By Henry Uche
Sovereign Trust Insurance Plc has reported financial growth for the year ending 2023, with revenue surging by 23.1%. The company’s revenue increased from N15.7 billion in 2022 to N19.3 billion in 2023, despite the challenging macroeconomic conditions that marked the year.
Mr. Segun Bankole, Deputy General Manager of Corporate Communications and Investor Relations, shared these results with the media in Lagos, ahead of the company’s Annual General Meeting scheduled for September 26. He noted that Insurance Service Expenses also saw a significant rise, growing by 21.7% from N6 billion in 2022 to N7.3 billion in 2023, in accordance with new accounting standards.
Bankole further revealed that the company’s investment income experienced a remarkable increase of 49.3%, rising from N548 million in 2022 to N819 million in 2023. In terms of claims administration, Sovereign Trust Insurance paid out N3.3 billion in 2023, slightly up from N3.2 billion in the previous year.
The company’s total assets grew by 33%, from N17.2 billion in 2022 to N22.8 billion in 2023, while total equity increased by 31%, from N10.4 billion in 2022 to N13.6 billion in 2023. This growth was significantly driven by a successful Rights Issue exercise carried out during the year. Sovereign Trust Insurance also achieved a Profit Before Tax (PBT) of N1.42 billion.
Bankole emphasized the company’s dedication to maintaining the highest ethical and professional standards within the industry.
In a statement, the Managing Director, Mr. Olaotan Soyinka, underscored the company’s unwavering commitment to adding value for both shareholders and stakeholders. “Navigating the adoption of the International Financial Reporting Standard (IFRS 17) posed its challenges, but with the perseverance and dedication of our entire team, we have emerged successfully,” Soyinka said.
He added, “We remain committed to fulfilling all our promises and obligations, striving to realize our vision of becoming a leading brand in Nigeria’s insurance industry. We are also pleased to announce that we will be paying dividends to our shareholders this year.”