Economy
AXA Mansard Insurance Grows Earnings by 12% After IFRS 17 Implementation
AXA Mansard Insurance plc, a member of the AXA Group, has recorded 12 per cent revenue growth for the second quarter ended June 30, 2023, following the implementation of the IFRS17 and IFRS9 accounting standards.
The accounting standard became effective on January 1, 2023. consequently, gross earned premiums (Insurance revenues) become the principal revenue indicator given the change in accounting standard
The commercial activity of insurance operations will now be reported using insurance (earned) revenues as against gross written premiums (GWP). The reinsurance expenses will now also be reflected as “net expenses from reinsurance contracts held” with the main difference from what was previously reported being the netting of commissions received and claims recoveries from assumed reinsurance businesses. For asset management, commercial activity continues to be measured on revenues.
Commenting on the results, the Chief Financial Officer, Mrs Ngozi Ola-Israel, said, “In the first half of the year, we grew Gross Written premiums by 22%, delivering insurance revenue growth of 12% from N34.7 billion to N39.0 billion despite our challenging and evolving economic environment, particularly in the second quarter of the year.
“This performance further reinforces our resilience and capacity to produce sustainable results even in a challenging business environment. Our operating performance also improved significantly, with PBT growth of 528 per cent to 14.8 billion from 2.4 billion last year, owing to significant improvement in the P&C and L&S segments, net FX gains from devaluation effect as well as the significant recovery from the health segment.”
Commenting on AXA Mansard’s financials at the end of the first half of 2023, the Chief Executive Officer of AXA Mansard Insurance, Kunle Ahmed, said, “We are proud to retain the trust of customers, brokers, and partners despite the challenging economic environment.
According to him, “The outstanding performance demonstrates our dedication to ensuring sustainable growth in the face of this environment as we achieved improved revenue and operating performance in the first half of the year.
“With our focus on resilience, we will remain an exceptional insurer with great financial strength, excellent underwriting capabilities, and efficient claims management processes.
“However, looking forward to the second half of the year, we are optimistic about the opportunities for our business through improved processes with our technical and digital capabilities while prioritizing our customer-centricity, growth, and profitability.”
The underwriter said that the insurance revenues improved by 12 per cent YoY (39.0 billion vs 34.7 billion). Growth is driven by Health (+27%) and L&S (+23%), partly offset by a P&C decline of 5 per cent due to a change in the timing of booking of key business in the current period vs this time last year.
The life and health business recorded growth resulting from improved customer retention, increased share of existing business, and the acquisition of new businesses.
Gross revenues: grew 22 per cent YoY (N54.8 billion vs N45.0 billion).
Improved performance is due to our ability to acquire new businesses as well as our improving retention rates. Growth is spurred by Health (+26%), L&S (+20%), and P&C (+19%). P&C volumes performance is attributable to improved performance in the commercial lines growing by 19 per cent YoY.
Life volume acceleration is driven by the impacts of the new life savings product. Health volumes improve owing to increased premiums from re-pricing and renewal of key businesses.
P&C improves 19 per cent YoY due to strong performance in the Oil & Energy portfolio, which grows by 21% and is partially offset by declines in Aviation and Marine due to changes in the structure of key businesses.
Growth is also driven by improved performance in personal lines as well as increased premiums on strong renewals and new businesses. The focus remains on maintaining efficiency to ensure the growth and profitability of all our portfolios.
L&S segment grows 20 per cent YoY owing to improved performance in individual life business (+59%) which is partly offset by the 1% dip in group life due to delayed renewals of key businesses. Growth in the individual life portfolio is largely driven by the impact of the increase in customers onboarded and increased volumes from protection with the new life savings products. In addition, improved agent productivity has also contributed to the growth in revenues.
Total revenues improved 14% YoY, with higher management fees benefiting from improved 3rd party assets under management. Own AuMs improved by 25%, with 3rd party client count growing by 18%, leading to a 30% growth in 3rd party AuMs and a 28% growth in total AuMs.
Overall, PBT significantly improved by 528% YoY owing to 346% growth in P&C profits and significant growth in the health business, which is partly offset by a 37% dip in the life business. 346% growth in P&C is attributable to improved revenues and underwriting performance, as well as fair value gains. The dip in the life business is driven by increased claims experienced during the period compared to last year and partly offset by reduced underwriting expenses and higher investment margins. The health business continues with its recovery to deliver a N3.5bn profit owing to higher volumes, improved claims management, and operating efficiency.
Shareholder’s fund stood at N41.4 billion, growing by 40 per cent from N29.7bn in FY22 driven by profits in H1 and by fair value gains.
Return on Shareholder’s Equity (ROE) improved by 33.8 percentage points from 7.7 per cent prior year to 41.5% owing to the improved performance in the business. The operating performance of the group increased by 528% (N14.8bn from N2.4bn LY) while average shareholder’s equity also grew 16% (N35.6 from N30.7bn LY) owing to changes in fair value reserves. As a group, we remain committed to providing value to our shareholders.
Return on Assets (ROA) improved by 9.9 percentage points up to 12.0% from 2.1% when compared with the prior year. The growth indicates efficient asset utilization towards improved PBT growth of 528% (N14.8bn from N2.4bn LY). The average asset has also increased by 10% (N123.0bn from N111.9bn LY) owing to an improved asset base (near cash and insurance contracts assets) as we continue to consolidate on financial strength during the year.
By Adedapo Adesanya
President Bola Tinubu has called on the World Bank to support Nigeria’s ongoing economic reforms, with a focus on agriculture, youth employment, and private sector growth.
The president sought this assistance when he received a delegation from the World Bank led by Anna Bjerde, Managing Director of Operations, at the State House, Abuja on Tuesday, noting that the bank’s support will boost his administration’s strategy to strengthen the economy and expand opportunities for Nigerians.
“Since we went into this tunnel of reform, we have our hands on the power and we’re never going to look back. Initially, it was painful and difficult, but those who win are not the ones who give up in difficult times,” Mr Tinubu said.
The president highlighted the importance of mechanization and modernization of agriculture to increase productivity and create opportunities for Nigeria’s large young population.
“We have mechanization centers to help farmers with improved seedings and fertilizers to enhance their programs. The goal is to move farmers from small-scale holders to large cooperatives that can create opportunities for Nigerians,” he explained.
Mr Tinubu also pointed to the petrochemical sector and other domestic industries as areas where the government is working to improve outputs and strengthen local markets. He stressed that reforms are continuous and must be grounded in transparency, accountability, and stability.
“The first reaction to reforms was high inflation, but it has come down dramatically, and the Naira is now stable. We want to help investors operate with ease, reduce bureaucracy, and develop the skills of our people,” he said.
On her part, Ms Anna Bjerde commended the administration for its consistent and steady approach to reforms over the past two years. She highlighted that Nigeria has become a global example of reform implementation, giving confidence to investors and policymakers worldwide.
“The results achieved in the last two years are commendable. Your steady communication of the importance of reforms has given confidence and clarity, and there is no turning back,” Ms Bjerde said.
She emphasized the importance of job creation, particularly for Nigeria’s youth, noting that Africa’s young population is growing rapidly and that SMEs are central to employment generation.
“Agriculture is a huge part of the economy and a major employer. Innovations in mechanization, cooperatives, value-chain development, and infrastructure can be scaled to create more opportunities,” Ms Bjerde said.
She also highlighted the World Bank’s financial support for Nigeria, including public sector financing of $17 billion, private sector support of $5 billion through the International Finance Corporation (IFC), and investment guarantees exceeding $500 million. These instruments are aligned with Nigeria’s reforms, including trade, digital initiatives, and inflation management, to stimulate private sector growth and human development.
“We want to work with Nigeria to accelerate growth, improve access to finance for SMEs, and support early childhood development as part of a comprehensive human development strategy,” she added.
By Adedapo Adesanya
The NASD Over-the-Counter (OTC) Securities Exchange appreciated by 0.96 per cent on Tuesday, February 3, boosting the Unlisted Security Index (NSI) by 34.54 points to 3,641.30 points from the 3,606.76 points it ended a day earlier.
Equally, the market capitalisation of the trading platform was up during the session by N20.67 billion to end N2.178 trillion from the N2.158 trillion it ended on Monday.
The expansion witnessed by the OTC securities exchange yesterday was buoyed by the gains printed by four stocks on the bourse, with Central Securities Clearing System (CSCS) Plc up by N4.00 to sell at N44.00 per unit versus the previous day’s N40.00 per unit.
Further, Air Liquide Plc increased by N1.86 to end at N20.49 per share compared with Monday’s closing price of N18.63 per share, Afriland Properties Plc appreciated by 35 Kobo to N14.00 per unit from N3.65 per unit, and UBN Property Plc added 1 Kobo to settle at N2.20 per share, in contrast to the preceding day’s N2.21 per share.
On the flip side, there were two price losers led by FrieslandCampinaWamco Nigeria Plc, which shed 4 Kobo to close at N63.50 per unit compared with the previous day’s N63.54 per unit, and Geo-Fluids Plc lost 3 Kobo to finish at N6.81 per share compared with the N6.84 per share it traded in the preceding session.
Data showed that the volume of securities bought and sold by investors grew by 82.5 per cent to 7.0 million units from 3.9 million units, and the value of securities jumped by 5.2 per cent to N37.9 million from N36.0 million, while the number of deals decreased by 15 per cent to 34 deals from 40 deals.
CSCS Plc remained the most active stock by value (year-to-date) with 15.9 million units sold for N649.0 million, the second spot was taken by FrieslandCampina Wamco Nigeria Plc with 1.7 million units worth N110.9 million, while the third position was occupied by Geo-Fluids Plc with the sale of 11.1 million units for N73.1 million.
The most traded stock by volume (year-to-date) was still CSCS Plc with 15.9 million units exchanged for N649.0 million, followed by Mass Telecom Innovation Plc with 12.7 million units sold for N5.1 million, and Geo-Fluids Plc with 11.1 million units traded for N73.1 million.
By Adedapo Adesanya
The Naira firmed up against the US Dollar in the various segments of the foreign exchange (FX) market on Tuesday, February 3, 2026, on the back of improved forex liquidity.
In the black market window, the local currency improved its value against the Dollar during the session by N10 to sell for N1,455/$1 compared with the previous day’s rate of N1,465/$1, and at the GTBank FX counter, it gained N33 gain to close at N1,386/$1 versus Monday’s closing value of N1,419/$1.
In the Nigerian Autonomous Foreign Exchange Market (NAFEM), the domestic currency appreciated against the greenback by N17.45 to trade at N1,372.91/$1, in contrast to the preceding session’s N1,390.36/$1.
In the same vein, the Nigerian currency chalked up N21.92 against the Pound Sterling yesterday in the official market to quote at N1,877.59/£1 compared with the N1,899.51/£1 it was exchanged a day earlier, and gained N24.76 against the Euro to settle at N1,619.76/€1 versus N1,644.52/€1.
The appreciation seen indicates that available supply is mopping up demand even without any intervention from the Central Bank of Nigeria (CBN) in recent weeks, showing that market-driven currency framework is driving a stronger Naira.
Enhanced price discovery following plans by the apex bank to undertake a comprehensive revamp of the FX manual is acting as a pillar of support.
At a recent forum, the Deputy Governor, Economic Policy, CBN, Mr Muhammad Sani Abdullahi, disclosed that the bank was revamping the manual, a key regulatory document used by banks for export proceeds and other foreign trade-related transactions.
According to him, the document was already undergoing significant reforms aimed at aligning market operations with current economic realities.
Mr Abdullahi explained that the revised manual would introduce clearer rules, stronger oversight and improved processes to support transparency and efficiency in the FX market.
He said the reforms are expected to close loopholes, reduce uncertainty for market participants, and support a more orderly functioning of the foreign exchange system.
Also, Nigeria’s external reserves, which provide the CBN with the capacity to support the Naira, have continued to rise, reaching $46.59 billion as of 2 February 2026, according to CBN data.
In the cryptocurrency market, most prices still remained down as sentiment among short-term traders remaining cautious after thin liquidity and heavy liquidations pushed prices sharply lower.
Global crypto investment products saw $1.7 billion in outflows last week, marking the second consecutive week of heavy redemptions, with Solana (SOL) down by 5.2 per cent to $98.41.
Further, Bitcoin (BTC) depreciated by 2.4 per cent to $76,638.44, Binance Coin (BNB) slumped by 2.0 per cent to $761.78, Ethereum (ETH) dropped by 1.9 per cent to $2,277.16, Ripple (XRP) declined by 0.6 per cent to $1.60, and the US Dollar Tether (USDT) lost 0.1 per cent to sell at $0.9985.
However, Dogecoin (DOGE) improved by 1.7 per cent to $0.1084, Cardano (ADA) expanded by 1.2 per cent to $0.2868, and Litecoin (LTC) increased by 0.9 per cent to $60.63, while the US Dollar Coin (USDC) remained unchanged at $1.00 apiece.
-
Feature/OPED6 years agoDavos was Different this year
-
Travel/Tourism9 years ago
Lagos Seals Western Lodge Hotel In Ikorodu
-
Showbiz3 years agoEstranged Lover Releases Videos of Empress Njamah Bathing
-
Banking8 years agoSort Codes of GTBank Branches in Nigeria
-
Economy3 years agoSubsidy Removal: CNG at N130 Per Litre Cheaper Than Petrol—IPMAN
-
Banking3 years agoSort Codes of UBA Branches in Nigeria
-
Banking3 years agoFirst Bank Announces Planned Downtime
-
Sports3 years agoHighest Paid Nigerian Footballer – How Much Do Nigerian Footballers Earn
Pingback: AXA Mansard Insurance Grows Earnings by 12% After IFRS 17 Implementation – African Budget Bureau