(Unaudited Financial Statements for the Year Ended 31st December 2024)
Key Financial Metrics
- Insurance Revenue: ₦48.86 billion (2024) vs. ₦24.57 billion (2023) → 99% growth
- Insurance Service Result: ₦2.26 billion (2024) vs. ₦87.07 million (2023)
- Net Investment Income: ₦7.72 billion (2024) vs. ₦2.47 billion (2023)
- Profit Before Tax (PBT): ₦13.20 billion (2024) vs. ₦2.22 billion (2023)
- Net Profit After Tax: ₦9.90 billion (2024) vs. ₦1.82 billion (2023)
- Earnings Per Share (EPS): 41.29 kobo (2024) vs. 7.60 kobo (2023)
- Total Assets: ₦78.56 billion (2024) vs. ₦48.01 billion (2023) → 64% growth
Coronation Insurance Plc achieved exceptional revenue growth, nearly doubling its earnings compared to the previous year. This impressive expansion was fueled by strong premium collection, strategic policy underwriting, and optimized risk management. The company also benefited from favorable investment market conditions, allowing for increased returns on investment portfolios and enhanced financial performance.
The 444% increase in net profit underscores the effectiveness of Coronation Insurance Plc’s disciplined cost control measures, improved reinsurance strategies, and focus on operational excellence. By leveraging data-driven risk assessment models, the company successfully reduced claims losses and maximized underwriting profitability. Furthermore, its aggressive market expansion efforts and enhanced digital insurance offerings contributed to higher revenue streams and improved customer acquisition rates.
These strategic initiatives, combined with ongoing investment in technology-driven efficiency improvements, have positioned Coronation Insurance Plc for sustained growth and increased shareholder value in the coming years.
Operational Highlights & Cost Management
- Insurance Service Expenses: ₦28.13 billion (2024) vs. ₦17.28 billion (2023)
- Net Expenses from Reinsurance Contracts: ₦18.47 billion (2024) vs. ₦7.20 billion (2023)
- Net Finance Income: ₦378.38 million (2024) vs. ₦(504.30) million loss (2023)
- Other Operating Income: ₦4.96 billion (2024) vs. ₦3.00 billion (2023)
- Total Liabilities: ₦39.79 billion (2024) vs. ₦23.63 billion (2023)
The company effectively managed its expenses, resulting in a significant reduction in finance costs and operational losses. Higher insurance service expenses were offset by substantial growth in net investment income and underwriting profitability.
Strategic reinsurance partnerships enabled the company to enhance risk mitigation, despite an increase in net expenses from reinsurance contracts. The positive turnaround in net finance income also contributed to stronger financial resilience.
Capital Expenditures & Shareholder Returns
- Total Equity: ₦38.77 billion (2024) vs. ₦24.39 billion (2023)
- Retained Earnings Growth: ₦10.24 billion (2024) vs. ₦(1.76) billion deficit (2023)
- Investment in Associates: ₦14.41 billion (2024) vs. ₦10.72 billion (2023)
- Dividends Paid: None declared for 2024
Coronation Insurance Plc demonstrated significant financial strength, with total equity rising by 59% and a major turnaround in retained earnings. Although no dividend was declared for 2024, the company reinvested its earnings into high-growth investments and expansion initiatives.
Management Commentary
Key Takeaways:
- Revenue growth was fueled by strong insurance and investment performance.
- Profitability improved due to effective cost control and risk management.
- Foreign exchange volatility remains a concern, but was mitigated by diversified investment strategies.
- Strategic focus on underwriting efficiency and reinsurance optimization strengthened overall financial performance.
Strategic Initiatives:
- Expansion in digital insurance solutions to enhance customer experience.
- Investment in premium collection and underwriting process automation.
- Diversification of investment portfolio to manage financial volatility.
- New product development to capture a larger market share.
Outlook for 2025
Coronation Insurance Plc is optimistic about sustained revenue and profit growth, driven by:
- Further premium collection improvements and investment returns.
- Operational efficiency measures to control expenses and enhance profitability.
- Expansion in digital insurance offerings for better market penetration.
- New product lines and strategic partnerships to increase customer base.
With a strong balance sheet, strategic investments, and a commitment to operational excellence, the company is well-positioned for long-term growth and shareholder value creation.
Conclusion
Coronation Insurance Plc delivered outstanding financial performance in 2024, marked by 99% revenue growth, a 444% rise in net profit, and strengthened financial stability. As the company enters 2025, its focus on digital transformation, investment diversification, and underwriting efficiency will drive sustained profitability and market leadership.
