Regency Alliance Insurance Plc has projected to achieve N4.279 billion gross premium income for the fourth quarter ending December 2020. In its Q4 earning forecast obtained from the Nigerian Stock Exchange (NSE), the insurance firm also projected N730.716 million as profit after tax and N859.665 million as profit before tax for the period. Regency Alliance Insurance Plc has reported a profit after tax of N218.54 million for the first quarter ended March 31, 2020, compared to N213.72 million in the same period a year ago.
The insurance firm, in its unaudited account obtained from the Nigerian Stock Exchange, said profit before tax rose to N269.27 million in Q1 2020 from N264.75 million in Q1 2019. Its gross written premium grew by 1.03 per cent from N2.03 billion in Q1 2019 to N2.05 billion in Q1 2020.
The firm’s total assets increased to N11.16bn as of March 31, 2020 from N10.37 billion On December 31, 2019, while its total liabilities rose to N4.49 billion from N4.02 billion. Shareholders of Regency Alliance Insurance had last year refused to approve the 3 kobo pershare dividend proposed by the board of directors of the company for the year ended December 31, 2018.
This decision to reject the cash dividend proposed by the board for the financial year was taken by the shareholders at the company’s annual general meeting held in Lagos. They resolved that the total sum, which would have been paid in dividend, should be ploughed back into the company’s general reserve. According to the shareholders, this is in lieu of the pending recapitalisation process mandated by NAICOM. It would be recalled that the National Insurance Commission (NAICOM) had given a deadline for insurance companies to recapitalise or lose their license.