In its first earnings release post the listing, state-run insurance behemoth Life Insurance Corporation Ltd. posted standalone net profit of ₹2,371 crore in the three months to March, down 18% over last year.
The Board has recommended dividend of ₹1.50 per equity share.
The company’s net premium income during the quarter rose 18% to ₹1.43 lakh crore.
Earlier during the day, ahead of the results announcement, LIC’s scrip closed 1.81% higher at ₹836.50 on NSE.
LIC shares are down more than 15% from its IPO issue price. LIC made its stock market debut earlier this month on May 17, 2022.
LIC IPO, India’s largest till date, had closed with nearly 3 times subscription, predominantly lapped up by retail and institutional buyers, but foreign investor participation remained muted. The government sold over 22.13 crore shares or a 3.5% stake in LIC through the initial share sale.
Its solvency ratio, a measure of an insurer’s ability to meet its long-term debt obligations, rose to 1.85 from 1.76 a year earlier.
LIC’s 13-month persistency ratio, reflecting the number of policies being renewed. fell to 69.24% from 73.24%.