NAIROBI, Kenya, April 29 – Absa Life Assurance revenue for the full year ending December last year improved by 29 percent to Sh5.9 billion, buoyed by the introduction of new product lines.
In 2023, the subsidiary of the Absa Group added to its stable an endowment plan to provide financial solutions to clients.
Similarly, investment income increased by 27 percent to Sh1.1 billion, attributed to investments in high-yield options.
Consequently, headline earnings grew by 90 percent to Sh862 million, driven by investments in product diversification, digital capability expansion, and enhanced distribution channels.
“Absa Life continues to maintain a healthy quality of portfolio in the products we provide to the market and the policies that we underwrite, which is a clear testimony to the value we continue to drive both for our policyholders and the shareholders, and these results serve as a clear demonstration to this,” Absa Life’s Principal Officer and Managing Director, Githanji Waiguru, said.
Nonetheless, insurance contract liabilities increased by 21 percent year over year to Sh8.6 billion, owing to the acquisition of more policyholders.
Total assets closed the year at Sh11.5 billion, up 26 percent from the previous year, thanks to increased investments.
Absa Life’s return on equity (ROE) stood at 50.3 percent, up 18 percent year on year, with the company distributing Sh450 million in total dividends to the shareholders.
“It is important to note that the current financial statements are based on IFRS17, the new global reporting standards for insurance companies that replaced IFRS4 on January 1, 2023,” Waiguru said.
“The resilience of our financial results is noteworthy, as evidenced by consistent growth in our key financial indicators.”
