Consolidated Hallmark Considers Additional Investments Across Sectors

The newly formed Consolidated Hallmark Holdings (CHH), which aims to become a leading financial services provider in Nigeria, is considering additional investments in various sectors.

The group said it has appointed a Supervisory Board of experienced business leaders to oversee the implementation of the organization’s development plan.

“We are making additional investments across sectors where opportunities arise, protecting the Group’s assets and providing strategic direction,” said Shuaib Abubakar Idris, Chairman of the Board.

Speaking at the first annual general meeting of shareholders in Lagos, Idris reiterated the Group’s commitment to providing shareholders with adequate returns on their investment through regular dividend payments, while remaining firm and focused on this path.

It announced a dividend of N0.05 or 5 kobo per ordinary share of 50 kobo, taking the total payout to N542 million for the financial year ended December 31, 2023.

According to him, Consolidated Hallmark Holdings (CHH) Plc’s gross premium income rose to N16.62 billion in FY2023 from N12.06 billion in FY2022, an improvement of 31 per cent and a growth of 693 per cent compared to the N1.5 billion gross premium income recorded in FY2007 during the recapitalisation of the insurance industry.

Also read: Consolidated Hallmark promises to train talent for the insurance industry

Similarly, the company increased its total assets to N26 billion from N18 billion in 2022.

Also speaking at the AGM, Eddie Efekoha, Group Chief Executive Officer (GCEO), CHH, said: “Compared to that, in 2007, we managed to achieve a growth of 465 per cent with total assets of N4.6 billion.”

He disclosed that his company recorded a growth of 589 per cent, with its profit after tax (PAT) increasing from N547 million in 2022 to N3.7 billion in 2023, stating: “We recorded a positive impact from foreign exchange gain during the year.”

Efekoha added that the increase in motor insurance premium and intensive compliance measures have paved the way for increased revenue from the industry.

“Indeed, the increase in the third party motor insurance rate from N5,000 to N15,000 for passenger cars was the right way to go, considering inflationary trends and the lack of periodic review of rates by the industry to reflect economic realities over the years.”

On compensation payments, he stated that group settlements in 2023 stood at N5 billion compared to N4.4 billion released in 2022, adding that there was a 2,485 per cent increase in the 2023 fiscal year compared to the amount of compensation paid in 2007 which was N197.2 million.

For him: “As a Group, we remain committed to the rapid resolution of claims, whether in Health Insurance, Micro Life Insurance or General Business and Special Risks. Our drive to significantly expand our market will continue to be strengthened by our customers’ confidence in our ability and willingness to meet their needs when claims arise.”