Life Insurance Corporation (LIC) has reported a 2.5% year-on-year increase in net profit, reaching Rs 13,762 crore for the March quarter of the financial year 2023-24, compared to Rs 13,421 crore in the same period last year.
The company announced on May 27 that its asset quality had improved in the final quarter of FY24. LIC declared an interim dividend of Rs 6 per share for its shareholders.
The gross non-performing asset (GNPA) ratio improved to 2.01%, down from 2.56% in the previous year. The value of new business (VNB) rose by 4.66% to Rs 9,583 crore, and the VNB margin increased by 60 basis points to 16.8%.
In the individual business segment, the non-par Annualized Premium Equivalent (APE) share grew by 9.43% to 18.32%. The non-par APE increased from Rs 3,436 crore in the previous year to Rs 7,041 crore, marking a growth of 105%. Consequently, the non-par share of individual business on an APE basis grew from 8.89% in FY23 to 18% for the year ended March 31, 2024.
The insurer sold a total of 2.03 crore policies in the individual segments, slightly down from 2.04 crore policies sold in FY23.
Assets under management (AUM) rose to Rs 51.21 lakh crore as of March 2024, up from Rs 43.97 lakh crore on March 31, 2023, registering a year-on-year increase of 16.48%. The solvency ratio also improved to 1.98%, compared to 1.87% last year.
LIC’s stock closed at Rs 1,035.80, up by 0.58% from the previous day’s close.
