LASACO Assurance Plc has returned to profit, reporting Group pre-tax earnings of N1.60 billion for the nine months ended September 30, 2026, compared with a N4.72 billion loss in the corresponding period of 2025.
Its unaudited consolidated financial statements show that the recovery was driven mainly by lower insurance service expenses and net reinsurance costs, while insurance revenue grew modestly.
These changes lifted the insurance service result to a N5.84 billion profit from a N2.44 billion loss a year earlier, offsetting weaker investment income and higher running costs.
LASACO’s return to profit came mainly from lower costs in its insurance business, rather than a sharp increase in revenue.
Running costs also increased 13.02% to N6.30 billion, and other operating income dropped to N32.83 million from N812.74 million. These pressures limited how much improvement in insurance operations reached the bottom line.
After tax, the Group earned N1.25 billion, compared with a N4.81 billion loss in the corresponding period of 2025.
Alongside the earnings recovery, LASACO’s balance sheet expanded substantially following its rights issue.
The increase in shareholders’ funds came largely from N18.10 billion raised through issuing shares. This gave the company additional resources, beyond the profit earned during the period, to support its business.
The cash-flow statement shows that LASACO received N25.93 billion in premiums from policyholders during the nine months. It paid N7.67 billion in reinsurance premiums and N9.93 billion in claims and other expenses.
After commissions, staff costs, other payments and receipts, operating activities used N416.82 million in cash.
This means that although LASACO reported a profit, its operations still paid more cash than they brought in during the period. The N18.10 billion raised from shareholders was therefore important to the stronger cash position.
The recovery in insurance earnings is encouraging. The next test is whether LASACO can sustain that improvement, contain rising running costs, and generate cash from its operations as it puts the additional capital to work.
Lasaco Assurance share price closed at N1.90 on Tuesday, October 20. It began the year with a share price of N2.45, reflecting 22.5% YtD loss
