Life Insurance Corporation of India (LIC) on Monday reported a 18 per cent fall in standalone net profit at Rs 2,372 crore for the fourth quarter ended 31 March, 2022. The insurance company had posted a profit of Rs 2,893 crore in the year-ago period.
LIC's net premium income increased to Rs 1.44 lakh crore in the quarter under review from Rs 1.22 lakh crore in the same quarter last fiscal.
LIC's consolidated net profit for the March quarter also dropped 17 per cent to Rs 2,409 crore from Rs 2,917 crore in the year-ago period.
Further, the insurance giant's solvency ratio, a measure of an insurer's ability to meet its long-term debt obligations, rose to 1.85 from 1.76 a year earlier.
Its 13-month persistency ratio reflecting the number of policies being renewed fell to 69.24 per cent from 73.24 per cent.
Further, the Board of Directors have proposed dividend of Rs 1.50 per equity share with face value of Rs.10 each for the year ended March 31, 2022, which is subject to approval of Shareholders in AGM.
This is the first quarterly financial results declaration after the insurance behemoth announced its mega Rs 21,000 crore initial public offering (IPO) on May 4 at a price band between Rs 902- Rs 949 per equity share, and listed on stock exchanges on May 17.
On the day of listing, LIC slumped in its debut after a record initial public offering that priced at the top of the range.
The shares ended 7.8 per cent lower than the IPO price after losing 9.4 per cent earlier. The offering raised $2.7 billion, with buyers, including sovereign funds in Norway and Singapore, and millions of small-time Indian investors.
On Monday, LIC's scrip ended 1.89 per cent higher at Rs 837.05 apiece on BSE.