term success in a competitive financial landscape.
Conclusion
Custodian Investment Plc delivered exceptional financial performance in 2024, driven by significant revenue growth, increased profitability, and a strengthened financial position. The company’s financial success was underpinned by strategic investments in core insurance and asset management operations, expansion into emerging markets, and an agile response to evolving industry trends.
In 2025, Custodian Investment Plc aims to further solidify its market leadership by implementing digital transformation initiatives that enhance customer experience and streamline operations. The company also plans to intensify its efforts in sustainable investing, recognizing the importance of ESG compliance in driving long-term financial resilience.
Additionally, the firm will continue to optimize capital allocation, ensuring that resources are directed towards high-yield investment opportunities. A renewed focus on technological innovation and data analytics is expected to improve underwriting efficiency and risk assessment, contributing to higher profitability margins.
With strong liquidity, an expanding asset base, and a commitment to operational excellence, Custodian Investment Plc remains well-positioned for continued expansion and shareholder value creation in 2025 and beyond.