Mumbai, Aug 7 (IANS) Life Insurance Corporation of India (LIC), the country’s largest life insurer, on Thursday reported a 3.91 per cent year-on-year (YoY) increase in its consolidated net profit for the June quarter of the current financial year (Q1 FY26).
The profit rose to Rs 10,957 crore from Rs 10,544 crore recorded in the same period previous year (Q1 FY25), according to its stock exchange filing.
LIC’s net premium income also showed steady growth. For the quarter under review, it stood at Rs 1,19,618.41 crore — marking a 4.7 per cent rise from Rs 1,14,230.24 crore in Q1 FY25.
“During the first quarter of this financial year, our overall market share by First Year Premium Income was 63.51 per cent and we maintained our leadership in both Individual and Group Business,” R Doraiswamy, CEO and MD, LIC said.
“Key elements of our strategy like increase in Non Par share in Individual business, increase in VNB margin, increase in Banca share are fully on track,” Doraiswamy added.
On a standalone basis, LIC posted a 5 per cent YoY increase in profit, which rose to Rs 10,986.51 crore compared to Rs 10,461.05 crore in the corresponding quarter of the previous year.
The company saw strong momentum in its non-participating (non-par) business. The share of non-par APE (annualised premium equivalent) in the individual segment climbed to 30.34 per cent during the quarter, up from 23.94 per cent in the same period previous year.
The individual business non-par APE rose significantly by 32.63 per cent to Rs 2,142 crore, as per its regulatory filing.
LIC’s group business APE also posted a healthy growth of 16.14 per cent, reaching Rs 5,590 crore. Overall APE for the quarter increased by 9.45 per cent to Rs 12,652 crore.
Importantly, the value of new business (VNB), which represents the profitability of new policies sold, rose by 20.75 per cent to Rs 1,944 crore.
LIC also improved its net VNB margin by 150 basis points, which now stands at 15.4 per cent.
In a positive move for shareholders, LIC declared a final dividend of Rs 12 per share.
–IANS
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