Life Insurance Corporation of India (LIC) shares rose 4% in early trade on Friday, August 8, after the insurance major posted a solid set of numbers for the first quarter of FY26. As of 9:25 AM, the shares were trading 4.23% higher at Rs 922.40.
The company’s Q1 earnings beat several street estimates, led by a rise in premium collections, robust growth in value of new business (VNB), and an uptick in profitability.
For the quarter ended June 30, 2025, LIC reported a net profit of ₹10,986 crore, a 5.02% year-on-year increase from ₹10,461 crore in the same period last year.
On the business front, new business premium came in at ₹60,262 crore, up 4.9% YoY, slightly above the CNBC-TV18 estimate of ₹59,411 crore. The annualised premium equivalent (APE) stood at ₹12,652 crore, rising 9.45% over the previous year, though marginally below the expected ₹12,706 crore.
Meanwhile, retail APE beat projections, rising 4.6% YoY to ₹7,061 crore—above the forecast of ₹6,919 crore. The value of new business (VNB) jumped significantly by 20.75% to ₹1,944 crore, exceeding the estimated ₹1,891 crore.
Importantly, VNB margins expanded to 15.4%, compared to 13.9% in the year-ago quarter and higher than the 14.88% expected by analysts. This suggests improved profitability from new business written during the quarter.
LIC also saw a steady rise in its total premium income, which rose 4.77% to ₹1,19,200 crore from ₹1,13,770 crore a year earlier. Within this, the individual business premium grew 6.37% YoY to ₹71,474 crore, while the group business premium saw a 2.46% uptick to ₹47,726 crore.
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