28-May-2024
2 mins read
The country's largest insurer, LIC, released its fourth-quarter earnings on Monday, May 27, 2024. It reported a net profit of Rs 13,782 crore, up by 4.5% year over year. In total, FY24, the company reported a net profit of Rs 40,676 crore compared to Rs 36,397 crore in FY23. BOD declared an interim dividend of Rs 6 per share.
Total premium income in FY 2024, was reported at Rs 47,5,070 crore against Rs 4,74,005 crore for the year ended on March 31 2023. The total individual business premium in FY24 increased to Rs 3,03,768 crore compared to Rs 1,81,242 crore in the last year.
The LIC group total premium income in FY24 was at Rs 1,71,302 crore compared to Rs 1,81,242 crore in the year ended on March 31 2023.
LIC's Asset Under Management Update
The AUM increased to Rs 51,21,887 crore, compared to Rs 43,97,205 crore in FY23. It registered a growth of 16.48% year over year.
LIC sold 2,03,92,973 policies in the individual segment in FY24 compared to 2,04,28,937 in FY23.
The value of new business was Rs 9,583 crore as compared to Rs 9,156 crore for the year ended on March 31 2023 registering a growth of 4.66%. In FY24, the net VNB margin increased by 16 bps to 16.80% compared to 16.20% for the year ended on March 31 2023. The solvency ratio increased to 1.98 against 1.87 on March 31 2023.
LIC's Chairperson Commentary
LIC Chairperson Siddhartha Mohanty, said the company focused on directional changes in the product mix during the previous year along with enhancing margins in the business.
He further added "We have more than doubled our share of non-par business within our Individual business. We intend to focus our strategic interventions to maximize our market share across categories. At the same time, our sharp focus on various parameters which create superior value for all stakeholders shall continue, as demonstrated."