Royal Exchange Plc has announced a Gross Written Premium of N8.43 billion from its business activities in the first half of 2016 financial year.
This represented 34 per cent increase over N6.28 billion gross written premium recorded by the company in the corresponding period in 2015.
The company’s Gross Premium Income also witnessed a growth of 17 per cent over the 2015 figures, with the 2016 figure standing at N6.46 billion, compared to the N5.50 billion generated in the corresponding period in 2015. Net Premium Income for the period amounted to N4.34 billion, with a modest growth of 5 percent over that of half year 2015, which stood at N4.12 billion.
Similarly, total Net Claims paid for the period under review stood at N1.95 billion, showing an increase of 42 per cent from half year 2015, which was N1.37 billion.
Commenting on the results in a statement, the Group Managing Director of the company, Alhaji Auwalu Muktari, said that “the half year results on the top-line items witnessed significant growth which shows that Royal Exchange as an insurance group, is focusing on its growth objectives set out at the beginning of the year, by participating in large-ticket financial transactions, as well as playing in the retail insurance market.”
Muktari, said despite the harsh operating environment witnessed in the Nigerian economy, the company’s management remains optimistic that by focusing efforts on aggressive sales of its various products and service offerings, increasing its presence and participation in the retail sales space, reducing operating costs profile and embarking on various expense optimisation strategies, the company will be able to surpass its financial targets set for itself at the beginning of the year.
One of the key growth strategies for Royal Exchange Plc, according to Muktari is the proposed listing of a N3 billion bonds on the floor of the Nigerian Stock Exchange.
He said in line with the on-going reforms being undertaken by the industry regulator, there was need for injection of fresh capital to enable Royal Exchange Plc take advantage of the coming opportunities that will arise in the course of the reforms.