CIC Group, linked to Kenyan tycoon Gideon Muriuki, reports $10.9 million profit in 2023

Yusuf Abdulfatai -

Key Points:

  • CIC Group’s net profit jumped 32% to $10.97 million in 2023, driven by higher revenue and lower costs.
  • Insurance revenue rose, pushing operating profit up 143%. Investment returns also climbed 24%.
  • Backed by strong results, CIC Group recommends a final dividend of $0.001 per share. Tycoon Gideon Muriuki, a major shareholder, stands to benefit.

CIC Insurance Group (CIC Group), a leading insurance and investment group partly owned by Kenyan tycoon Gideon Muriuki, delivered a record-breaking financial performance in its 2023 fiscal year, with profits surpassing the 10-million-dollar mark.

Profits for the year ended December 31, 2023, rose 31.87 percent to Ksh1.44 billion ($10.97 million) from Ksh1.09 billion ($8.31 million) a year earlier, driven by increased income and reduced operating costs.

CIC Group sees strong performance

Across its business segments, CIC Group saw strong performance. Insurance revenue climbed to Ksh25.4 billion ($193.36 million) from Ksh20.73 billion ($157.83 million). This resulted in a 143.44 percent increase in operating profit to Ksh3.07 billion ($23.33 million) from Ksh1.26 billion ($9.58 million) in the prior period.

Insurance service results (previously net earned premiums) reached, Ksh788.23 million ($6 million) in 2023. Net investment returns, comprising income from government securities, fixed deposits, and property, rose 24.4 percent to Ksh2.2 billion ($16.75 million) from Ksh1.76 billion ($13.4 million).

CIC Group recommends dividends, Gideon Muriuki holds a significant stake

CIC Group, headquartered in Nairobi with a regional presence in South Sudan, Uganda, and Malawi, offers innovative financial services to over 1 million customers. Its network includes 25 local branches, over 1,000 financial advisors, and various online platforms.

Gideon Muriuki, a leading Kenyan tycoon, and the CEO of Co-op Bank, holds the largest individual stake in CIC Group at 5.27 percent, representing 137,824,304 shares, currently valued at Ksh308.73 million ($2.35 million). This, along with his 2 percent stake in Co-op Bank, solidifies his position among the wealthiest investors on the Nairobi Securities Exchange.

On the back of strong financials, the board recommends a final dividend of Ksh0.13 ($0.001) per share, totaling Ksh345 million ($2.62 million) for the year ended December 31, 2023. Shareholders can expect the dividend to be credited to their accounts starting July 8, 2024.