Clico profits drop to $149m

COLONIAL Life Investment Company Ltd (Clico) reported a profit after tax of $149.3 million for the year ending December 31, 2024.

The profits were a drastic decline from the same period in 2023, when it earned $2.3 billion after divesting a huge amount of shares from energy company Methanol Holdings International Ltd (MHIL).

The company’s abridged consolidated statement of profit or loss published in local newspapers on March 24, said it earned revenue from insurance to the tune of $252.9 million for the year ending December 31, 2024, as compared to $201.4 million for the same period the year before.

Additional revenue from investment income and expenses brought the company’s profit before tax to $152.2 million for 2024.

In 2023, Clico recorded a gross sale of energy products to the tune of $2.29 billion, bringing its profit after tax to $2.38 billion.

This followed the sale of MHIL shares, generating $958 million in gross profit.

The company sold more than 5.6 million shares – more than 56 per cent of the issued and outstanding shares in MHIL to Consolidated Energy Ltd (CEL).

KPMG Chartered Accountants, the company’s accountants, said in a disclaimer of opinion that it was not given access to critical information about the transaction.

It said it was unable to obtain sufficient, appropriate audit evidence over the transaction because it was not given the necessary audit working papers and group reporting from the subsidiary to complete the audit process.

"Consequently we were unable to determine whether any adjustments might have been necessary in respect of the consolidated statements of profit or loss, other comprehensive income changes in equity and cash flows for the year then ended," KPMG said in its report.