Continental Reinsurance Plc has posted N400 million loss in the third quarter of 2016. Details of the result revealed that the company recorded an underwriting profit of N746 million in 2016, a decrease of 63.6 per cent from N1.28 billion in third quarter 2015.
According to the management in a statement, the loss was primarily caused by the impact of a few large claims that compromised profit expectations. Speaking on the result, the Group Managing Director/CEO of the firm, Dr. Femi Oyetunji, said:
“Growth opportunities and challenges continue to vary widely across our markets, while short-term risks have introduced setbacks in certain countries – fundamentally altering the pace of growth.
In line with the company’s strategy, progress continues to be spurred by our diversified presence across the continent.” Investment and other income stood at N5.1 billion, a 212 per cent growth year-on-year.
The significant growth was partially attributed to unrealised gains on hard currency assets as a result of foreign exchange movements following the sharp devaluation of the naira. Profit before tax was N5.03billion, (2015: N2.07billion), an increase of 143 per cent.