Consolidated Hallmark Insurance Plc, one of the leading underwriting firms in Nigeria, has posted a profit after-tax (PAT) of N519.6 million in its third quarter 2019 results, as against the N355.9 million recorded in the corresponding period of 2018, representing a 46 per cent rise. This is as contained in its group unaudited financial results for the period ended September 30, 2019 presented to shareholders at the Nigerian Stock Exchange.
The result also revealed significant improvements in other indices. Gross premium written for the period grew by 23.7 per cent to N6.687 billion from N5.404 billion reported in September 2018. Also, Total assets of the group rose to N11.159 billion from N10.821 billion during the corresponding period.
Commenting on the financial result, the Managing Director/CEO of Consolidated Hallmark Insurance Plc, Mr. Eddie Efekoha, expressed delight with the company’s consistent impressive performance. He said the unwavering support of the board and management of the company was pivotal to the success being recorded.
According to him, “the strong performance reflects the board and management’s commitment towards rewarding our shareholders with good returns. There is no gainsaying that the consistent improvement is also being driven by the increased confidence by our customers.”
On plans by the company to increase minimum paid-up capital to N10 billion in line with the new requirements by the National Insurance Commission, Efekoha said arrangements had been finalised to get the approval of shareholders for the raising of additional N4.5 billion during an Extra-Ordinary General Meeting (EGM) scheduled for this week in Lagos.
He expressed confidence that the company would successfully beef up its capital base further, ahead of the June 2020 deadline by NAICOM, in view of positive investor confidence displayed during the earlier proactive efforts by the board to raise N500 million through a rights issue and an additional N734 million through a private placement, both of which were fully subscribed even before the recent recapitalisation mandate by the NAICOM.
The growing level of confidence reposed in the company by investors is further attested to by the recent performance of the stock on the floor of the NSE as the highest gainer in percentage terms during the month of October, 2019, having garnered over 40 per cent during the month on the strength of positive sentiments.
Recently, CHI Plc improved its credit rating by Agusto & Co. from Bbb- to a Bbb. The rating symbolizes a ‘stable’ outlook and potential for growth with a definition as Insurer with satisfactory financial condition and adequate capacity to meet claim obligations. The rating which is an upgrade from the previous ‘Bbb-‘ reflects the company’s good liquidity, excellent asset quality, as well as a very experienced management team.
