ADDIS ABABA (NISCO)– Nyala Insurance S.C. (NISCO), one of the best performing insurance companies in the nation, has vastly dominated the Ethiopian private insurance industry in the 2016/17 fiscal year by registering a net profit of Birr 122.2 million, a massive profit margin in the history of the company as well as the nation’s private insurance companies.
A report presented by Kemal Mohammed, Chairman of the Board of Directors of Nyala Insurance S.C., on the 23rd Shareholders’ General and the 16th Extra Ordinary General Meeting held at Sheraton Addis on 5th December 2017, indicated that the company registered a huge gross profit of Birr 137 million, up from Birr 77.4 million in the previous fiscal period.
Kemal underscored that NISCO was able to secure a net profit of Birr 122.2 million in the year under review from its general and long term insurance businesses, a 77 per cent jump from the preceding fiscal year.
The achievement, he added, is markedly very significant and a proud to the shareholders, management, staff and business partners of the company.
The Board Chairman underlined that apart from joined and committed efforts of the Board of Directors, Management Team Members and staff of the company, the Birr-137 million-gross profit margin was secured by putting appropriate risk management techniques into place, and excelling at customer services to attract more potential customers.
Kemal went on to say that the total asset of the company also reached Birr 1.22 billion, an increase by 28.4 per cent over the previous year, and the company’s paid-up capital goes to Birr 285.5 million, up from Birr 220.5 million.
According to the Chairman’s report, the earning per share of the company has also surged to 539 from 359 in the 2016/17 fiscal year.
Yared Mola, Chief Executive Officer of Nyala Insurance S.C., said on his part that the differentiated and value -adding extended services to the customers, and the planned risk management programs deployed are major reasons helped boost the profitability of the company.
He also underlined that the Ethiopian insurance industry is suffering from skilled manpower-shortage and lack of dynamism.
“We have been crawling too long and fighting tooth- and- nail on domestic market frontier while even our East African counterparts have leap-frogged us”, he commented.
Yared continued to say “we need to reboot our business philosophy and rethink beyond ‘short-termizm’ which is heavily clouded on the financial industry.”
He concluded his remarks by saying “in order to thrive…, we need the help regulatory framework to eye the international market arena.”