Cornerstone Insurance, for the 2016 financial year ended 31 December, showed resilience which reflected in the marginal growth posted in the year’s profit after tax.
The company’s audited financial statement for the period, released by the Nigerian Stock Exchange (NSE) showed that PAT closed the year at N1.74 billion, against N1.63 billion posted in 2015 financial year.
The performance was on the hells of full acquisition of Fin Insurance which ostensibly impacted on the company’s year bottom-line in 2016.
The result further showed that revenue during the period peaked at N9.19 billion, against N7.33 billion in 2015
The Group Managing Director/CEO, Cornerstone Insurance Plc, Mr. Ganiyu Musa recently revealed in an interview that 2016 was a challenging year both at the level of macro and the industry and for the company.
The harsh operating environment for the company, no doubt reflected in slight growth in PAT during the year. “it was not unexpected. We already saw the signs from late 2015 and we started seeing from the onset of what is coming in 2016
He said that Cornerstone improved on instant call delivery and also strengthened distribution in the physical channel, “right now we have close to 30 branches and that is one of the direct consequences of the strategic actions we took in terms of strengthening the balance sheet of the company by acquiring another insurance company, Fin Insurance”
The acquisition was fully completed in 2016 and that has placed Cornerstone in terms of capitalization among the top players in the insurance industry; it has also improved our distribution channel and now we can reach our customers in all the six geo-political zones of the country.