LIC on Thursday reported a 23 per cent growth in its consolidated net profit at INR 23,467 crore in the fourth quarter of the financial year 2025-26.
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MUMBAI — Government-owned Life Insurance Corporation (LIC) on Thursday reported a 23 per cent growth in its consolidated net profit at INR 23,467 crore in the fourth quarter of the financial year 2025-26, compared with INR 19,039 crore in the same period of the previous year.
The LIC board recommended final dividend of INR 10 per equity share of INR 10 each (equivalent to INR 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.
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LIC’s net premium income increased by 12 per cent to INR 1.65 lakh crore compared with INR 1.48 lakh crore last year, driven by growth across renewal and single premium segments.
First-year premium income stood at INR 13,009 crore during the January-March quarter, compared with INR 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 INR 82,233 crore in the quarter from INR 79,425 crore in the same period last year.
Income from investments, a key earnings driver for LIC, shot up to INR 1.09 lakh crore during the fourth quarter compared with INR 93,443 crore in the corresponding quarter last year, which represents a robust growth of around 17 per cent.
LIC reported total surplus of INR 89,058 crore during the quarter compared with INR 77,053 crore a year earlier. Surplus after share of profit from associates and minority interest stood at INR 24,964 crore compared with INR 20,271 crore a year ago.
However, management expenses increased to INR 20,699 crore during the quarter compared with INR 16,526 crore a year ago. Employee remuneration and welfare expenses increased sharply to INR 8,891 crore from INR 5,943 crore in the same quarter last year. Other operating expenses also went up to INR 4,074 crore from INR 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 INR 57,453 crore, up 19 per cent from INR 48,320 crore in FY25. Net premium income for the full year rose 10% to INR 5.38 lakh crore compared with INR 4.90 lakh crore a year ago.
Policyholders fund excluding linked assets stood at INR 53.68 lakh crore as of March 31, 2026 compared with INR 51.64 lakh crore a year earlier. Shareholders investments rose to INR 1.5 lakh crore from INR 1.03 lakh crore in FY25.