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Key Points
- Sanlam hikes dividend 11% to $522.3 million, reflecting strong earnings, disciplined cost management, and robust investment returns across its African and Indian markets.
- Net operational earnings per share jumped 26%, while new business volumes hit R420 billion ($23.12 billion), underscoring sustained demand and resilient performance.
- Sanlam strengthened key alliances, extending its Ubuntu-Botho partnership to 2034 and expanding ventures with Allianz, TymeBank, and Fedhealth to drive long-term growth.
Sanlam Limited, Africa’s leading insurer, led by one of South Africa’s most affluent executives, Paul Hanratty, is set to pay an interim dividend of $522.3 million to shareholders for its 2024 fiscal year. The payout reflects the Johannesburg-listed insurer’s focus on rewarding investors following strong business momentum across its key markets amid favorable investment returns and disciplined cost management.
The Africa’s largest non-banking financial services group increased its final dividend by 11 percent to R4.45 ($0.245) per share, totaling R9.43 billion ($522.3 million). This reflects a three-year inflation-adjusted growth of 4.5 percent, aligning with its target of South Africa’s CPI plus 2–4 percent. Shareholders will receive the payout on April 15, 2025.
Sanlam powers ahead with strong growth
Sanlam raising its dividend by double-digit posted robust earnings growth in 2024, fueled by solid investment returns, disciplined cost management, and sustained client demand across its key markets. Net operational earnings per share rose 26 percent, while new business volumes surged to R420 billion ($23.12 billion), reflecting strength in South Africa, broader Africa, and India.
The group's Return on Equity (ROE) reached 19.8 percent, with equity value growth at 20.3 percent, underscoring the resilience of its diversified portfolio. Cash net result from financial services (NRFFS) climbed 17 percent per share, reinforcing strong cash generation and strategic capital deployment.
“Customer focus and strategic partnerships continue to drive our performance,” said CEO Paul Hanratty. “Our investments in Africa, India, and South Africa—along with key alliances like SanlamAllianz and our extended partnership with Ubuntu-Botho—position us for sustainable long-term growth.”Additionally, Sanlam extended its 20-year partnership with Ubuntu-Botho by another decade to 2034, reinforcing a key strategic alliance.
Paul Hanratty steers Sanlam’s growth through strategic partnerships
Sanlam, South Africa’s leading insurer, is partly owned by Ubuntu-Botho Investments, the investment firm founded by billionaire Patrice Motsepe. At the helm is Paul Hanratty, a seasoned executive with a 0.23 percent stake in the company.
Hanratty, ranked among the country’s top executives, took over as group CEO on July 1, 2020, after serving on the board since 2017. His leadership includes prior roles as executive director and Audit Committee chair, bringing deep financial expertise.
With a market capitalization of R180 billion ($9.91 billion) and operations spanning 31 countries across Africa, Asia, and the UK, Sanlam continues its expansion. The group is optimistic about 2025, citing economic recovery and growth opportunities in its Assupol acquisition, TymeBank partnership, and new collaboration with Fedhealth to strengthen its healthcare offerings.
