ICICI Prudential Life Insurance Company Ltd announced its financial results for the first quarter on Tuesday, revealing a notable 32.69 percent year-on-year (YoY) surge in net profit. The company reported a net profit of Rs 207 crore, compared to Rs 156 crore recorded in the corresponding quarter of the previous year. In a filing with the Bombay Stock Exchange (BSE), the life insurer disclosed that the net premium earned for the quarter increased by 1.97 percent YoY, reaching Rs 7,020 crore from Rs 6,884 crore in the same period last year.
The total annual premium equivalent (APE) stood at Rs 1,520 crore, reflecting a 3.9 percent decline from Rs 1,461 crore YoY. Meanwhile, the value of new business (VNB) amounted to Rs 438 crore, with a VNB margin of 30 percent.
ICICI Prudential Life stated that the total investment income for the quarter was Rs 16,327 crore, a significant improvement compared to the loss of Rs 8,496 crore reported YoY. The investment income under unit-linked policies amounted to Rs 14,159 crore, indicating a turnaround from the loss of Rs 9,888 crore recorded in the same quarter of the previous year. The insurer attributed the positive performance to an increase in the market value of the securities held and higher profits from the sale of investments.
Furthermore, the investment income under other than unit-linked policies increased to Rs 2,167 crore from Rs 1,392 crore. This growth was primarily driven by an increase in profits from the sale of investments and interest income.
The financial results highlight ICICI Prudential Life’s strong performance during the first quarter, with a significant boost in net profit and stable growth in net premium earned. The company’s positive investment income reflects favorable market conditions and effective investment strategies, contributing to its overall financial strength.
ICICI Prudential Life Insurance Company is one of the leading life insurance providers in India, offering a range of insurance and investment solutions to individuals and businesses. The company’s solid financial results demonstrate its ability to navigate the challenging market environment while delivering value to its policyholders and shareholders.
As the year progresses, industry observers will closely monitor ICICI Prudential Life’s performance, assessing its ability to sustain growth, capitalize on emerging opportunities, and adapt to evolving market dynamics. The company’s robust financial position and strategic initiatives position it well for continued success in the insurance sector.