PRESTIGE ASSURANCE : EARNINGFORCAST

PROFIT FORECAST FOR FIRST QUARTER, 2023

The Management of Prestige Assurance hereby submit its profit forecast for the First Quarter ending 31st March 2023.

	N' Million
Turnover	5,600
Profit before Taxation	642
Taxation	(166)
Profit after Taxation		476

This profit forecast is based on the following assumptions that;

1. There will be no serious Government restrictions on trade that will affect the insurance business.
2. The company will not suffer any major catastrophe which will necessitate liquidation of investment portfolio for claims payment.
3. There will not be any considerable reduction in the level of interest rate.
4. The capital Market activities will improve significantly from the bearish position to the bullish.
5. The country political climate shall be stable for carrying out business activities across the nation.
6. The company will continue to deal with its present range of insurance policies.
7. The company will enhance its present treaty arrangement due to increase in shareholders fund.
8. The adoption of IFRS 17 will not impact negatively on revenue recognition.
9. The basis of taxation will not change materially.
10. The company would maintain its present work force and additional hands will be employed to take care of increased business activities.
11. There will be vigorous effort to improve upon the present market share.
12. There shall be no protest, pandemic and other pandemonium which might affect business transactions negatively.

PRESTIGE ASUURANCE PLC

1ST QUARTER FORECAST ENDING 31ST MARCH, 2023

PROFIT AND LOSS FORECAST

	31 March, 2023
	N'000
Gross premium Earned	5,600,000
Re-insurance cost	2,800,000
Net premium earned
2,800,000
Commision earned	616,000
Total Underwriting Income
3,416,000
Net claims incurred	(1,120,000)
Commision Paid	(980,000)
Maintenance Expenses	(420,000)
Total Underwritng Expenses
(2,520,000)
Underwriting profit	896,000
Investment income	350,000
Net Operating Income
1,246,000
Less:
Management expenses	(560,000)
Depreciation	(45,000)
	641,000
Add: Fair value gain	1,200
Profit Before Taxation
642,200
Less:
Taxation expenses	(165,688)
Profit After Taxation
476,512