Liberty Kenya Group reported a net profit of KSh 671.9 million for the financial year ending on December 31, 2023, a significant increase from KSh 267.7 million recorded during the same period in 2022.

The insurance revenue of Liberty Kenya surged to KSh 13.8 billion in 2023, marking a rise from KSh 12.3 billion in the previous year. Additionally, the Group’s balance sheet expanded to KSh 43.8 billion in 2023, up from KSh 40.1 billion in 2022.

Directors of Liberty Kenya Holdings explained that the depreciation of the Kenyan Shilling exchange rate throughout 2023 led to increased insurance expenses, particularly for motor and medical covers. This was attributed to the fact that many vehicle parts, medicines, and medical equipment are imported.

In terms of financial highlights, the basic earnings per share, a key measure of profitability, surged by 193% from KSh 0.42 to KSh 1.22, mainly due to improved insurance service results.

The short-term insurance business in Kenya experienced an 11% rise in insurance revenue, along with an improved claim ratio compared to the preceding year. The introduction of a retail medical product in the final quarter aimed to address market gaps in that segment.

Meanwhile, operations in Tanzania remained stable, similar to the levels seen in 2022. However, a substantial increase in claims resulted from a large single-insured event in Tanzania. Nonetheless, as this exposure is largely reinsured, it did not significantly impact the operational result.

Directors of Liberty Kenya expressed satisfaction and recommended to shareholders to approve a dividend per ordinary share of KSh 0.373 at the upcoming Annual General Meeting (AGM) on May 24, 2024. This marks a significant improvement from the absence of dividends in 2022.