Mumbai, May 21 (IANS) Government-owned Life Insurance Corporation (LIC) on Thursday reported a 23 per cent growth in its consolidated net profit at Rs 23,467 crore in the fourth quarter of the financial year 2025-26, compared with Rs 19,039 crore in the same period of the previous year.
The LIC board recommended final dividend of Rs 10 per equity share of Rs 10 each (equivalent to Rs 20 per equity share pre-bonus issue basis).
The record date for determining the eligibility of the investors for the dividend’s payout is June 25. The life insurance giant has fixed May 29 as the record date for its 1:1 bonus issue. The deemed date of allotment of bonus equity shares will be June 1, 2026.
LIC’s net premium income increased by 12 per cent to Rs 1.65 lakh crore compared with Rs 1.48 lakh crore last year, driven by growth across renewal and single premium segments.
First-year premium income stood at Rs 13,009 crore during the January-March quarter, compared with Rs 11,103 crore in the same period of the previous year, which represents a growth of 17 per cent. Renewal premium income rose 14 per cent to Rs 82,233 crore in the quarter from Rs 79,425 crore in the same period last year.
Income from investments, a key earnings driver for LIC, shot up to Rs 1.09 lakh crore during the fourth quarter compared with Rs 93,443 crore in the corresponding quarter last year, which represents a robust growth of around 17 per cent.
LIC reported total surplus of Rs 89,058 crore during the quarter compared with Rs 77,053 crore a year earlier. Surplus after share of profit from associates and minority interest stood at Rs 24,964 crore compared with Rs 20,271 crore a year ago.
However, management expenses increased to Rs 20,699 crore during the quarter compared with Rs 16,526 crore a year ago. Employee remuneration and welfare expenses increased sharply to Rs 8,891 crore from Rs 5,943 crore in the same quarter last year. Other operating expenses also went up to Rs 4,074 crore from Rs 2,848 crore in the year ago period.
LIC’s solvency ratio improved to 2.35 as of March 31, 2026 compared with 2.11 a year ago. The ratio remained comfortably above the regulatory requirement.
The insurer reported 13th month persistency ratio of 67.77 per cent compared with 68.62 per cent a year earlier. The 61st month persistency ratio stood at 54.13 per cent against 58.54 per cent in the year-ago period.
For FY26, LIC reported profit after tax of Rs 57,453 crore, up 19 per cent from Rs 48,320 crore in FY25. Net premium income for the full year rose 10% to Rs 5.38 lakh crore compared with Rs 4.90 lakh crore a year ago.
Policyholders fund excluding linked assets stood at Rs 53.68 lakh crore as of March 31, 2026 compared with Rs 51.64 lakh crore a year earlier. Shareholders investments rose to Rs 1.5 lakh crore from Rs 1.03 lakh crore in FY25.
–IANS
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