Africa alliance Plc in the nine months period through September 2013 grew gross premium income by 75 percent to N4.46 billion from N2.55 billion recorded in the corresponding period of Q’3 2012.
The above impressive increase in gross premium income (GPI) shows that the company is attracting more policy holders with its products which are penetrating the markets.
Net insurance benefits, claims and total underwriting expenses for the nine month period September 2013 increased by 34 percent to N2.95 billion as against N2.19 billion in Q3: 2012.
The insurance company reported profit before tax (PBT) of N932.06 million Q3 of 2013, this represents 558 percent increase from N140.13 million recorded last year.
AAIprofit after tax( PAT) for the period increased to N764.29 million from a loss of 50.41 million.
Earnings per share in the nine months through September 2013 were up 1645 percent to 371k from a loss of 24k in the erstwhile period 2012.
AAI in the period under review has grown its balance sheet as total assets jumped by 16.72 percent to N17.31billion from N14.83 billion last year, while cash and cash equivalents were up 147.92 percent.
The impressive result in profitability is shown on the returns to shareholders as returns on assets (ROA) in 2013 increased by 230.56 percent to 4.4 percent, while return on equity climbed to 9.15 percent in the review period.
African Alliance shares on the February 26 2013 closed at 50k on the floor of the Nigeria Stock Exchange (NSE).
The insurance business has been receiving boost as foreign companies are acquiring local insurance business in Nigeria thereby leading to more capital injection to help boost growth in the sector.
The company had a market capitalization of N10.29 billion on the same day.
