AXA Mansard’s nine-month profit jumps 81% to N10.9bn

AXA Mansard Insurance Plc recorded an 81 per cent increase in profit after tax to N10.90bn in the first nine months of 2026, supported by stronger insurance service results and investment income.

The insurer’s unaudited financial statements filed with the Nigerian Exchange Limited showed that profit after tax rose from N6.01bn in the corresponding period of 2025 to N10.90bn in the review period.

Profit before tax also increased by 111 per cent to N12.87bn from N6.10bn, reflecting improved earnings from its insurance operations and investment activities.

The growth came as the company’s insurance revenue increased by 18.8 per cent to N143.14bn from N120.53bn recorded in the same period last year.

However, insurance service expenses also rose by 9.4 per cent to N92.82bn from N84.81bn, while net expenses from reinsurance contracts increased to N31.08bn from N25.37bn.

Despite the higher costs, the insurer’s insurance service result nearly doubled to N19.24bn from N10.34bn, indicating an improvement in the profitability of its underwriting operations.

Investment performance also contributed to earnings. Interest revenue calculated using the effective interest method increased by 37.2 per cent to N12.28bn from N8.95bn.

The company’s overall investment return, however, rose moderately to N9.80bn from N8.98bn, as other investment income recorded a negative N2.76bn compared with a negative N373.34m in the corresponding period of 2025.

Other income increased slightly to N4.58bn from N4.46bn.

The insurer’s employee benefit expenses rose by 34.2 per cent to N7.99bn from N5.96bn, while other operating expenses increased by 19.4 per cent to N9.90bn from N8.29bn.

Income tax expense also climbed to N1.98bn from N94.87m, reflecting the higher reported profit and tax charges during the period.

On its balance sheet, the group’s total assets expanded to N260.66bn as of 30 September, 2026, from N227.94bn at the end of December 2025.

Investment securities measured at fair value through other comprehensive income increased to N112.09bn from N89.77bn, making them the largest asset category.

Cash and cash equivalents, however, declined to N28.12bn from N39.56bn over the same period.

The group’s insurance contract liabilities rose to N122.29bn from N86.36bn, while total liabilities increased to N194.54bn from N171.88bn.

Shareholders’ funds improved to N62.46bn from N52.30bn, while total equity, including non-controlling interests, increased to N66.12bn from N56.05bn.

The results show that AXA Mansard’s earnings recovery was supported by improved insurance service performance and higher interest income, although rising employee costs, operating expenses and insurance liabilities remain important factors in assessing the sustainability of the growth.