AIICO Insurance Plc is projecting a profit after tax of N19.5 billion for the full year ending December 2025.
The forecast, filed on the Nigerian Exchange and signed by both the Managing Director and Chief Financial Officer, reflects the company’s expectations for its 12-month performance.
Assuming AIICO maintains its track record of beating projections since the start of the year, actual results could meet or even surpass this estimate.
Looking ahead to the 12-month forecast of N19.5 billion, AIICO’s consistent record suggests it may once again exceed expectations.
AIICO reported a 45% growth in insurance revenue, rising to N32.8 billion from N22.6 billion in the same quarter of 2024. This was driven by a 12% increase in gross written premiums, which reached N54.8 billion.
Even with insurance service expenses of N19.9 billion, which rose by 12%, and net expenses from reinsurance contracts of N8.7 billion, which grew by 83%, the insurance service result expanded strongly to N4 billion, representing a remarkable 3,237% increase.
After the first half of 2025, gross written premiums advanced by 17% to N102.6 billion, leading to insurance revenue of N65.4 billion compared with N48.8 billion a year earlier.
Despite a 4% rise in insurance service expenses to N40.4 billion and a 113% jump in reinsurance expenses, the company’s insurance service result came in at N7.3 billion, reflecting growth of 320%.
These top-line gains, combined with investment income, were sufficient to filter through to strong bottom-line profitability.
For both the three-month and six-month periods, net investment income before fair value charges recorded growth.
In the three-month period, it reached N12.9 billion, up 68% from N7.6 billion.
In H1 2025, net investment income before fair value rose to N27.9 billion, up 54%.
To achieve its full-year forecast, the company would need to strengthen efficiency by cutting down operational costs and managing insurance expenses carefully so as not to weigh on bottom-line profitability.