By Sola Alabadan
Consolidated Hallmark Holdings Plc grew its insurance revenue from N12.06 billion in 2022 to N16.6 billion in 2023, representing a 31 percent growth, in spite of the enormous challenges faced by business operators in Nigeria during the outgone year 2023.
Chairman, Board of Directors, Shuaib Abubakar Idris, disclosed this to shareholders at the inaugural annual general meeting of the organisation on Wednesday in Lagos.
The Profit Before Tax rose to N4.6 billion in 2023 from the N983 million recorded in 2022, while total profit attributable to shareholders for the 2023 financial year increased to N3.8 billion from N547 million in 2022.
The Total Assets of the company also recorded a significant leap to N26.2 billion in 2023 compared with the N18.2 billion recorded in 2022, representing a 44 percent growth.
In line with the company’s commitment to ensure that the shareholders get adequate returns on investments through consistent dividend payment, a dividend of 5 kobo per ordinary share of 50 kobo was approved by the shareholders at the meeting. The total dividend payout will amount to N542 million.
In keeping faith with its promise to pay all genuine claims, the Group Claims Settlement rose to N5,097,038,215 in 2013 from the N4,468,789,653 expended in 2022.
He emphasised that the group remain committed to prompt claims settlement whether in Health Insurance, Micro life Assurance or in our General Business and Special Risks Insurance, noting that “Our quest to significantly grow our market would continually receive a boost with the faith of our customers in our ability and preparedness to meet their needs when claims arise”.
Similarly, the company grew its Total Assets to N26 billion from N18 billion in 2022.
Looking ahead, he assured that the company would strive to effectively carry out its primary functions of maintaining control over the subsidiaries, establishing additional investments in diverse sectors where the opportunities arise, as well as protect the assets of the Group and provide strategic direction.
The Consolidated Hallmark boss stressed the organisation remains optimistic of a more friendly operating environment in the years ahead, assuring that the company would take full advantage of and increase the market share of its member companies in all sectors where they are operational.
He added that the use of technology remains pivotal in the company’s quest to continually consolidate its operations as one of the top players in the financial services sector and beyond.
Consolidated Hallmark’s transformation journey to a Holding company started in November 2022 with the shareholders’ unanimous approval at the Extra-Ordinary General Meeting. The process was successfully concluded in November 2023 with the listing of the shares of Consolidated Hallmark Holdings Plc on the trading floor of the NGX.
Speaking on the Nigerian insurance environment, he stated that the growth recorded during the financial year 2023 was remarkable, as the premium income hit the N1 trillion mark for the first time. The industry premium income stood at N726.2 billion in 2022.
He explained that some of the factors responsible for this include the increase in the premium rate for Third Party Motor Insurance, which was moved from N5,000 to N15,000 by the regulator, the National Insurance Commission (NAICOM).
The rate which took effect from 1st January 2023 also led to the fixing of minimum premium payable for comprehensive motor insurance cover at 5 percent of the value of the asset.
NAICOM also kicked off the implementation of the IFRS 17 Accounting Standard in the industry during the year and tasked operators with the implementation in reporting company’s financials.
