LIC Q1 Results: Life Insurance Corporation of India (LICI) is India’s largest life insurer, commanding over 60% market share in the insurance sector. Net profit rose 5% YoY to ₹10,987 crore, while net premium income grew 5% to ₹1.19 lakh crore. The insurer retained its market leadership with a 63.51% share in First Year Premium Income, and VNB jumped 21% YoY to ₹1,944 crore, indicating stronger profitability.
LIC Q1 FY26 Results Overview
- Net Profit: ₹10,987 crore (↑5% YoY)
- Net Premium Income: ₹1.19 lakh crore (↑5% YoY)
- Assets Under Management (AUM): ₹57.05 lakh crore (↑6.47%)
- Value of New Business (VNB): ₹1,944 crore (↑21%)
- New Business Premium (NBP): ₹60,262 crore (↑4.9% YoY)
Key Announcements & Strategic Shifts
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LIC will continue to push for product diversification, especially in high-margin non-par plans.
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Focus on digital sales channels to capture younger customer segments.
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Management hinted at further cost-optimisation measures to sustain margins.
Retail Investors Should Take Away
Positives:
- Stable Profit Growth: LIC continues to deliver consistent earnings.
- Improved Margins: Shift to non-par products boosts profitability.
- Strong Solvency & AUM: Financial strength remains robust.
- Attractive Valuation: P/E ratio around 11.7 is considered undervalued by analysts
Risks:
- Embedded Value Decline: Indicates potential erosion in long-term value
- Retail Growth Lagging: Group business is driving growth; retail segment needs revival.
Digital Lag: LIC’s tech adoption trails private peers, especially in rural markets
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