The Q1 PAT advanced 9% compared to Rs 9,635 crore reported in the same quarter last year.
Net premium income for the quarter increased by 16% year-on-year (YoY) to Rs 1.14 lakh crore, compared to Rs 98,755 crore in the corresponding quarter of the previous year.
In terms of market share measured by First Year Premium Income (FYPI), as reported by IRDAI, LIC remains the market leader in the Indian life insurance sector with an overall market share of 64.02%.
For the quarter ended June 2024, LIC held a market share of 39.27% in individual business and 76.59% in group business. Total premium income for the June quarter was Rs 1.13 lakh crore, compared to Rs 98,363 crore in the same period last year.Total premium income from Group Business for the quarter was Rs 46,578 crore, compared to Rs 35,590 crore in the same period last year, marking an increase of 31%.The company’s Assets Under Management (AUM) increased to Rs 53.58 lakh crore as of June 2024, a 16% YoY growth.Following the Q1 update, global brokerage firm Investec reiterated its ‘hold’ rating on LIC with a target price of Rs 875.
They noted that the miss on the VNB margin was due to a change in the product mix, while the APE for the quarter exceeded estimates by 13%. Investec also observed that persistence decreased across most cohorts, except for the 25th and 49th months.
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