Universal Insurance Plc has released its audited financial statements for the year ended 31 December 2024, shortly after the Nigerian Exchange (NGX) suspended its shares for delayed regulatory filing.
Financial Highlights (FY 2024 vs FY 2023):
Gross Premium Written: ₦9.1 billion (2023: ₦8.6 billion) – 6% growth
Gross Premium Income: ₦6.97 billion (2023: ₦6.62 billion) – 5% growth
Profit Before Tax: ₦516.4 million (2023: ₦796.7 million) – 35% decline
Profit After Tax: ₦511.5 million (2023: ₦784.8 million) – 35% decline
Total Assets: ₦16.48 billion (2023: ₦15.76 billion) – 5% growth
Total Liabilities: ₦5.63 billion (2023: ₦5.45 billion)
Total Equity: ₦10.85 billion (2023: ₦10.31 billion)
The company also reported investment income of ₦1.23bn (2023: ₦1.32bn) and net claims expenses of ₦1.56bn (2023: ₦1.08bn), reflecting higher underwriting pressures.
Impact on NGX Suspension
The NGX suspended Universal Insurance shares on September 1, 2025, for failing to publish its 2024 audited accounts by the deadline. With the report now filed (signed August 30, 2025), the exchange is expected to review and lift the suspension.
Trading will resume at the last closing price of ₦1.25, but the delay has already created uncertainty and may test investor confidence in the short term.
Impact on Share Price
Short-term:
The market reaction will likely be cautious. Although revenue and premium income grew, profit dropped by 35%, which could weigh on investor sentiment. The stock may face sell pressure around ₦1.25 once trading resumes.
Medium-term:
Stability of premium growth and management’s ability to control claims and costs will determine if the stock can regain momentum. As Universal Insurance earlier delivered stronger Q1 2025 results, sentiment could turn positive.
Long-term:
With total equity up to ₦10.85bn, the balance sheet is stronger, but profitability needs to recover. Investors may treat the stock as speculative until consistent earnings growth is shown.
Bottom Line for Investors:
Universal Insurance Plc has returned to compliance by publishing its 2024 audited report. However, the profit decline and NGX suspension create short-term headwinds. Expect volatile trading when suspension is lifted, with risk of downward pressure unless management reassures the market with improved performance in 2025.
See the official document >> Universal Insurance 2024 audited financial statements
