Custodian and Allied reports N2.5bn profit in Q3

By: Modestus Anaesoronye

Custodian and Allied plc has announced a profit before tax of N2.5 billion for the unaudited third quarter result ended 30 September 2013, indicating an increase of 89.5 per cent over the N1.3 billion recorded in the corresponding period of 2012.

Wole Oshin, managing director, who made this known in Lagos at the weekend said the results have been transmitted to the Nigerian Stock Exchange

He noted that profit after tax increased by the same proportion from N1.14 billion to N2.1 billion, while the Group’s asset base increased from N40.9 billion to N47.2 billion, indicating 15.3 per cent growth within a nine-month period. The gross written premium was N19.8 billion from N9.4 billion.

Commenting on the performance, the Custodian and Allied boss said, "Our performance demonstrates Custodian’s commitment to its clients and shareholders. They expect nothing but the best from us, and we strive in every way to ensure that we always deliver on our promise of meeting and exceeding expectations.

We will always endeavor to remain one of the most attractive stock options in the insurance sector, through innovative services, expanded product portfolio, improved operational efficiencies and stronger financial capacity."

As at the end of 2012 financial year, Custodian and Allied posted a profit of N2.3 billion as against N1.1 billion posted in 2011, representing an 99 per cent increase.

Consequently, has paid a dividend payout of 13k for every 50k ordinary shares.

The company’s gross premium also grew to N11.8 billion in the year under review from N10 billion recorded in the preceding year while its actual claims stood at N3 billion, while total assets as at the end of the full year stood at N41 billion from N20.2 billion in 2011.

Chairman, Custodian and Allied, Ade Ojo said at the 2012 Annual General Meeting in Lagos that the performance highlighted the company’s determination to increase market share across business classes through a balanced growth focus that ensures its participation in all viable business in the sector despite the challenges and constraints of the operating environment. Ojo said Custodian remains focused on improving its systems, processes and operations to meet the challenges of commitment to excellent services delivery, new growth and evolving best practices.

Source: Businessday