LIC Q4 Net Profit Rises 38% to Rs 19,039 Crore, PSU Declares Rs 12 Dividend Per Share

Life Insurance Corporation (LIC) posted a 38% year-on-year rise in consolidated net profit for Q4 FY25, reaching Rs 19,039 crore compared to Rs 13,782 crore in the same quarter last year. However, LIC’s net premium income declined by 3.2% year-on-year to Rs 1,47,917 crore, down from Rs 1,52,767 crore in Q4 FY24.

On a quarter-on-quarter basis, profit after tax surged 73% from Rs 11,009 crore in Q3 FY25. Meanwhile, net premium income rose 38% from Rs 1,07,302 crore recorded in the December quarter.

The company also declared a final dividend of Rs 12 per share for the financial year ending March 31, 2025.

For the full financial year FY25, LIC reported an 18.4% year-on-year rise in net profit at Rs 48,151 crore, up from Rs 40,676 crore in FY24. The insurer maintained its leadership in the Indian life insurance market with a 57.05% overall market share, including 37.46% in the individual business and 71.19% in the group business.

Total premium income rose to Rs 4.88 lakh crore from Rs 4.75 lakh crore. Individual business premium increased to Rs 3.19 lakh crore, while group business income declined slightly. Policy sales in the individual segment dropped to 1.78 crore from 2.03 crore a year earlier.

LIC’s solvency ratio improved to 2.11, and assets under management (AUM) rose 6.5% to Rs 54.52 lakh crore. Persistency ratios on a premium basis saw a slight decline, though they improved on a policy count basis. The overall expense ratio dropped to 12.42%, while bonus payouts to policyholders increased to Rs 56,190 crore.

The Annualised Premium Equivalent (APE) stood at Rs 56,828 crore, with non-par product APE jumping 50% to Rs 10,581 crore. The Value of New Business (VNB) rose 4.5% to Rs 10,011 crore, while the VNB margin improved to 17.6% from 16.8%.

“The year 2024–25 was a very exciting and challenging year for our business. After registering a very strong performance in the first six months, we had to redesign and relaunch products to comply with regulatory changes. However, we are very happy to state that this year, we have achieved many milestones. First, we achieved Individual New Business Premium of Rs 62,495 crore in a single year. Second, our Net VNB for the year is Rs 10,011 crore—crossing Rs 10,000 crore for the first time. Third, our VNB margin is steadily rising, reaching 17.6% as of 31st March 2025. Fourth, our strategy to increase the Non-Par share is further getting consolidated," said Siddhartha Mohanty, CEO and MD, LIC.