Cornerstone shareholders approve N5.086bn dividend payout

Shareholders of Cornerstone Insurance Plc have approved the payment of a final dividend of N5.086 billion, translating to 28 kobo per ordinary share of 50 kobo, for the financial year ended December 31, 2025. The approval was given on Monday at the company’s 34th Annual General Meeting held in Lagos, where shareholders commended the board […]

Shareholders of Cornerstone Insurance Plc have approved the payment of a final dividend of N5.086 billion, translating to 28 kobo per ordinary share of 50 kobo, for the financial year ended December 31, 2025.

The approval was given on Monday at the company’s 34th Annual General Meeting held in Lagos, where shareholders commended the board and management for delivering strong operational growth despite a decline in headline profit, while urging the company to sustain and improve returns in the coming years.

Speaking at the meeting, Acting Chairman of the company, Afolabi Balogun, said the insurer delivered a resilient performance in 2025 despite a challenging operating environment.

He disclosed that insurance revenue rose by 34 per cent to N51.66 billion, while profit after tax increased to N11.76 billion, with earnings per share standing at 64 kobo.

“In recognition of this performance and our confidence in the future, the Board recommended a dividend of 28 kobo per share,” Balogun said.

He noted that the company paid N23.59 billion in claims across its Life, Non-Life and Takaful businesses during the year, reflecting its commitment to policyholders.

Balogun added that Cornerstone had also met the new capital requirements under the Nigerian Insurance Industry Reform Act (NIIRA) 2025 ahead of the July 2026 deadline, positioning it for long-term growth.

According to him, the emergence of a new controlling shareholder following African Capital Alliance’s exit marks a new phase of strategic renewal, with the company’s Ambition 2030 strategy focused on disciplined capital deployment, stronger underwriting performance, sustainable earnings growth and improved shareholder returns.

Group Managing Director and Chief Executive Officer, Stephen Alangbo, explained that although profit before tax declined to N8.73 billion from N28.62 billion in 2024, the previous year’s performance had been boosted by a one-off foreign exchange gain of N30.83 billion following the naira devaluation.

He said that excluding the exceptional gain, the company’s core insurance business recorded strong growth, with insurance revenue increasing from N38.67 billion in 2024 to N51.66 billion in 2025.

Alangbo also disclosed that total assets grew by 16 per cent to N141.03 billion, while shareholders’ funds increased to N72.86 billion from N60.50 billion, strengthening the company’s capital base ahead of industry recapitalisation.

 

 

 

He said the general insurance business generated N29.2 billion, accounting for about 70 per cent of insurance revenue, while the life business contributed N12.39 billion, supported by growth in Group Life Assurance and retail products.

 

 

 

Looking ahead, he said the company would deepen its retail insurance business, expand digital capabilities, optimise capital, strengthen sustainability initiatives and continue improving customer experience.

 

 

 

Shareholders at the meeting praised the company’s performance and expressed confidence in its growth prospects but urged management to build on the momentum.

 

 

 

Speaking on behalf of the Nobel Shareholders’ Solidarity Association, Akinlade Matthew commended the company’s strong revenue growth and improvements in insurance operations, describing the performance as encouraging.

 

 

 

He, however, noted the decline in profit before tax and urged management to pay closer attention to operating costs, particularly bank charges arising from maintaining relationships with about 18 banks.

 

 

 

Another shareholder, Nona Awo, described the approved dividend as the biggest in the company’s history, saying it reflected growing confidence in Cornerstone Insurance.

 

 

 

He challenged the board not to reduce shareholder returns in future years.

 

 

 

“This payout is the largest in the history of the company. You must not come here next year with a dividend that is lower than 28 kobo,” he said, adding that more investors were taking positions in the company because of renewed confidence in its prospects.