Staco Insurance Promises Shareholders Better Returns
Staco Insurance Plc, has assured its shareholders of better returns on their investments in the current business year.
The company, at its 21st annual general meeting (AGM) held in Lagos recently, expressed optimism that with the ongoing efforts to enhance insurance awareness in the country, it would be on better sand to give better returns on investment to its shareholders for the current year.
At the meeting, the company’s shareman, Samuel Turoti said the company’s shareholders’ fund has grown by 10.33 percent at the close of business in 2016.
According to him, shareholders fund of the company rose from N3.4 billion in 2015 to N3.8 billion as at December 31st, 2016.
He said the growth represent a positive solvency margin for the company.
According to him, the company, at the end of 2016 financial year, recorded a decline in profit to the tune of N1.8billion. This, according to him was as a result of foreign exchange fluctuations arising from unfavourable exchange rate of the naira to the dollar on the company’s dollar denominated liabilities – both contractual and operational.
Furthermore, he said the company, in the year Nader review, paid total claims of N1.99billion, disclosing that substantial part of this was paid in dollar denomination.
He assured the shareholders that the board and management are reviewing the company’s circumstances with a view to make it profitable as soon as possible notwithstanding the current economic saturation of the country. Speaking, Managing Director of the company Sakiru Oyefeso, said the consequences of the recession being experienced in the country during the year under report, have generally resulted in low market confidence and reduction in the disposable income of individuals and body corporates. Oyefeso said that marketing of insurance in Nigeria, became more intense in the year under review, adding, coupled with this, “is insecurity and high cost of operations which remained a source of apprehension and agony to the nation and the business community in particular.”
He said that notwithstanding these c hallenges, Staco Insurance has remained steadfast in delivering values to stakeholders.
“In spite of the challenging, uncertain, complex and ambiguous operating business environment, your company has remained steadfast and committed to delivering shareholder values. We are looking beyond the past, present and imagining possible great future for our company. This review will accordingly attempt to highlight major developments of interest in the company in the reporting year”, Oyefeso said.