AXA MANSARD INSURANCE : QUARTER 3 - FINANCIAL STATEMENT FOR 2023

AXA Mansard Insurance Plc and Subsidiary Companies

Unaudited Financial Statements

30 September 2023

CERTIFICATION PURSUANT TO SECTION 60(2) OF INVESTMENT AND SECURITIES ACT NO.29 OF 2007

We the undersigned hereby certify the following with regards to our financial statements for the year ended 30 September 2023 that:

1. We have reviewed the financial statement;
2. To the best of our knowledge, the financial statement does not contain:

1. Any untrue statement of a material fact, or
2. Omit to state a material fact, which would make the statements, misleading in the light of circumstances under which such statements were made;

(c ) To the best of our knowledge, the financial statements and other financial information included in the report fairly present in all material respects the financial condition and results of operation of the Company and its consolidated subsidiaries as of, and for the period presented in the report.

(d) We:

1. Are responsible for establishing and maintaining internal controls.
2. Have designed such internal controls to ensure that material information relating to the Company and its consolidated subsidiaries is made known to such officers by others within those entries particularly during the year in which the periodic reports are being prepared;
3. Have evaluated the effectiveness of the Company's internal controls as of date within 90 days prior to the report;
4. Have presented in the report our conclusions about the effectiveness of our internal controls based on our evaluation as of that date;

(e) We have disclosed to the auditors of the Company and Audit Committee:

1. All significant deficiencies in the design or operation of internal controls which would adversely affect the Company's ability to record, process, summarize and report financial data and have identified for the
   Company's auditors any material weakness in internal controls, and

1. Any fraud, whether or not material, that involves management or other employees who have significant roles in the Company's internal controls;

1. We have identified in the report whether or not there were significant changes in internal controls or other factors that could significantly affect internal controls subsequent to the date of our evaluation, including any corrective actions with regard to significant deficiencies and material weaknesses.

Mrs. Ngozi Ola-Israel		Mr. Adekunle Ahmed
FRC/2017/ANAN/00000017349		FRC/2017/CIIN/00000017019
Chief Financial Officer		Chief Executive Officer

2

Consolidated Statement of Financial Position
as at 30 September 2023
(All amounts in thousands of Naira)
		Group	Group	Group	Parent	Parent	Parent
	Notes	30-Sep-23	31-Dec-22	1-Jan-22	30-Sep-23	31-Dec-22	1-Jan-22
			Restated*	Restated*		Restated*	Restated*
ASSETS
Cash and cash equivalents	5	18,240,985	13,469,877	17,343,344	12,307,799	11,107,664	14,227,012
Investment securities:
- Fair value through profit or loss	6.1	10,776,671	8,700,392	8,942,514	7,917,777	7,394,124	6,593,983
- Fair value through OCI	6.2	40,194,207	34,764,986	29,818,546	35,958,602	33,932,595	27,924,118
Financial assets designated at fair value	6.3	2,539,796	2,505,441	4,374,805	2,539,796	2,505,441	4,374,805
Insurance contract assets	7	9,423,913	7,791,782	7,013,359	1,722,904	454,081	1,196,454
Reinsurance contract assets	8	19,619,361	11,800,941	11,025,344	19,276,712	11,625,002	10,725,042
Other receivables	9	5,248,408	3,507,639	3,929,886	3,680,986	2,945,247	2,981,536
Loans and receivables	10	4,214,032	3,773,985	1,655,345	5,234,226	4,229,583	2,666,719
Investment properties	11	17,640,881	14,009,209	14,560,934	-	-	-
Investment in subsidiaries	12	-	-	-	1,652,000	1,652,000	1,652,000
Intangible assets	13	650,199	445,595	400,647	592,404	391,201	354,896
Property and equipment	18	3,412,371	3,099,565	2,802,458	2,988,415	2,717,465	2,404,365
Right of use	14	989,108	783,504	797,757	902,047	672,176	654,074
Statutory deposit	15	500,000	500,000	500,000	500,000	500,000	500,000
TOTAL ASSETS		133,449,932	105,152,916	103,164,940	95,273,667	80,126,577	76,255,004
LIABILITIES
Insurance contract liabilities	16	70,820,087	55,170,079	46,718,805	50,795,951	41,436,385	35,126,944
Reinsurance contract liabilities	17	3,057,295	1,693,854	564,587	3,056,834	1,693,717	562,947
Investment contract liabilities:
- At amortised cost	17.5	3,359,858	4,211,201	6,868,168	3,359,858	4,211,201	6,868,168
- Liabilities designated at fair value	17.7	2,539,796	2,505,441	4,374,805	2,539,796	2,505,441	4,374,805
Other liabilities	19	4,739,232	3,604,878	4,513,365	3,957,797	2,740,545	3,141,531
Current income tax liabilities	20	1,262,447	1,129,928	1,962,020	744,456	674,215	645,958
Borrowings	21	3,687,823	2,180,878	2,454,143	-	-	-
Deferred tax liability	22	2,135,513	855,631	932,573	-	-	-
TOTAL LIABILITIES		91,602,051	71,351,890	68,388,466	64,454,693	53,261,504	50,720,353
		(0)	(1)	0	1	(2)	(0)
EQUITY							-
Share capital	23	18,000,000	18,000,000	18,000,000	18,000,000	18,000,000	18,000,000
Share premium	24.1	78,255	78,255	78,255	78,255	78,255	78,255
Contingency reserve	24.2	5,261,397	5,118,869	4,816,716	5,261,397	5,118,869	4,816,716
Treasury shares	24.3	(111,476)	(111,476)	(111,476)	(111,476)	(111,476)	(111,476)
Fair value reserves	24.4	(3,679,019)	(1,753,434)	(391,274)	(3,509,734)	(1,601,768)	(441,570)
Insurance finance reserve	24.6	239,495	112,982	57,180	236,380	110,340	45,745
Retained earnings	24.7	17,655,165	8,248,879	8,006,182	10,864,152	5,270,853	3,146,981
SHAREHOLDERS' FUNDS		37,443,817	29,694,075	30,455,583	30,818,974	26,865,074	25,534,651
Total equity attributable to the owners of the parent	37,443,817	29,694,075	30,455,583	30,818,974	26,865,074	25,534,651
Non-controlling interest in equity	25	4,404,066	4,106,949	4,320,891	-	-	-
TOTAL EQUITY		41,847,883	33,801,024	34,776,474	30,818,974	26,865,074	25,534,651
TOTAL LIABILITIES AND EQUITY		133,449,932	105,152,916	103,164,940	95,273,667	80,126,577	76,255,004

Signed on behalf of the Board of Directors on October 27, 2023
Mrs. Ngozi Ola-Israel	Mr. Adekunle Ahmed		Mrs. Rashidat Adebisi
FRC/2017/ANAN/00000017349	FRC/2017/CIIN/00000017019		FRC/2012/ICAN/00000000497
Chief Financial Officer	Chief Executive Officer		ED Technical & Client Services

3

Consolidated Statement of Comprehensive Income

for the period ended 30 September, 2023

	Notes
		Group	Group	Parent	Parent
		30-Sep-23	30-Sep-22	30-Sep-23	30-Sep-22
Continuing operations			Restated*		Restated*
Insurance revenue	27	61,296,981	52,474,294	37,246,627	33,787,370
Insurance service Expenses	28	(38,723,121)	(31,015,735)	(17,134,755)	(13,440,336)
Net expenses from reinsurance contracts held	29	(13,498,071)	(15,140,333)	(13,593,978)	(14,836,666)
Insurance service result		9,075,789	6,318,226	6,517,894	5,510,368
Interest Income calculated using effective interest rate method	30	4,768,192	4,265,654	3,154,373	5,126,085
Net gain or loss on financial assets at fair value through profit or loss	31	10,589,929	(372,181)	6,820,951	(532,342)
Net credit impairment losses	9.1	(9,233)	(15,386)	(6,739)	(15,386)
Profit on investment contracts	32	632,355	226,441	632,354	226,441
Net Investment income		15,981,243	4,104,528	10,600,939	4,804,798
Other income	33	217,957	72,265	17,077	14,567
Finance income/(expense) from insurance contract issued	41	(438,598)	(78,869)	(387,362)	(229,328)
Finance income/(expense) from reinsurance contract held	42	252,050	(104,239)	253,048	(54,751)
Expenses for marketing and administration	34	(2,144,370)	(1,239,134)	(1,948,419)	(1,347,583)
Employee benefit expense	35	(3,677,120)	(3,195,260)	(2,316,889)	(1,775,311)
Other operating expenses	36	(3,781,094)	(3,053,477)	(3,395,351)	(2,815,412)
(Impairment)/writeback of premium receivables	7.1	(110,462)	-	-	-
Results of operating activities		15,375,395	2,824,040	9,340,937	4,107,348
Finance cost	37	(276,897)	(178,717)	(160,120)	(97,361)
Profit before tax		15,098,497	2,645,323	9,180,816	4,009,987
Income tax expense	38	(2,543,335)	(1,146,897)	(738,250)	(404,537)
Profit from discontinued operations (net of tax)		-	-
Profit for the year		12,555,162	1,498,426	8,442,566	3,605,450
Profit attributable to:
Owners of the parent		12,258,046	1,465,680	8,442,566	3,605,450
Non-controlling interest	25	297,116	32,746	-	-
		12,555,162	1,498,426	8,442,566	3,605,450
Other comprehensive income:
Items that may be subsequently reclassified to the profit or loss account:
Changes in FVTOCI financial assets (net of taxes)	24.4	(1,925,585)	(2,079,964)	(1,907,966)	(1,979,223)
Impairment reversal/charges on FVTOCI	24.7	9,233	15,386	6,739	15,386
Net finance expense from insurance contracts issued (OCI)	39	133,572	270,313	132,372	297,493
Net finance expense from reinsurance contracts held (OCI)	40	(12,896)	(153,098)	(12,169)	(247,487)
Items that will not be subsequently reclassified to profit or loss account		-	-	-	-
Other comprehensive income for the year		(1,795,676)	(1,947,363)	(1,781,025)	(1,913,831)
Total comprehensive income for the year		10,759,486	(448,937)	6,661,542	1,691,620
Attributable to:
Owners of the parent		10,462,370	(684,937)	6,661,542	1,691,620
Non-controlling interests	25	297,116	236,000	-	-
Total comprehensive income for the year		10,759,486	(448,937)	6,661,542	1,691,620
Earnings per share:
Basic (kobo)	43	136	17	94	42
Diluted (kobo)	43	136	17	94	43

4

Consolidated Statement of Comprehensive Income

for the period ended 30 September, 2023

	Group	Group	Parent	Parent
	Q3 2023 only	Q3 2022 only	Q3 2023 only	Q3 2022 only
Continuing operations
Insurance revenue	22,293,308	17,757,508	13,795,207	11,276,957
Insurance service Expenses	(15,349,713)	(9,323,967)	(7,701,705)	(3,371,984)
Net expenses from reinsurance contracts held	(4,108,801)	(6,610,846)	(4,176,998)	(5,986,060)
Insurance service result	2,834,794	1,822,695	1,916,504	1,918,913
Interest Income calculated using effective interest rate method	1,695,041	1,328,029	1,092,750	871,131
Net gain or loss on financial assets at fair value through profit or loss	(994,119)	(274,947)	(649,439)	(779,479)
Net credit impairment losses	(1,363)	2,463	(1,363)	(2,682)
Profit on investment contracts	214,470	79,545	214,470	79,545
Net Investment income	914,029	1,135,090	656,418	168,515
Other income	147,864	26,130	3,419	7,443
Finance income/(expense) from insurance contract issued	(95,077)	(122,131)	(93,146)	(295,413)
Finance income/(expense) from reinsurance contract held	55,337	92,468	57,177	117,992
Expenses for marketing and administration	(814,392)	(263,956)	(747,891)	(481,071)
Employee benefit expense	(1,158,260)	(1,243,302)	(804,496)	(683,644)
Other operating expenses	(1,347,438)	(1,106,471)	(1,223,848)	(1,022,890)
(Impairment)/writeback of other assets	-	-	-	-
Results of operating activities	436,857	340,523	(235,862)	(270,155)
Finance cost	(102,130)	(47,919)	(51,902)	(33,552)
Profit before tax	334,727	292,604	(287,764)	(303,707)
Income tax expense	(903,719)	(717,794)	(320,673)	(167,116)
Profit from discontinued operations (net of tax)	-	-	-	-
Profit for the year	(568,992)	(425,190)	(608,437)	(470,823)
Profit attributable to:
Owners of the parent	(656,377)	(425,190)	(608,437)	(470,823)
Non-controlling interest	87,385	-	-	-
Other comprehensive income:
Items that may be subsequently reclassified to the profit or loss account:
Changes in FVTOCI financial assets (net of taxes)	(763,383)	(3,733,852)	(952,095)	(3,565,509)
Impairment reversal/charges on FVTOCI	1,363	(2,463)	1,363	2,682
Net finance expense from insurance contracts issued (OCI)	203,960	314,713	197,194	326,136
Net finance expense from reinsurance contracts held (OCI)	(70,691)	-	(69,759)	(203,111)
Other comprehensive income for the year	(628,750)	(3,421,602)	(823,298)	(3,439,802)
Total comprehensive income for the year	(1,197,742)	(3,846,792)	(1,431,734)	(3,910,625)
Attributable to:
Owners of the parent	(1,285,127)	(4,050,046)	(1,431,734)	698,029
Non-controlling interests	87,385	203,254	-	-
Total comprehensive income for the year	(1,197,742)	(3,846,792)	(1,431,734)	698,029
Basic (kobo)	136	17	94	42
Diluted (kobo)	136	17	94	42

5

Consolidated Statements of Changes in Equity (All amounts in thousands of Naira unless otherwise stated)

for the period ended 30 September, 2023

				Capital and
	Share	Share	Contingency	other statutory	Share scheme	Treasury	Fair value	Retained	Insurance finance	Total	Non Controlling	Total
	Capital	premium	reserve	reserves	reserves	shares	reserves	earnings	reserve		interest	equity
Balance at 1 January 2023	18,000,000	78,255	5,118,869	-	-	(111,476)	(998,976)	6,907,660	-	28,994,331	4,106,949	33,101,279
IFRS 9 transition adjustments	-	-	-	-	-	-	(754,458)	754,458		-	-	-
IFRS 17 transition adjustments	-	-	-	-	-	-	-	586,761	112,982	699,742	-	699,742
Restated Balance as at 1 January 2023	18,000,000	78,255	5,118,869	-	-	(111,476)	(1,753,434)	8,248,879	112,982	29,694,073	4,106,949	33,801,023
Total comprehensive income for the year
Profit for the year	-	-	-	-	-	-	-	12,258,046		12,258,046	297,116	12,555,162
Transfer to contingency reserves	-	-	142,528	-	-	-	-	(142,528)		-	-	-
Other comprehensive income									126,513	126,513		126,513
Impairment reversal/charges on FVTOCI								(9,233)		(9,233)		(9,233)
Changes in fair value of available-for-sale financial assets	-	-	-	-	-	-	(1,925,585)			(1,925,585)	-	(1,925,585)
Total comprehensive income for the year	-	-	142,528	-	-	-	(1,925,585)	12,106,285	126,513	10,449,741	297,116	10,746,857
Transactions with owners, recorded directly in equity
Dividends to equity holders	-	-	-	-	-	-	-	(2,700,000)		(2,700,000)	-	(2,700,000)
Impact of vesting of shares in the equity settled share based
payment	-	-	-	-	-	-	-	-		-	-	-
Bonus issue expenses		-		-	-	-	-	-		-	-	-
Recapitalization	-	-		-	-	-	-	-		-	-	-
Additional subsidiary investment with NCI	-	-	-	-	-	-	-	-		-	-	-
Total transactions with owners of equity	-	-	-	-	-	-	-	(2,700,000)	-	(2,700,000)	-	(2,700,000)
Balance at 30 September, 2023	18,000,000	78,255	5,261,397	-	-	(111,476)	(3,679,019)	17,655,164	239,495	37,443,814	4,404,066	41,847,883

Consolidated Statements of Changes in Equity

(All amounts in thousands of Naira unless otherwise stated)
for the period ended 30 September, 2022
				Capital and
	Share	Share	Contingency	other statutory	Share scheme	Treasury	Fair value	Retained	Insurance finance	Total	Non Controlling	Total
	Capital	premium	reserve	reserves	reserves	shares	reserves	earnings	reserve		interest	equity
Balance at 1 January 2022	18,000,000	78,255	4,816,716	-	-	(111,476)	(62,329)	7,351,131	-	30,072,297	4,320,891	34,393,189
Total comprehensive income for the year
Profit for the year	-	-	-	-	-	-	-	1,511,287	-	1,511,287	200,002	1,711,289
Transfer to contingency reserves	-	-	191,361	-	-	-	-	(191,361)	-		-	-
Transfer to statutory reserves				-	-	-			-	-	-
Other comprehensive income	-	-		-	-	-			-	-	-
Changes in fair value of available-for-sale financial assets	-	-	-	-	-	-	(1,116,104)		-	(1,116,104) -		(1,116,104)
Total comprehensive income for the year	-	-	191,361	-	-	-	(1,116,104)	1,319,926		395,183	200,002	595,185
Transactions with owners, recorded directly in equity
2021 final dividend to equity holders	-	-	-	-	-	-	-		-	-	-	-
2022 Interim dividends to equity holders	-	-	-	-	-	-	-	(2,250,000)	-	(2,250,000)	-	(2,250,000)
Recapitalization	-	-		-	-	-	-	-	-	-	-	-
Additional subsidiary investment with NCI	-	-	-	-	-	-	-	-	-	-	-	-
Total transactions with owners of equity	-	-	-	-	-	-	-	(2,250,000)		(2,250,000)	-	(2,250,000)
Changes in ownership interest
Acquisition of subsidiary with NCI	-	-	-	-	-	-	-	-	-	-	-	-
Disposal of subsidiary	-	-	-	-	-	-	-	-	-	-	-	-
Total changes in ownership interests	-	-	-	-	-	-	-	-		-	-	-
Balance at 30 September, 2022	18,000,000	78,255	5,008,077	-	-	(111,476)	(1,178,433)	6,421,057		28,217,480	4,520,893	32,738,374

6

Statement of Changes in Equity

(All amounts in thousands of Naira unless otherwise stated) for the period ended 30 September, 2023

Parent
				Capital and
	Share	Share	Contingency	other statutory	Share scheme	Treasury	Fair value	Insurance finance	Retained	Total
	Capital	premium	reserve	reserves	reserves	shares	reserves	reserve	earnings	equity
Balance at 1 January 2023	18,000,000	78,255	5,118,869	-	-	(111,476)	(745,315)	-	3,827,637	26,167,970
IFRS 9 transition adjustments	-	-	-	-	-	-	(856,453)	-	856,453	-
IFRS 17 transition adjustments	-	-	-	-	-	-	-	110,340	586,762	697,102
Restated Balance as at 1 January 2023	18,000,000	78,255	5,118,869	-	-	(111,476)	(1,601,768)	110,340	5,270,852	26,865,074
Total comprehensive income for the year
Profit for the year	-	-	-	-	-	-	-	-	8,442,566	8,442,566
Transfer to contingency reserves	-	-	142,528	-	-	-	-	-	(142,528)	-
Other comprehensive income								126,040	-	126,040
Impairment reversal/charges on FVTOCI									(6,739)	(6,739)
Changes in fair value of available-for-sale financial assets	-	-	-	-	-	-	(1,907,966)	-	-	(1,907,966)
Total comprehensive income for the year	-	-	142,528	-	-	-	(1,907,966)	126,040	8,293,300	6,653,901
Transactions with owners, recorded directly in equity
Dividends to equity holders	-	-	-	-	-	-	-	-	(2,700,000)	(2,700,000)
equity settled share based payment										-
Impact of vesting of shares in the equity settled share based
payment	-	-	-	-	-	-	-	-	-	-
Total transactions with owners	-	-	-	-	-	-	-	-	(2,700,000)	(2,700,000)
Balance at 30 September, 2023	18,000,000	78,255	5,261,397	-	-	(111,476)	(3,509,734)	236,380	10,864,152	30,818,974
(All amounts in thousands of Naira unless otherwise stated)
for the period ended 30 September, 2022
Parent
				Capital and
	Share	Share	Contingency	other statutory	Share scheme	Treasury	Fair value	Insurance finance	Retained	Total
	Capital	premium	reserve	reserves	reserves	shares	reserves	reserve	earnings	equity
Balance at 1 January 2022	18,000,000	78,255	4,816,716	-	-	(111,476)	(8,764)	-	2,335,683	25,110,414
Total comprehensive income for the year	-	-	-	-	-	-	-	-		-
Profit for the year	-	-	-	-	-	-	-	-	3,802,700	3,802,700
Transfer to contingency reserves	-	-	191,361	-	-	-	-	-	(191,361)	-
Other comprehensive income	-	-		-	-	-	-	-	-	-
Changes in fair value of available-for-sale financial assets	-	-	-	-	-	-	(927,581)	-	-	(927,581)
Total comprehensive income for the year	-	-	191,361	-	-	-	(927,581)	-	3,611,339	2,875,119
Transactions with owners, recorded directly in equity
Contributions by and distributions to owners	-	-	-	-	-	-	-	-	-	-
2021 Final dividend to equity holders	-	-	-	-	-	-	-	-	(2,250,000)	(2,250,000)
2022 Interim dividends to equity holder	-	-		-					-	-
Dividends to equity holders	-	-	-	-	-	-	-	-	-	-
Equity- settled share-based expense for the year	-	-	-	-	-	-	-	-	-	-
equity settled share based payment										-
Impact of vesting of shares in the equity settled share based payme	-	-	-	-	-	-	-	-	(2,250,000)	(2,250,000)
	-	-	-	-	-	-	-		-	-
Balance at 30 September, 2022	18,000,000	78,255	5,008,077	-	-	(111,476)	(936,345)	-	3,697,022	25,735,533

7

Statement of Cashflows

for the period ended 30 September 2023
(All amounts in thousands of Naira unless otherwise stated)
		Group	Group	Parent	Parent
	Notes	30-Sep-2023	30-Sep-2022	30-Sep-2023	30-Sep-2022
Cash flows from operating activities
Cash premium received		66,949,486	51,497,117	39,355,657	31,825,967
Cash paid as reinsurance premium		(16,269,058)	(15,893,852)	(16,109,187)	(15,688,588)
Fee income received		2,099,210	1,664,031	2,298,268	1,997,434
Cash received on investment contract liabilities	17.6	497,277	324,706	497,277	324,706
Cash paid to investment contract holders	17.6	(2,080,849)	(4,303,494)	(2,080,849)	(4,303,494)
Claims paid	b	(29,477,110)	(22,369,718)	(11,665,846)	(6,152,242)
Cash received from reinsurers on recoveries for claims paid	8	2,789,215	1,167,569	2,483,406	1,065,409
Cash received from coinsurers on recoveries and claims paid	7.2a	536,880	184,233	536,880	184,233
Underwriting expenses paid	28	(5,352,920)	(4,188,917)	(4,041,591)	(3,443,312)
Employee benefits paid		(3,527,505)	(3,289,190)	(2,098,376)	(2,543,513)
Rent received		417,343	695,163	-	-
Other operating expenses paid		(4,854,047)	(3,555,095)	(4,650,441)	(3,569,119)
Lease payment	11	-	(295,147)	-	(295,147)
Premium received in advance		618,110	631,809	618,110	631,809
Changes in working capital		12,346,032	2,269,215	5,143,307	34,144
Income tax paid	20	(870,767)	(1,181,339)	(668,008)	(222,029)
Income tax paid		-	(1,773,750)	-	(458,966)
Net cash from operating activities		11,475,265	495,465	4,475,299	(424,822)
Cash flows from investing activities
Purchases of property, plant and equipment	18	(1,276,987)	(922,425)	(781,296)	(787,654)
Dividend received		1,875,861	2,891,512	398,505	770,011
Investment income received		2,501,446	2,785,406	2,020,129	2,433,941
Purchase of intangible assets	13	(298,141)	(314,639)	(285,152)	(105,344)
Proceeds from the disposal of property and equipment		33,478	83,284	5,000	83,119
Purchase of fair value through profit or loss financial assets		(865,000)	(7,595,392)	(865,000)	(7,595,392)
Sale of fair value through profit or loss financial assets		-	4,005,813	-	4,005,813
Sale of available-for-sale financial assets		3,511,302	6,099,407	3,708,323	5,697,441
Purchase of available-for-sale financial assets		(10,986,257)	(5,495,364)	(5,670,053)	(2,727,048)
Increase in loans and receivables		(590,637)	(11,605)	(1,121,813)	(11,605)
Repayment of loans and receivables		155,858	71,775	123,539	1,114,238
Net cash used in investing activities		(5,939,076)	1,597,771	(2,467,818)	2,877,520
Cash flows from financing activities
Expenses on Bonus issue		-	-	-	-
Dividend paid		(2,700,000)	(2,250,000)	(2,700,000)	(2,250,000)
Interest & principal repayment on borrowings		(147,000)	(165,000)	-	-
Net cash used in financing activities		(2,847,000)	(2,415,000)	(2,700,000)	(2,250,000)
Net increase/decrease in cash and cash equivalents		2,689,189	(321,764)	(692,519)	202,698
Cash and cash equivalent at beginning of year	5	13,469,877	17,343,344	11,107,664	14,227,012
Effect of exchange rate changes on cash and cash equivalent		2,081,919	265,300	1,892,654	127,560
Cash and cash equivalent at end of year	5	18,240,985	17,286,880	12,307,799	14,557,270

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1. General information
   Reporting entity
   AXA Mansard Insurance Plc ('the Company' or 'the parent') and its subsidiaries (together 'the Group') underwrite life and non-life insurance contracts. The Group also issues a diversified portfolio of investment contracts to provide its customers with asset management solutions for their savings and retirement needs as well as provide pension administration and management services to its customers. All these products are offered to both domestic and foreign markets. The Group does business in Nigeria and employs about 294 people.
   The Company is a public limited company incorporated and domiciled in Nigeria. The address of its registered office is at 'Santa Clara Court, Plot 1412, Ahmadu Bello Way Victoria Island, Lagos, Nigeria. The Company is listed on the Nigerian Stock Exchange.
2. Summary of significant accounting policies
   2.1 Basis of presentation and compliance with IFRS
   These financial statements have been prepared in accordance with the International Financial Reporting Standards (IFRS) and IFRS Interpretations Committee (IFRIC) Interpretations applicable to companies reporting under IFRS. These financial statements are also in compliance with Financial Reporting Council of Nigeria Act, Companies and Allied Matters Act of Nigeria, the Insurance Act of Nigeria and relevant National Insurance Commission (NAICOM) guidelines and circulars.
   The consolidated financial statements comprises the consolidated statement of comprehensive income, the consolidated statement of financial position, the consolidated statements of changes in equity, the consolidated statement of cash flows and the notes.

(a) Basis of measurement

These consolidated and separate financial statements have been prepared on the historical cost basis except for the following:

• non-derivativefinancial instruments designated at fair value through profit or loss.
• available-for-salefinancial assets are measured at fair value.
• investment property is measured at fair value.
• insurance liabilities measured at present value of future cashflows.
• share based payment at fair value or an approximation of fair value allowed by the relevant standards
• investment contract liabilities at fair value.

(b) Use of estimates and judgements

The preparation of the consolidated and separate financial statements in conformity with IFRSs requires management to make judgements, estimates and assumptions that affect the application of policies and reported amounts of assets and liabilities, income and expenses. Actual results may differ from these estimates.

Information about significant areas of estimation uncertainties and critical judgements in applying accounting policies that have the most significant effect on the amounts recognised in the consolidated and separate financial statements are described in note 2.3.

2.1.1 Changes in accounting policy and disclosures

(a) New and amended standards and interpretations not yet adopted by the Group

A number of standards, interpretations and amendments are effective for annual period beginning on or after 1 January 2020 and earlier application is permitted; however, the group has not early adopted the following new or amended standards in preparing these consolidated and separate financial statements as it plans to adopt these standards at their respective effective dates:

New or amended standards	Summary of the requirements		Possible impact on Consolidated financial statements
IFRS 9: Financial instruments	IFRS 9, released in July 2014, replaces the existing guidance in IAS 39	The Group will adopt IFRS 9 ‐ Financial Instruments from 1 January 2023.
	Financial instruments: Recognition and measurement. IFRS 9 includes	The estimated impact of the adoption of the standard on the Group's equity
	revised guidance on the reclassification and measurement of financial	as at 1 January 2023 is based on the assessments summarised below. The
	instruments, a new expected credit loss model for	calculating	actual impact of adopting the standard at 1 January 2023 are subject to
	impairment on financial assets and new general hedge	accounting	change until the Group presents its first financial statement that includes the
	requirements. It also carries forward the guidance on recognition and	date of initial application.
	derecognition of financial instruments from IAS 39. IFRS 9 is effective	Classification and measurement
	for annual reporting periods beginning on or after 1 January 2018 with	The Group currently categorizes the majority of its financial assets as
	early adoption permitted.		available for sale with the fair value changes recognised in other
			comprehensive income. Under IFRS 9, the Group has designated these
			investments as measured at fair value through OCI. Consequently, all fair
			value gains and losses will be reported in OCI, no impairment losses will be
			recognised in profit or loss and no gains or losses will be reclassified to profit
			or loss on disposal..
			Based on its assessment, the Group does not believe that the new
			classification requirements will have a material impact on its accounting for
			Trade receivables, loans, investment in debt securities and investments in
			equity securities that are managed on a fair value basis.
			The above intended classification may change due to the continuous
			assessment of the requirement of the standard and review of business
			practices until the first set of financial statement under IFRS 9 is issued.
			Impairment:
			The Group believes that impairment losses are likely to increase for assets in
			the scope of IFRS 9 impairment model, although they are not expected to be
			highly volatile.
			The approach to impairment assessment under IFRS 9 will be determined by
			the final classification adopted in 2023.
Prepayment Features with Negative	This amendment was published to address the concerns about how	The Group has implemented IFRS 9 with effect from January 1, 2023.
Compensation (Amendments to IFRS 9)	IFRS 9 'Financial Instruments' classifies particular prepayable financial
	assets. In addition, the IASB clarifies an aspect of the accounting for
	financial liabilities following a modification.
	The amendments are to be applied retrospectively for fiscal years
	beginning on or after 1 January 2019, i. e. one year after the first
	application of IFRS 9 in its current version. Early application is
	permitted so entities can apply the amendments together with IFRS 9 if
	they wish so.

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IFRS 17: Insurance Contracts	IFRS 17 was issued in May 2017 as replacement for IFRS 4 Insurance	The Group assesses its insurance and reinsurance products to determine
	Contracts. It requires a current measurement model where estimates	whether they contain components which must be accounted for under
	are re-measured each reporting period.	another IFRS rather than IFRS 17
	The standard allows a choice between recognising changes in discount	(distinct non- insurance components). After separating any distinct
	rates either in the statement of profit or loss or directly in other	components, an entity must apply IFRS 17 to all remaining components of
	comprehensive income. The choice is likely to reflect how insurers	the (host) insurance contract.
	account for their financial assets under IFRS 9.	Currently, the Group's products do not include distinct components that
	An optional, simplified premium allocation approach is permitted for	require separation.
	the liability for the remaining coverage for short duration contracts,	Some term life contracts issued by the Group include a surrender option
	which are often written by non-life insurers.	under which the surrender value is paid to the policyholder on maturity or
	There is a modification of the general measurement model called the	earlier lapse of the contract. These surrender options have been assessed to
	'variable fee approach' for certain contracts written by life insurers	meet the definition of a non-distinct investment component in IFRS 17. IFRS
	where policyholders share in the returns from underlying items. The	17 defines investment components as the amounts that an insurance contract
	results of insurers using this model are therefore likely to be less	requires an insurer to repay to a policyholder in all circumstances, regardless
	volatile than under the general model.	of whether an insured event has occurred. Investment components which are
		highly interrelated with the insurance contract of which they form a part are
		considered non-distinct and are not separately accounted for. However,
		receipts and payments of the investment components are excluded from
		insurance revenue and insurance expenses. The surrender options are
		considered non distinct investment components as the Group is unable to
		measure the value of the surrender option component separately from the life
		insurance portion of the contract.

2.1.2 Insurance contracts

1. Key types of insurance contracts issued, and reinsurance contracts held.

The Group issues the following types of contracts that are accounted for in accordance with IFRS 17 Insurance Contracts: · Life Business - Individual Life With-profit Policies. These are endowment plans without participating features.

The Group accounts for these policies applying the General Model. · Life Business - Individual Life Without-profit Policies including: Term life insurance contracts providing level or decreasing sum assured coverage for a limited period in exchange for renewable fixed premiums and Whole of life assurance contracts

The Group accounts for these policies applying the General Model

Life Business - Annuity Policies including: Fixed annuity contracts providing the annuitant with a guaranteed income payout for a limited period. Deferred annuity contracts providing the annuitant with a guaranteed income payout for life, with the first payment due at the end of the deferment period, provided all contractual premiums were paid. The policyholder is entitled to a surrender benefit (a portion of the accumulation balance at a guaranteed interest rate) if premiums are not fully.

Group Life Business - The Group issues term assurance plans providing death benefits to employees of businesses with coverage of one year or less.

The Group accounts for these contracts applying the Premium Allocation Approach (PAA). · Non-Life Business - The Company issues non-life insurance to individuals and businesses. Non-life insurance products offered include motor, property, marine, fire and personal accident. These products offer protection of policyholder's assets and indemnification of other parties that have suffered damage as a result of a policyholder's accident. The Group accounts for these contracts applying the Premium Allocation Approach (PAA). The Group also holds the following types of reinsurance contracts to mitigate risk exposure. · For the life business, the Group holds quota share reinsurance treaties and accounts for these treaties applying the PAA. · For non-life, the Group holds facultative (excess of individual loss) reinsurance policies and quota share reinsurance contracts accounted for applying the PAA

1. Definitions and classifications
   Products sold by the Group are classified as insurance contracts when the Group accepts significant insurance risk from a policyholder by agreeing to compensate the policyholder if a specified uncertain future event adversely affects the policyholder. This assessment is made on a contract-by-contract basis at the contract issue date. In making this assessment, the Group considers all its substantive rights and obligations, whether they arise from contract, law or regulation. The Group determines whether a contract contains significant insurance risk by assessing if an insured event could cause the Group to pay to the policyholder additional amounts that are significant in any single scenario with commercial substance even if the insured event is extremely unlikely or the expected present value of the contingent cash flows is a small proportion of the expected present value of the remaining cash flows from the insurance contract. The Group does not issue any contracts with direct participating features
2. Combining a set or series of contracts
   Sometimes, the Group enters into two or more contracts at the same time with the same or related counterparties to achieve an overall commercial effect. The Group accounts for such a set of contracts as a single insurance contract when this reflects the substance of the contracts. When making this assessment, the Group considers whether: · The rights and obligations are different when looked at together compared to when looked at individually. · The Group is unable to measure one contract without considering the other.
3. Separating components from insurance and reinsurance contracts
   The Group assesses its insurance and reinsurance products to determine whether they contain components which must be accounted for under another IFRS rather than IFRS 17 (distinct non- insurance components). After separating any distinct components, an entity must apply IFRS 17 to all remaining components of the (host) insurance contract. Currently, the Group's products do not include distinct components that require separation. Some term life contracts issued by the Group include a surrender option under which the surrender value is paid to the policyholder on maturity or earlier lapse of the contract. These surrender options have been assessed to meet the definition of a non-distinct investment component in IFRS 17. IFRS 17 defines investment components as the amounts that an insurance contract requires an insurer to repay to a policyholder in all circumstances, regardless of whether an insured event has occurred. Investment components which are highly interrelated with the insurance contract of which they form a part are considered non-distinct and are not separately accounted for. However, receipts and payments of the investment components are excluded from insurance revenue and insurance expenses. The surrender options are considered non distinct investment components as the Group is unable to measure the value of the surrender option component separately from the life insurance portion of the contract.
4. Level of aggregation
   IFRS 17 requires an entity to determine the level of aggregation for applying its requirements. The Group identifies portfolios by aggregating insurance contracts that are subject to similar risks and managed together. In grouping insurance contracts into portfolios, the Group considers the similarity of risks rather than the specific labelling of product lines. The Group has determined that all contracts within each product line, as defined for management purposes, have similar risks. Therefore, when contracts are managed together, they represent a portfolio of contracts. Each portfolio is subdivided into groups of contracts to which the recognition and measurement requirements of IFRS 17 are applied. At initial recognition, the Group segregates contracts based on when they were issued. A cohort contains all contracts that were issued within a 12-month period. Each cohort is then further disaggregated into three groups of contracts:
5. • Contracts that are onerous on initial recognition
   • Contracts that, on initial recognition, have no significant possibility of becoming onerous subsequently
   • Any remaining contracts

For the Retail Life business, the determination of whether a contract or a group of contracts is onerous is based on the expectations as at the date of initial recognition, with fulfilment cash flow expectations determined on a probability-weighted basis. The composition of groups established at initial recognition is not subsequently reassessed. For short term contracts accounted for applying the PAA, the Group determines that contracts are not onerous on initial recognition, unless there are facts and circumstances indicating otherwise.

1. Recognition
   The Group recognizes groups of insurance contracts issued from the date when the first payment from a policyholder in the group becomes due. As AXA Mansard adheres to the statutory "no premium no cover", the date premium is received from the policyholder will always be earlier or on the same date as the coverage period. This premium receipt date would then be used to separate the groups of insurance contracts into yearly cohorts. The contract groupings shall not be reassessed until they are derecognized.

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