A few days ago, Cornerstone Insurance released its audited FY 2024 results. There was a huge bounce in both topline and bottomline. 

The breakdown 

Insurance service result returned to profitability. Insurance service revenue result for FY 2024 was N2.1 billion, as against a N337 million loss recorded in FY 2023.

Profit after tax rose by 87% from N13.8 billion in 2023 to N25.8 billion in 2024. The increase was largely driven by a sharp increase in investment return. That rose by 46.2% from N24.5 billion in 2023 to N35.8 billion in 2024. 

The higher investment return was due to bumper foreign exchange gains. 

What of dividends? 

The company increased its dividend by 68% year on year. It will be paying a 27 kobo dividend for FY 2024, up 11 kobo from the 16 kobo it paid in FY 2023. 

There was a bit of excitement following this, as the stock gained 9.8% to close at N3.92. There was also a sharp rise in trading volumes. 6.6 million shares were traded in Thursday’s trading session. 

Revenue split 

Non-life accounts for 80% of  insurance revenue made by the firm. Credit life grew the fastest of all the insurance segments. 

Annuity, protection and endowment recorded losses during the period.