Great Nigeria Insurance Reverses N736M Loss to Post N2B Profit, Fueled by Massive Investment Income

Great Nigeria Insurance Plc (GNI) has announced a dramatic financial reversal, moving from a loss position of N736 million in 2022 to record a robust Profit After Tax (PAT) of N2 billion for the 2023 financial year. The company’s chairman, Bade Aluko, disclosed this impressive turnaround at the 53rd Annual General Meeting (AGM) recently held in Lagos.

The significant leap in profitability was overwhelmingly driven by an “exceptional” performance in the company’s investment portfolio. According to the financial report, GNI’s Net Investment Income surged by an astonishing $\text{254\%}$, rising to N4.6 billion in 2023 from N1.3 billion in the previous year. This substantial gain offset operational headwinds, successfully navigating the insurer through an “avalanche of economic woes” that included severe national economic conditions and global crises.

Aluko acknowledged the challenging macroeconomic environment, noting that GNI gallantly thrived despite the ripple effects of the pandemic, the Russia-Ukraine conflict, and domestic economic reforms. He emphasized that the company has “emerged profitable regardless” of these pressures, reflecting its strategic management and resilience.

The 2023 financials marked a significant milestone as they were prepared under the International Financial Reporting Standard (IFRS 17), a new global regulatory standard. While the company’s Insurance Revenue saw a slight dip of $\text{3.8\%}$, dropping from N2.6 billion in 2022 to N2.5 billion, the massive surge in investment income ultimately secured the N2 billion PAT.

Looking ahead, the chairman identified key forces that will shape the Nigerian insurance sector: regulatory upgrades such as IFRS 17, ongoing economic reforms, technology adoption, and the newly signed Nigerian Insurance Industry Reform Act (NIIRA) 2025. He expressed confidence that these changes will usher in greater transparency and boost investor trust, which, in turn, will attract foreign capital and promote easier market comparison among companies.

The company reaffirmed its commitment to sustaining this path of resilience and growth. Shareholders were also informed that GNI is currently undergoing a mandatory takeover process by Insurance Resourcery and Consultancy Services Limited.