AIICO Insurance Grows Revenue by 45% to N32.8bn in Q1 2025

Samuel Mobolaji

AIICO Insurance Plc’s Group revenues increased by 44.7 per cent year-on-year to N32.8 billion in its unaudited results for the interim period ended March 31, 2025.

The company’s first quarter (Q1) results showed that premiums written grew 11.7 per cent to N54.8 billion from N49.1 billion in Q1 2024; while insurance service results improved to N4.1 billion in Q1 2025 as against N122 million in 2024, driven by improved pricing and optimized reinsurance.

However, net profit for the period went down by 49.6 per cent to N4.670 billion compared to N9.263 billion in Q1 2024, while normalized profits excluding one-off items like FX gains increased 26.4 per cent to N5.2 billion in Q1 2025 higher than N4.1 billion in Q1 2024. Profits in 2024 were affected by a net FX gain of about N6.2 billion

Speaking on the results, the managing director and chief executive officer of AIICO Insurance, Mr. Babatunde Fajemirokun said, “Our first quarter results reflect our priority – improving sustainable, predictable results, largely immune from market volatility.

“Insurance revenue increased 45 per cent to N32.8 billion; more importantly however, normalized profits excluding effects of FX movements increased 27 per cent year-on-year to N4.7 billion from N3.7 billion in Q1 2024. This was driven by insurance results, which are a more stable predictor of earnings, as insurance service margins grew to 12.4 per cent from 0.5 per cent in Q1 2024.”

On outlook, AIICO Insurance said, global uncertainties are causing experts to moderate growth expectations which are consequently affecting commodities prices – brent crude prices declined four per cent in Q1 but have declined a further 15 per cent in the month since, saying that “this had led to pressure on the naira and downward pressure on Eurobond yields. Inflation remains high, signs point to the government keeping interest rates at current levels for the time being.

“AIICO Insurance continues to maintain its prudent stance in the market, and in its asset and liability management, prioritizing sustainable earnings. Our focus on the emerging needs of our customers in these highly volatile times, stands the company in good stead,” he pointed out