Lasaco Assurance Plc slashed its net cash outflow from operating activities to N416.82m in the nine months ended 30 September 2026, down sharply from N9.64bn in the same period of 2025, according to its unaudited financial statements. The improvement reflected declines in payments for claims, reinsurance premiums and commissions across the period.
Premium collections fell to N25.93bn from N29.04bn a year earlier, a drop of 10.7 percent. Reinsurance premiums paid decreased to N7.67bn from N10.56bn, while claims paid and other expenses fell to N9.93bn from N18.58bn. Commission payments also declined to N2.58bn from N5.51bn. These reductions eased pressure on cash generated from the insurer's core operations. However, acquisition and other claims expenses increased to N5.08bn from N3.46bn during the period, and reinsurance claims and expenses received rose to N3.75bn from N3.30bn.
The company's cash and cash equivalents position strengthened considerably to N33.76bn at the end of September 2026, up from N14.82bn at the beginning of the year. This increase was largely supported by N18.10bn in proceeds from the issuance of shares, compared with N10.82bn recorded in the corresponding period of 2025. The insurer recorded a net cash inflow of N1.39bn from investing activities, compared with N3.29bn in the previous year, with interest income from investments contributing N2.33bn and proceeds from the disposal of investment property amounting to N694m.
On the financing side, cash inflows stood at N18.10bn, up from N10.82bn in the corresponding period of 2025, with proceeds entirely from share issuance. The company reported no dividend payments to equity holders during the period. Despite improvements in operating cash flow, Lasaco's premium collections remained below the previous year's level, highlighting the need to sustain premium growth while managing claims and operating expenses effectively.
For savers and investors, Lasaco's improved liquidity position and capital raising through share issuance indicate the insurer has strengthened its financial flexibility, though declining premium collections suggest ongoing pressure on core business revenue.