Life Insurance Corporation of India (LIC) reported a 16.3 per cent year-on-year (YoY) increase in its consolidated net profit, reaching Rs 11,009 crore for Q3FY25, up from Rs 9,469 crore in the year-ago quarter. However, net premium income declined 8.6 YoY to Rs 1.07 lakh crore, compared to Rs 1.17 lakh crore in Q3FY24.
Despite the profit boost, largely attributed to improved margins and investment income, the contraction in premium collections indicates sluggish new business growth. The annual premium equivalent (APE) is expected to show a decline, reflecting muted demand for insurance policies amid competition from private players.
LIC’s solvency ratio improved to 2.02 from 1.93 YoY, signalling a stronger financial position. The company’s ability to sustain profitability while navigating premium growth challenges will be closely watched by investors.
Shares of LIC have been trading range-bound ahead of the results, with market participants looking for cues on business growth and potential strategy shifts.
(More to come…)
Doonited Affiliated: Syndicate News Hunt
This report has been published as part of an auto-generated syndicated wire feed. Except for the headline, the content has not been modified or edited by Doonited
