Great Nigeria Insurance posts N475.19m loss in 2016

….Records PAT growth in Q12017
Great Nigeria Insurance Plc for the week, ended Friday, August 04, 2017, filled its 2016 audited financial statement and first quarter 2017 unaudited financial statements with the Nigerian stock Exchange (NSE).

The result for the first 2016 financial year ended 31 December,2016 recently published by the NSE, showed that gross premium for the group declined to N2, 208,815 billion, from N3, 171,145b recorded in the 2015 financial year.

(Loss)/ profit before) tax closed at N442, 770m in the 2016 financial year, against N249, 549m posted in the 2015 financial year ended 31 December.

Loss after tax closed at N475, 190m, against N526, 536m recorded in the 2015 financial year. The result further showed that loss in basic earnings per share closed the 2016 financial year at 12.41 kobo, from 13.79 in the 2015 financial year.

Meanwhile, the company’s Q1 2017 result for the period ended 30th March, 2017, also released recently by the NSE, showed a great improvement in the company’s key performance indices posted growth.

For example, the company’s profit after tax (PAT) closed positive at N98, 116m, from a negative of N352, 270m recorded in Q1 2016.
Profit before tax recorded remarkable decline in the period closing at N188, 607m, which was against N410, 410m.

The company’s combined administrative expenses closed higher at N212, 337m from N258, 863m posted in the Q1 period 2016, out of which General insurance contributed N170, 006m, while life insurance also contributed N42, 331m in Q1 2017.

Gross premium written closed the period at N362, 784 million for general business, while N360, 020 million recorded in the life business segment of the company’s business in Q1 2017.

Combined gross premium closed the first quarter at N722, 803m, against N694, 642m in the same period of 2016.

The combined Net premium earned closed the first quarter 2017 for Great Nigeria Insurance closed at N639, 604m, from N639, 564m posted in Q1 2016. The company disclosed that out of the N639, 604m net premium in Q1, general insurance contributed N467, 044 million, while life insurance also contributed N172, 560m.

According to the company’s Q1 result, combined total underwriting income depressed to N643, 819m from N693, 562m recorded in the first quarter 2016. General insurance continued to be the driver of the company’s earnings , hence it contributed N470,559m to underwriting income, against N173,260m contributed by life insurance in q1 2017.

Daily Times Nigeria recalls that 75 per cent stake in Great Nigeria Insurance Plc has been acquired by Insurance Resourcery Consultancy Services Limited (IRCSL), in the wake of the recent acquisitions going on in the industry.

Early in July, Great Nigeria insurance was one of the 17 insurance companies sanctioned by the Nigerian Stock Exchange (NSE) for non-filling of their financial results with the exchange.

The suspension, the exchange said, was in pursuant to Rule 3.1, which has to do with filing of accounts and treatment of default filing, rulebook of The Exchange.

The rule states that: “If an Issuer fails to file the relevant accounts by the expiration of the Cure Period, The Exchange will: (a) send to the Issuer a ‘Second Filing Deficiency Notification’ within two (2) business days after the end of the Cure Period; (b) suspend trading in the Issuer’s securities and (c) notify the Securities and Exchange Commission (SEC) and the Market within twenty-four (24) hours of the suspension.”