AIICO Insurance Plans to Boost Future Dividends for Shareholders.
AIICO Insurance Plc has announced plans to increase its dividend payouts to shareholders in the coming years, reflecting its commitment to delivering greater returns on investment. This decision was revealed by the company’s Managing Director/Chief Executive Officer, Mr. Babatunde Fajemirokun, during AIICO’s 54th annual general meeting held in Lagos.
Fajemirokun assured shareholders that both the board and management are considering allocating a larger portion of future profits to dividends. “We are focused on ensuring high value and better returns for our shareholders,” Fajemirokun stated.
The Chairman of AIICO, Mr. Kundan Sainani, highlighted the company’s significant achievements in 2023, noting that meticulous execution of its business strategy resulted in a gross written premium of N110.1 billion, up from N88.3 billion in 2022. He attributed this success to AIICO’s transition from IFRS 4 to IFRS 17, which led to the recognition of insurance revenue of approximately N72.6 billion, compared to N54.8 billion in the previous year.
Sainani acknowledged the challenges posed by the socio-economic environment, including inflation, forex scarcity, and the removal of the fuel subsidy. Despite these headwinds, AIICO recorded a 132.6% increase in profits, reaching N12 billion in 2023, compared to N5.2 billion in 2022.
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“2023 was another strong year for AIICO, with impressive record revenue and substantial growth. Our adaptability and resilience have positioned us to offer better terms to our customers and strategically invest in opportunities that yield beneficial returns,” Sainani remarked.
Shareholders at the meeting praised the board and management for strengthening the company’s fundamentals and growing its asset base. Dr. Alex Adio, a shareholder, commended AIICO for its consistent dividend payments and urged the board to further increase the dividend payout next year. Another shareholder, Dr. Anthony Omojola, lauded the company’s share buy-back scheme, noting that it would enhance earnings per share and boost the share price.
Founded in 1963, AIICO Insurance Plc offers a wide range of services including life and general insurance, health insurance, and investment management, solidifying its reputation as a leader in the Nigerian insurance industry.
