Linkage Assurance Grows Profit By 431%
Linkage Assurance Plc, said it recorded 431 percent growth in profit after tax (PAT) for the financial year ended December 31st, 2017. This indicates a geometric increase in the company’s profit from N544.6 million in 2016 financial year to N2.891 billion in the review period.
The company’s profit before tax (PBT) also appreciated by 218percent, from N942.65 million in 2016 to N2.996 billion at the end of 2017. Linkage Assurance, also said it boosted its bottomline from investment income, which grew significantly by 260 percent, from N951.349 million in 2016 to N3.426 billion in the review year. This according to the company, came from the 2015 and 2016 dividend income from Stanbic IBTC Pension Limited which was received during the year and that led to a significant growth of 2,616 percent in the dividend income to N3.2 billion from N116million in 2016.
In its full year financial result submitted to the Nigerian Stock Exchange (NSE), Linkage Assurance Plc achieved gross premium written of N4.102 billion as against N4.032 billion, indicating a 2 percent increase, while the gross premium income grew by 6 percent to close at N4.186 billion at the end of 2017, as against N3.966 billion the previous year.
The firm, during the year under review, paid out claims amounting to N1.038 billion, as against 613.196 million in 2016.
This therefore impacted on underwriting profit, which dropped 53 percent to close at N456.86 million, as against N980.79 million in 2017.
The company, also grew its total assets to N23.308 billion at the end of 2017, moving up by 15 percent from N20.331 billion in the previous year.
Management of the company led by Dr. Pius Apere, said it will continue to refine its strategy in line with the political, economic, sociological and technological changes in the industry.
“Also we will continue to develop innovative products, alternative channels of distributions and strategic initiatives that will enable us achieve our corporate goals and objectives. With a medium-to-long term perspective, we believe that we will benefit from growth in these initiatives.”
He said during the 2017 financial year, Linkage developed array of retail products targeted at deepening penetration and increase revenue. These include the Linkage Third Party Plus, which is a budget friendly motor insurance that provides not only the compulsory Third party protection but an additional Own damage protection to the tune of N250,000, and is only available in the company”.
Other products launched by the Company are the Linkage SME Comprehensive, Citadel Shield (which provides compensation as a result of injuries from accident for pupils and students in recognised academic establishments); Linkage Events Xclusive Insurance.