LIC Q3 Results: Life Insurance Corporation (LIC) of India has announced a dividend of Rs 4 per equity share and the record date for the same is fixed on Feb. 21.
LIC Net Profit in Q3 FY24
In its earnings results for Q3 FY24, the insurer has logged a 49 percent rise in its YoY net profit at Rs 9,441 crore. The company posted a net profit of Rs 6,334 crore in the corresponding period a year ago.
In the quarter under review, LIC saw a 4.67 percent rise in its net premium income, taking it to Rs 1.17 lakh crore, as per an exchange filing. Its net premium income in the corresponding three months a year ago stood at Rs 1.11 lakh crore.
The total annual premium equivalent (APE), a crucial metric for gauging new business sales growth, rose to Rs 13,163 crore from Rs 12,370 crore in the previous year. The insurer’s value of new business stood at Rs 2,634 crore as against Rs 1801 crore a year earlier.
The insurance company managed to lower its gross non-performing assets from 5.02 percent to 2.15 percent compared to the previous year. The solvency ratio improved from 1.85 percent in the corresponding quarter last year to 1.93 percent in reviewed period this fiscal year.
Their total assets under management (AUM), which is like all the money they take care of, grew to Rs. 49.66 lakh crore by December 2023. That’s a nice 11.98% increase compared to Rs. 44.34 lakh crore on December 31st, 2022. This shows LIC is doing a good job managing their money and making smart financial moves.
LIC chairperson Siddhartha Mohanty’s statement
On the results, LIC chairperson Siddhartha Mohanty said: “Our consistent and focused approach towards diversifying and changing our product mix is now yielding results at a faster pace. The same is evident in the rise in the share of Non Par business on APE basis to 14.04% of our total individual business for the first nine months of FY 2024. The fact that this is also accompanied by 200 bps increase in the VNB margin levels to 16.6 percent is an indicator that our strategic interventions are delivering in the manner that we envisaged.”
“We want to make sure that every action of ours is value accretive to all stakeholders. We will relentlessly pursue our targeted product and channel mix with the support of all our employees, agency force and channel partners. We are committed to developing new products designed to meet the evolving needs of our customers. With our digital transformation project underway, we are confident of making significant improvements in our business processes,” he further said.
On Thursday, LIC shares closed 5.86 percent higher at Rs 1,106.25 apiece on the BSE.
