AXA Mansard Insurance Plc has reported a 22 per cent increase in insurance revenue to ₦160.56 billion for the financial year ended December 31, 2025, demonstrating sustained growth despite a challenging macroeconomic environment characterised by inflationary pressures and foreign exchange volatility.
The company, a member of the AXA Group, disclosed this in its audited financial results released in Lagos, highlighting broad-based growth across its core segments—Property & Casualty, Life & Savings, and Health.
Gross Written Premiums (GWP) rose by 23 per cent to ₦170.87 billion, up from ₦138.55 billion in 2024. This growth was driven by improved customer retention, increased new business acquisition, and an expanded distribution network.
Segment performance showed that Property & Casualty revenue grew by 11 per cent to ₦68.48 billion, while Life & Savings increased by 14 per cent to ₦25.77 billion. The Health segment recorded the strongest performance, expanding by 40 per cent to ₦66.32 billion, reflecting rising demand for healthcare coverage.
Similarly, GWP in Property & Casualty increased by 20 per cent to ₦73.42 billion, while Life & Savings rose by 15 per cent to ₦26.84 billion. Health premiums also posted strong growth, rising by 31 per cent to ₦70.60 billion.
Commenting on the results, Chief Financial Officer, Ngozi Ola-Israel, attributed the performance to strong execution across the company’s diversified portfolio. She noted, however, that Profit Before Tax declined significantly by 81 per cent to ₦6.12 billion, compared to ₦31.69 billion in 2024, largely due to the absence of substantial foreign exchange gains recorded in the prior year.
According to her, earnings in 2024 were boosted by approximately ₦27 billion in FX gains, while 2025 recorded a ₦1 billion FX loss. Adjusted for these non-recurring effects, underlying profit would have grown by 50 per cent year-on-year.
Despite margin pressures from rising claims and inflation, the company maintained a strong financial position, supported by robust premium growth, prudent capital management, and adequate liquidity buffers.
Chief Executive Officer, Kunle Ahmed, stated that the company delivered strong topline growth and stable underlying earnings despite cost pressures and global economic uncertainties. He added that the 2025 results position the company to exceed the new minimum capital requirements introduced under Nigeria’s insurance reform framework.
He noted that the company’s financial position surpasses the ₦15 billion requirement for non-life operations and ₦10 billion for life business. To further strengthen capital buffers, the board has opted not to declare dividends for the 2025 financial year.
Insurance service results rose by 9 per cent to ₦14.87 billion, driven largely by a 65 per cent increase in earnings from the Property & Casualty segment. However, performance in Life & Savings and Health segments declined by 4 per cent and 42 per cent respectively, due to higher technical reserves and increased claims severity.
Operating expenses increased during the period, with insurance service expenses rising by 32 per cent, reflecting elevated claims, particularly in general accident and aviation portfolios.
Total assets grew by 18 per cent to ₦227.94 billion, while shareholders’ funds increased by 11 per cent to ₦52.3 billion, reinforcing the company’s capital strength. However, Profit After Tax declined sharply by 98 per cent to ₦0.62 billion, impacted by FX-related effects and changes in tax regulations, including an increase in capital gains tax from 10 per cent to 30 per cent, which resulted in a one-off deferred tax adjustment.
Analysts note that the company’s performance reflects broader trends within Nigeria’s insurance industry, where strong premium growth contrasts with pressured profitability due to macroeconomic challenges, regulatory changes, and rising claims costs.
The divergence between revenue growth and bottom-line performance also highlights the ongoing transition to IFRS 17, which places greater emphasis on underwriting discipline and earnings quality over one-off gains.
Industry observers further identify the rapid expansion of the health insurance segment as a key growth driver, supported by increasing healthcare costs, heightened awareness, and rising corporate demand for employee health coverage.
Looking ahead, AXA Mansard said it will focus on strengthening underwriting discipline, improving operational efficiency, and deepening digital capabilities to support sustainable growth.
Ahmed expressed confidence that as macroeconomic conditions stabilise and foreign exchange volatility eases, the company’s underlying earnings strength will become more apparent. He added that with a solid balance sheet, disciplined execution, and clear strategic priorities, the company is well positioned to enhance profitability and deliver long-term value to shareholders.
