LIC Q4 Results: Profit Rises 38%, Net Premium Income Falls
LIC Q4FY25 Results: Net premium income slipped 3.2% to Rs 1.48 lakh crore, as against Rs 1.53 lakh crore in the year-ago quarter.
Life Insurance Corp.'s consolidated net profit rose 38% in the fourth quarter of the current financial year.
The country's largest insurer posted a profit of Rs 19,038.7 crore in the quarter ended March, as compared to Rs 13,781.6 crore in the year-ago period, according to an exchange filing on Tuesday.
LIC Q4 FY25 Highlights (Consolidated, YoY)
Net premium income down 3.2% to Rs 1.48 lakh crore versus Rs 1.53 lakh crore.
Net profit up 38% to Rs 19,038.7 crore versus Rs 13,781.6 crore. (Bloomberg estimate: Rs 12,395 crore).
Solvency ratio at 2.11% versus 1.98%.
Annual premium equivalent down 11% to Rs 18,853 crore versus Rs 21,180 crore.
Value of new business slips 3.18% to Rs 3,534 crore versus Rs 3,650.
VNB margin down 61 basis points at 18.75% versus 19.36% (QoQ).
Final dividend of Rs 12 per share declared.
The persistency ratio for 13th month came in at 68.62%, marginally higher as compared to 68.61% in the preceding quarter. However, the persistency ratio for 61st month slipped to 58.54% as against 59.69% in the December 2024 quarter.
FY25 Performance Highlights
VNB up 4.47% at Rs 10,011 crore versus Rs 9,583 crore in FY24.
Assets under management up 6.45% at Rs 54.52 lakh crore versus Rs 51.21 lakh crore.
Profit after tax grew by 18% to Rs 48,151 crore versus Rs 40,676 crore.
Total individual premium up 5% at Rs 3.19 lakh crore versus Rs 3.03 lakh crore.
Total group business premium down to Rs 1.69 lakh crore versus 1.71 lakh crore.
Total premium income up 2.75% to Rs 4.88 lakh crore versus Rs 4.75 lakh crore.
Indian embedded value at Rs 7,76,876 versus Rs 7,27,344.
Net VNB margin at 17.6% versus 17.06% for nine-month ended Dec. 31, 2024.
Key Highlights
LIC continues to be the market leader in India's life insurance business, with overall market share of 57.05%. For the year ended March 31, 2025, it had a market share of 37.46% in individual business and 71.19% in the group business.
A total of 1.78 crore policies were sold in the individual segment during fiscal 2025 as compared to 2.04 crore policies sold in fiscal 2024.
On an annualised premium equivalent basis, the total premium was Rs 56,828 crore for fiscal 2025. Of this 67.25%, or Rs 38,218 crore, was accounted for by the individual business and 32.75%, or Rs 18,610 crore, by the group business.
Within the individual business, the share of par products on APE basis was 72.31%, or Rs 27,636 crore, and balance 27.69%, or Rs 10,581 crore, was due to non-par products.
The non-par APE has increased from Rs 7,041 crore in fiscal 2024 to Rs 10,581 crore in fiscal 2025, registering a growth of 50.28%.
The non-par share of individual business, which was 18.32% for the year ended March 31, 2024 has grown to 27.69% for the year ended March 31, 2025.
Before the financial results were declared, shares of LIC closed 0.12% higher at Rs 871.05 apiece on the BSE, compared to 0.76% decline in the benchmark Sensex.
