Shareholders Back Recapitalisation as Guinea Insurance Delivers Strong 2024

L-R: Bernice Okosun – Non-Executive Director, Ijeoma Okoro – Non-Executive Director, Ademola Abidogun – Managing Director / CEO, Temitope Borishade – Chairman, Board of Directors, Chinenye Nwankwo – Company Secretary, Samuel Onukwue – Non-Executive Director, Pius Edobor – Executive Director, Ogonna Offor-Orabueze – Executive Director.

Guinea Insurance PLC has reinforced its turnaround story with a bold step toward the future, as shareholders at its 67th Annual General Meeting (AGM) approved a landmark recapitalisation plan while celebrating the company’s strongest financial results in recent years.

The AGM, held virtually, was presided over by Mr. Temitope Borishade, who formally assumed his role as Chairman of the Board after shareholders ratified his appointment. The meeting also confirmed the appointments of Mrs. Bernice Izilen Okosun, Mrs. Ijeoma Pearl Okoro, and Dr. Nkemakonam Chukwukaondinaka Okeke as new Directors, while Mr. Samuel Onukwue was re-elected to the Board following retirement by rotation, reflecting the company’s commitment to robust corporate governance.

Capital Raising Mandate Aligned with NIIRA 2025

In a defining move, shareholders gave management approval to raise additional capital in line with the Nigerian Insurance Industry Reform Act (NIIRA) 2025. This resolution equips the company with the financial flexibility to strengthen its capital base, meet new regulatory thresholds, and strategically position itself to underwrite larger, more complex risks in Nigeria’s evolving insurance landscape.

2024: A Year of Breakthrough Performance

Despite macroeconomic headwinds, Guinea Insurance reported stellar growth across its financials, underscoring its resilience and adaptability.

Key Financial Highlights:

• Gross Premium Written (GPW): ₦2.94 billion in 2024, up 35.6% from ₦2.17 billion in 2023.
• Insurance Revenue: ₦2.84 billion, an increase of 36.6% year-on-year.
• Investment & Other Income: ₦1.35 billion, a rise of 76.4%.
• Profit Before Tax (PBT): ₦904.41 million, up 81% from ₦499.21 million.
• Profit After Tax (PAT): ₦936.55 million, nearly double 2023’s ₦477.55 million.
• Shareholders’ Funds: ₦5.22 billion, reflecting 49.3% growth.

Key Takeaways from Guinea Insurance’s 2024 Performance

1. Sustained Growth Momentum: The company’s double-digit increases across premiums, revenue, and income point to improved market penetration and effective risk underwriting.
2. Strong Profitability: Profitability nearly doubled, signalling disciplined cost control and better investment returns.
3. Healthy Balance Sheet: A ₦5.22 billion shareholders’ fund positions Guinea Insurance for expansion and regulatory compliance under NIIRA 2025.
4. Shareholder Confidence: Approval of the recapitalisation plan confirms investor trust in the board’s strategy and growth outlook.
5. Competitive Edge: With stronger financials, the company is better equipped to play in bigger ticket insurance markets, offering solutions for large-scale, complex risks.

Chairman’s Outlook

Speaking on the AGM’s outcomes, Mr. Borishade remarked:

“Our 2024 results reflect not only the resilience of our business model but also the collective commitment of our stakeholders and workforce. With shareholders now granting approval to raise capital in line with NIIRA 2025, the company is prepared to implement its carefully crafted recapitalisation plan. This will enhance our ability to compete, scale operations, and seize opportunities to deliver greater value to all stakeholders.”

An economist and investor-savvy analyst, Celestine Ukpong, has lauded the strong 2024 financial performance of Guinea Insurance PLC, describing it as “a clear signal of resilience and investor confidence in a sector still navigating tough economic headwinds.”

Reacting to the company’s results, Ukpong said Guinea Insurance’s nearly doubled profits and significant growth in shareholders’ funds underscore a well-executed turnaround strategy.

“When an insurer grows gross premiums by more than 35% and almost doubles profit after tax within a year, it tells you the fundamentals are strong. For investors, this performance is not just about numbers—it’s about trust in management’s discipline and foresight,” Ukpong remarked.

He added that the approval of the recapitalisation plan by shareholders at the 67th AGM demonstrates alignment between management and investors on the long-term vision.

“The Nigerian insurance industry is under pressure with the NIIRA 2025 regulatory reforms coming into play. Guinea Insurance’s decision to proactively secure approval to raise capital positions it ahead of the curve. This is exactly the kind of forward-looking governance that builds market confidence,” he said.

Ukpong also highlighted the company’s investment income, which rose by 76.4% in 2024, as a sign of prudent financial management in a volatile market environment.

“Investment returns are often the silent driver of insurance profitability, and Guinea Insurance clearly maximised this lever in 2024. It strengthens their balance sheet and ensures they have the liquidity to compete for bigger risks,” he explained.

Looking ahead, Ukpong advised that the company sustain its growth momentum by deepening technology-driven customer solutions and exploring partnerships that expand product reach.

“With ₦5.22 billion in shareholders’ funds, Guinea Insurance now has the firepower to scale. What investors will be watching is whether this momentum is sustained in 2025 and beyond,” he concluded.

Commitment to Growth and Innovation

The Board and Management reaffirmed their pledge to deepen customer trust, drive innovation, and pursue operational excellence. With the recapitalisation roadmap in sight and a stronger balance sheet, Guinea Insurance is poised to expand its market footprint and solidify its role as a forward-looking player in Nigeria’s insurance industry.