Economy
Coronation Insurance Charts Digital, Sustainable Future
By Aduragbemi Omiyale
The digitalisation efforts, investment strategies, and commitment to sustainability have propelled Coronation Insurance Plc back to profitability after it posted a net profit of N2.2 billion in the 2023 financial year, in contrast to the net loss of N1.8 billion achieved in the same period of 2022.
At the company’s 66th Annual General Meeting (AGM) in Lagos on Monday, December 2, 2024, the chairman of the board, Mr Mutiu Sunmonu, the results reaffirmed the role of technology in helping organisations navigate difficult waters.
“Despite the economic headwinds, we delivered strong growth across key financial metrics.
“Our profit before tax of ₦2.2 billion is a clear reflection of our strategic direction, operational discipline, and commitment to creating long-term value for stakeholders,” Mr Sunmonu said as he also acknowledged the broader growth of Nigeria’s insurance sector, where gross premiums rose by 38 per cent in 2023 to N1 trillion, driven by increased activity in the Oil & Gas, Fire, and Motor insurance segments.
Business Post reports that the underwriter posted a 34 per cent growth in insurance revenue to N24 billion from N18 billion in 2022, as net investment income also surged by 228 per cent to N1.5 billion from N461 million in the prior year.
These achievements underline the group’s dedication to optimising its investment portfolio and delivering value to policyholders.
Also addressing shareholders at the gathering, the chief executive of Coronation Insurance, Mr Olamide Olajolo, emphasised the company’s strides in digitalisation, calling it a “game-changer” for its operations.
“Our digitalisation drive has already transformed how we operate and interact with customers,” Mr Olajolo said, adding, “We are leveraging cutting-edge technology to streamline operations and deliver tailored solutions. The journey thus far has been remarkable, and we are committed to sustaining this momentum in 2024 and beyond.”
A shareholder, Mrs Bisi Bakare, praised the company’s efforts, particularly in leveraging technology to enhance customer experience, saying, “The digital transformation has made it easier for customers like me to interact with Coronation Insurance. I am confident that this strategy will keep us competitive and position the company for even greater success.”
Coronation Insurance emphasized its commitment to sustainability by outlining a strategy built on three foundational pillars. The first pillar, Strategic Partnerships, focuses on forging alliances to amplify positive impact and achieve shared goals. The second, Sponsorships and Donations, supports initiatives that align with the company’s mission and values, reinforcing its dedication to societal progress.
Lastly, through Corporate Social Responsibility (CSR), the company champions projects designed to drive meaningful development within communities. Together, these efforts reflect Coronation Insurance’s unwavering dedication to fostering shared prosperity while ensuring its operations align with global sustainability objectives.
The AGM featured the re-appointment of Mr Abubakar Jimoh and Mrs Stella Ojekwe-Onyejeli as Independent Non-Executive Directors, as well as the approval of the appointment of Mr Victor Etuokwu as a Non-Executive Director on the Board.
As the Company looks ahead, its leadership expressed optimism about leveraging emerging opportunities in Nigeria’s evolving economic landscape. Coronation Insurance plans to deepen its market penetration, strengthen its digital initiatives, and continue providing innovative insurance solutions tailored to clients’ needs.
“Our ambition is to redefine the insurance experience in Africa,” the chief executive stated, noting, “We remain committed to our mission of addressing Africa’s challenges through transformational solutions and customer-focused innovation.”
By Adedapo Adesanya
The NASD Over-the-Counter (OTC) Securities Exchange closed flat on Wednesday, August 5, as the market witnessed weaker trading activity with only two deals executed.
In the midweek session, the volume of securities exchanged by investors dropped 99.9 per cent to 802 units from the 1.6 million units recorded on Tuesday. The value of securities further decreased by 99.6 per cent to N208,240 from the preceding session’s N47.6 million, and the number of deals significantly went down by 93.9 per cent to two deals from the 33 deals recorded a day earlier.
Great Nigeria Insurance (GNI) Plc remained the most traded stock by value on a year-to-date basis, with 3.4 billion units worth N8.4 billion, followed by Infrastructure Credit Guarantee (Infracredit) Plc with 2.3 billion units sold for N6.5 billion, and Central Securities Clearing System (CSCS) Plc with 76.9 million units transacted for N5.5 billion.
GNI Plc was also the most active stock by volume on a year-to-date basis, with 3.4 billion units exchanged for N8.4 billion, followed by Infracredit Plc with 2.3 billion units traded for N6.5 billion, and Resourcery Plc with 1.1 billion units valued at N415.7 million.
There were no price gainers or losers yesterday.
As a result, the market capitalisation stood unmoving at N2.739 trillion, while the NASD Security Index (NSI) remained unchanged at 4,563.96 points.
By Adedapo Adesanya
The Naira slid against the US Dollar by N2.28 or 0.17 per cent in the Nigerian Autonomous Foreign Exchange Market (NAFEX) on Wednesday, August 5, to N1,363.85/$1 from N1,362.55/$1.
The local currency also declined against the Pound Sterling in the official market during the session by N5.97 to close at N1,837.38/£1 compared with Tuesday’s closing rate of N1,831.41/£1, and against the Euro, it crashed by N6.54 to quote at N1,575.25/€1 versus the preceding session’s N1,568.71/€1.
But at the black market, the Nigerian Naira traded flat against the greenback yesterday at N1,400/$1, and also remained unchanged at the GTBank FX desk at N1,373/$1.
The Central Bank of Nigeria (CBN) says rates have narrowed to below two per cent, while the country’s external reserves have risen above $52.5 billion, reflecting the impact of its ongoing monetary and foreign exchange reforms.
CBN Governor Yemi Cardoso, represented by the Acting Director of Corporate Communications and Investor Relations, Mrs Hakama Sidi-Ali, disclosed this on Tuesday during the CBN Fair in Gombe. He noted that reforms introduced since 2023 had significantly reduced the disparity between the official FX market and the parallel market.
“The Naira continues to strengthen, with the spread between official and Bureau de Change rates now below two per cent,” he said, adding that reserves at $52.5 billion were supported by sustained inflows and renewed investor confidence in the economy.
Interbank FX transactions slid as weaker market activities dropped total Dollar volume exchanged to $75.35 million, a 51.8 per cent decline from $156.23 million in turnover quoted at the previous close.
The deals at the NFEM window also fell as data from the central bank put Wednesday’s quote at 82 from 139.
In the cryptocurrency market, major were down as global risk sentiment softened as a key world equity index slipped and chipmakers fell.
The MSCI All Country World Index snapped a five-day run to fall 0.2 per cent as chipmakers retreated on both sides of the Pacific. South Korea’s Kospi, a bellwether for the AI trade, dropped 4.4 per cent.
Ripple (XRP) depleted by 1.7 per cent to $1.05, Binance Coin (BNB) decreased by 1.0 per cent to $594.87, Cardano (ADA) depreciated by 0.9 per cent to $0.1884, TRON (TRX) shrank by 0.2 per cent to $0.3261, Solana (SOL) crumbled by 0.1 per cent to $74.00, and Dogecoin (DOGE) went down by 0.1 per cent to $0.0697.
On the flip side, Ethereum (ETH) gained 2.3 per cent to trade at $1,911.41, and Bitcoin (BTC) rose by 0.8 per cent to $64,759.28, while the US Dollar Tether (USDT) and the US Dollar Coin (USDC) remained unchanged at $1.00 apiece.
By Dipo Olowookere
The domestic stock exchange rebounded by 0.05 per cent on Wednesday on the back of renewed bargain-hunting by investors, though the level of activity waned.
After bleeding for a few days, the Nigerian Exchange (NGX) Limited heaved a sigh of relief yesterday, as the All-Share Index (ASI) gained 109.41 points to close at 244,912.24 points compared with the previous day’s 244,802.83 points, and the market capitalisation garnered N71 billion to settle at N158.087 trillion versus Tuesday’s N158.016 trillion.
Business Post reports that despite the rebound recorded by Customs Street at midweek, the market breadth index remained negative, as there were 20 price advancers and 29 price decliners, implying bearish investor sentiment.
Linkage Assurance appreciated by 9.94 per cent to N1.77, AVA Capital rose by 9.55 per cent to N10.90, Fortis Global Insurance advanced by 7.69 per cent to N2.80, McNichols gained 7.34 per cent to finish at N5.85, and Coronation Insurance surged by 5.51 per cent to N2.49.
Conversely, Honeywell Flour depreciated by 9.94 per cent to N16.30, PZ Cussons gave up 9.94 per cent to trade at N74.75, Zichis crashed by 9.74 per cent to N20.76, Learn Africa slipped by 9.62 per cent to N9.40, and Neimeth tumbled by 8.33 per cent to N8.25.
The busiest equity was FCMB, with a turnover of 369.2 million units valued at N4.1 billion. Chams transacted 46.7 million units worth N201.8 million, First Holdco transacted 43.5 million units for N5.7 billion, Access Holdings sold 29.8 million units worth N778.0 million, and Linkage Assurance exchanged 19.6 million units valued at N33.5 million.
At the close of transactions, market participants bought and sold 824.1 million units worth N25.5 billion in 48,114 deals, in contrast to the 1.6 billion units sold for N28.7 billion in 54,160 deals a day earlier, showing a shortfall in the trading volume, value, and number of deals by 48.49 per cent, 11.15 per cent, and 11.16 per cent, respectively.
