The Enterprise Group PLC has cemented its position as the foremost financial services company in the country with an impressive financial performance in 2021.
The Group recorded a 37% increase in Group Net Income growing from GHS 847.7 million in the previous year to GHS 1,164 million in 2021.
This was made known at the Group’s twelfth Annual General Meeting (AGM) held at the Advantage Place in Accra on June 28, 2022.
In his report at the just-ended Annual General Meeting, Group Chief Executive Officer of Enterprise Group, Keli Gadzekpo, said “During the fiscal year 2021, we grew our Group Net Income at a double-digit rate of 37.3% from GHS847.7 million in 2020 to GHS1,164.09 million in 2021. Insurance revenue was the key driver of this performance, registering a 28.78% growth, from GHS 651.39 million to GHS 838.71 million. Out of this amount, our Life Insurance businesses contributed 72.6%, Non-Life 22%, and Health Insurance 5.4% respectively.”
He added that, “The Group also saw an uplift in Funeral services revenue, increasing by 53% from GHS 10.1 million in 2020 to 15.5 in 2021. Pension fees grew by 29%, whilst Investment Income increased by 83% and Rental Income up by 134%. However, our underlying Net Profit after Tax was GHS 122.85million, a decrease of 16%on the previous year. This was as a result of the increase in benefits and claims payments and reserving provisions made during the year.”
Enterprise Group, also in the year under review, maintained its focus on leading with digital transformation by introducing a number of bespoke digital solutions. The interventions included a Customer Feedback System for each operating business, enhancements to the Enterprise Advantage App and an omni-channel platform to present customer-facing staff with a single place to access a customer’s communication history with Enterprise Group across the various touchpoints.
The financial year was also marked by business growth and expansion for the Group. After years of strategic planning, Enterprise Group finally opened the doors of Enterprise Life to the public in Nigeria, having successfully been granted an Operational License by the Insurance Regulator in Nigeria (NAICOM). The Group also made a bold entry into the Health Insurance space with the strategic acquisition of Acacia Health Insurance in 2021.
The positive turn of the Ghana Stock Exchange in 2021 had a telling effect on Enterprise Group’s share on the Exchange. Enterprise Group PLC shares contributed to the growth recorded on the market with a 99% growth from the GHS 1.4 per share end of 2020 to GHS 2.79 per share at the end of 2021. The increase of 99% in share price exceeded the 24% growth in total assets at the end of the year. The Board of Enterprise Group recommended a first and final dividend of GHS 0.0744 per share for 2021, an increase of 20% over the 2020 dividend per share paid.
The Group CEO, Mr. Gadzekpo, outlined some initiatives taken by the company in supporting the community during the year under review. He said, “We remain committed to building a more sustainable future by being a responsible business. A few of the Community Social investments made during the past year were in the area of education and health. We commissioned a newly built and furnished classroom block for the Anglican JHS on the High Street of Accra at a cost of GHS 2.5million. We also donated 2 incubators at a cost of USD 20,000 to the Keta Hospital, GHS50,000 donation towards the eradication of polio etc. These are only a few of the projects we undertook and we will continue to invest and support the communities in areas that will impact and transform their lives.”
Enterprise Group PLC is the holding company of Enterprise Insurance, Enterprise Life, Enterprise Trustees, Enterprise Properties, Enterprise Funeral Services (Transitions), Acacia Health, Enterprise Life Gambia and Enterprise Life Nigeria.
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