ICICI Lombard Targets Consistent Growth with 20%+ ROE and Digital-First Strategy

ICICI Lombard General Insurance Company Limited , one of India's leading private general insurers, has outlined its strategic vision for sustainable growth and profitability. The company aims to maintain consistent profit growth with a return on equity (ROE) exceeding 20% and has reported a significant 22% increase in profit after tax for the half-year ended September 30, 2025.

Financial Performance Highlights

For the half-year ended September 30, 2025, ICICI Lombard reported impressive financial results:

Metric	H1 FY2026	H1 FY2025	YoY Growth
Profit After Tax	₹15.67 billion	₹12.74 billion	22.9%
Gross Direct Premium Income	₹143.31 billion	₹144.09 billion	-0.5%
Combined Ratio	104.0%	103.2%	+0.8 pts
Return on Average Equity	20.8%	20.3%	+0.5 pts

The company's profit after tax grew by a robust 22.9% year-on-year, demonstrating strong financial performance despite a slight decrease in gross direct premium income. The return on average equity improved to 20.8%, aligning with the company's strategic goal of maintaining ROE above 20%.

Strategic Focus Areas

ICICI Lombard is emphasizing several key areas to drive growth and maintain its market leadership:

Digital Insurance Solutions: The company is leveraging technology to enhance its digital offerings, aiming to improve customer experience and operational efficiency.
AI-Powered Risk Management: Implementing advanced artificial intelligence solutions for better risk assessment and management.
Capital Position: Maintaining a strong capital base with a solvency ratio of 2.73 times as of September 30, 2025, well above the regulatory requirement of 1.50 times.
Product Innovation: Continuing to focus on developing comprehensive and diverse insurance products to meet evolving customer needs.
Distribution Network Expansion: Strengthening its multi-channel distribution strategy to deepen market penetration.

Dividend Announcement

The Board of Directors has declared an interim dividend of ₹6.50 per share for H1 FY2026, an increase from ₹5.50 per share in H1 FY2025, reflecting the company's strong financial position and commitment to shareholder returns.

Market Position and Future Outlook

ICICI Lombard continues to hold a significant market share in the Indian general insurance sector. The company's focus on digital transformation and customer-centric innovations positions it well to capitalize on the growing insurance market in India.

Sanjeev Mantri, Managing Director & CEO, commented on the results, stating, "Our consistent performance and strategic initiatives have set a strong foundation for future growth. We remain committed to leveraging technology and innovation to enhance our product offerings and customer service, while maintaining our focus on profitability and shareholder value creation."

As ICICI Lombard navigates the evolving insurance landscape, its emphasis on digital solutions, risk management, and financial prudence is expected to play a crucial role in achieving its ambitious growth targets and maintaining its leadership position in the Indian general insurance market.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
+1.17%	-2.69%	-2.39%	+1.77%	-11.23%	+48.71%

ICICI Lombard General Insurance Company , one of India's leading private sector general insurance firms, has reported a robust financial performance for the second quarter. The company's results showcase strong growth in profitability and premium income, along with an improved combined ratio.

Key Financial Highlights

Particulars (₹ in lakhs)	Q2 FY2026	Q2 FY2025	YoY Change
Profit After Tax	81954.00	69395.00	18.10%
Gross Premiums Written	705866.00	694630.00	1.60%
Net Premium Earned	565165.00	502557.00	12.50%
Combined Ratio	105.10%	104.50%	60 bps

Profit Growth and Dividend Declaration

ICICI Lombard reported a significant 18.10% year-on-year increase in profit after tax, reaching ₹81954.00 lakhs for the quarter. This substantial growth in profitability underscores the company's effective strategy and operational efficiency.

In a move that will please shareholders, the Board of Directors has approved an interim dividend of ₹6.50 per equity share. This dividend, representing a 65% payout on the face value of ₹10 per share, is scheduled to be paid by November 12, 2025.

Premium Income and Underwriting Performance

The company's gross premiums written saw a modest increase of 1.60%, totaling ₹705866.00 lakhs for the quarter. More notably, the net premium earned rose by 12.50% to ₹565165.00 lakhs, indicating improved retention and growth in the core insurance business.

ICICI Lombard's combined ratio, a key metric of underwriting profitability in the insurance sector, stood at 105.10% for the quarter, compared to 104.50% in the same period last year. While this represents a slight increase of 60 basis points, it's important to note that a combined ratio below 100% indicates underwriting profit.

Earnings Per Share

The company's basic earnings per share (EPS) for the quarter improved to ₹16.49, up from ₹14.05 in the corresponding quarter of the previous year, reflecting the growth in profitability.

Conclusion

ICICI Lombard's Q2 results demonstrate the company's ability to grow profitably in a competitive insurance market. The significant increase in profit after tax, coupled with growth in premium income and a stable combined ratio, positions the company well for sustained performance. The declaration of an interim dividend further underscores the management's confidence in the company's financial health and commitment to shareholder returns.

As the insurance sector continues to evolve, ICICI Lombard's strong financial metrics suggest it is well-equipped to capitalize on market opportunities and navigate potential challenges in the coming quarters.