By Seun Ibiyemi
Insurance firms are set to dominate profit expectations on the Nigerian Exchange (NGX) in 2025, with AIICO Insurance Plc accounting for the lion’s share of earnings forecasts recently filed with the Exchange.
Together with Red Star Express Plc, SUNU Assurances Nigeria Plc, Prestige Assurance Plc, and Eterna Plc, the five firms project a combined profit after tax of N24.34bn and total revenue of N426.36bn for the financial year ending December 31, 2025.
AIICO Insurance stands out with a projected N19.55bn profit after tax, representing over 80 percent of the total profit forecast by the five companies. Its strong outlook is backed by anticipated investment income of N51.76bn and net cash inflow of N35.71bn from operating activities.
SUNU Assurances and Prestige Assurance also forecast healthy profits of N1.56bn and N2.01bn respectively, reinforcing the insurance sector’s resilience and contribution to Nigeria’s capital market.
SUNU further expects to boost its cash reserves significantly through a N7bn capital injection.
Eterna Plc, with revenue projections of N243.06bn, the largest among the group forecasts a profit after tax of N1bn, while Red Star Express expects N239.70m profit from turnover of N6.73bn.
Market analysts say the forecasts underscore growing optimism across insurance, logistics, and energy, even as companies grapple with inflationary pressures and a volatile macroeconomic environment.