NEM Insurance Plc has announced a dividend proposal of N1.50 per ordinary share, totalling approximately N7.52bn, following a year of robust revenue growth and market expansion despite a volatile macroeconomic climate.
The announcement was made by the Group Chairman, Tope Smart, during the company’s 56th Annual General Meeting, where he presented the financial results for the year ended 31 December 2025.
The Group reported a stellar increase in its top-line performance, with Gross Premium Income rising to N166.8bn, a jump from the N110.7bn recorded in 2024. Insurance revenue specifically grew 56 per cent, moving from N97.9bn to N152.3bn.
Reflecting on the achievement, Smart stated, “I am delighted to mention to you that our company performed excellently during the year under review. Our excellent and progressive performance is indeed commendable.”
However, the bottom line felt the pressure of Nigeria’s currency challenges. Profit After Tax saw a decline to N24bn from the N29bn recorded the previous year.
“Though profit after tax declined… this was due to foreign exchange losses we experienced during the period,” Smart explained to shareholders and regulatory representatives.
The 2025 financial year was marked by significant shifts in the Nigerian economy. While the country’s Gross Domestic Product growth rate improved 3.90 per cent and inflation cooled significantly to 15.15 per cent, down from 34.8 per cent in 2024, the operating environment remained “volatile and challenging.”
The chairman highlighted the impact of global tensions and local logistics costs, noting, “We continue to experience the impact of ongoing war in the Middle East, which accounted for the recent additional increase in oil prices and its effect on goods and services. Presently, fuel pump price fluctuates between N1,250 and N1,400.”
Despite these pressures, the company maintained its leadership in the general insurance business, supported by a 70 per cent increase in investment income, which reached N12.9bn. Beyond the numbers, NEM Insurance is eyeing a broader market share. Smart revealed that the company is close to diversifying its portfolio to include life insurance services. “As part of our expansion strategy, our plan to set up a viable life assurance company is in progress and will be unveiled soon,” he disclosed.
The proposed dividend of N1.50 per share represents the board’s commitment to returning value to its investors, even as the Group’s total assets and total equity improved by 49.8 per cent and 29 per cent, respectively.
Concluding his address, the chairman attributed the year’s successes to the synergy between the board, management, and the workforce, noting that 98 per cent of staff underwent specialised training during the year.
“This trend of excellent performance is expected to be sustained with the right form of support from all stakeholders… [and] the dedication and hard work in achieving the set organisational goals,” he added.
