Life Insurance Corporation of India on Friday reported a multifold jump in its June quarter net profit at Rs 682.89 crore. The state-run life insurance behemoth, which went public recently, had a net profit of Rs 2.94 crore in the year-ago period.
The first-year premium for the reporting quarter came at Rs 7,429 crore as against Rs 5,088 crore in the year-ago period, it said in an exchange filing after its board meeting. The total income came at Rs 1,68,881 crore for the June quarter as against Rs 1,54,153 crore in the year-ago period, it said.
When compared with the preceding March quarter, the performance was down across parameters, the filings showed.
The net profit had come at Rs 2,371 crore, first year premium stood at Rs 14,614 crore and total income stood at Rs 2,11,451 crore in the March quarter.
M R Kumar, chairperson, LIC said, “As the Covid situation normalises, we are seeing a larger activity on the ground, therefore bringing us back closer to our model of having ‘feet on street’ and continuous in person engagement with our customers. While the growth numbers are very robust for the first quarter as seen in comparison to the same quarter of FY21-22, we are aware that the Q1 of the previous year, FY21-22 was impacted by a very tough second wave of Covid. However, the trajectory seems upwards for sure and we are looking at increased business volumes as is evident in our market share in the year to date since January 2022. Finally, we are glad to inform that LIC has been now included in the Fortune 500 list of companies and is placed at number 98 in the list. With this ranking, LIC is the top ranked Indian company on the Fortune 500 list.”
Its market share increased to 65.4 per cent in the June quarter from 63.25 per cent in the previous year.
Kumar said that the life insurer would continue to report healthy business growth for the rest of the year but stopped short of giving any numerical projection.
LIC not only managed to increase its market share but more policyholders stuck with the insurer for longer.
LIC shares closed 0.03 per cent down at Rs 682.15 apiece on the BSE on Friday against 0.22 per cent gain on benchmark Sensex.