ICICI Prudential Life Insurance reported robust financial performance for the third quarter ended December 31, 2025, with net profit surging 19% year-on-year despite challenges in premium income. The insurer demonstrated strong operational efficiency and maintained its track record of superior asset quality while expanding its retail franchise.

Financial Performance Highlights

The company's quarterly results showed mixed performance across key metrics:

For the nine-month period ended December 31, 2025, the company sustained strong momentum with PAT growing 23.5% year-on-year to ₹992.00 crore from ₹803.00 crore in the corresponding period last year. This growth was primarily driven by higher investment income from shareholders' funds.

Retail Business Growth

The retail segment emerged as a key growth driver, demonstrating resilience across multiple parameters:

The retail protection segment registered exceptional growth of 40.8% year-on-year, partly driven by the implementation of recent GST reforms. This robust performance contributed to a sharp 51.6% increase in retail sum-assured during the quarter.

Asset Quality and Portfolio Management

ICICI Prudential Life maintained its exemplary asset quality standards with assets under management growing 6.5% year-on-year to ₹3,30,729.00 crore as of December 31, 2025, compared to ₹3,10,414.00 crore in the previous year. The company has reported zero Non-Performing Assets since inception, underscoring the high quality of its asset book.

The debt-equity mix stood at 55:45 as of December 31, 2025, with 95.8% of fixed income investments held in sovereign or AAA-rated instruments, reflecting the company's conservative investment approach.

Value Creation Metrics

For the nine-month period FY26, the company reported Value of New Business of ₹1,664.00 crore, reflecting a healthy margin of 24.4%. Both overall and retail APE for the nine-month period remained in line with the previous year, indicating stable business momentum despite market challenges. The total in-force sum assured, representing the total quantum of life cover availed by customers, reached ₹43,44,000.00 crore as of December 31, 2025.

ICICI Prudential Life Insurance Company delivered strong Q3 FY26 financial results, with net profit rising 19.6% year-on-year to ₹390.00 crore compared to ₹326.00 crore in the same quarter last year. The insurer's profitability improved significantly despite muted overall premium growth, driven primarily by higher investment income from shareholders' funds.

Financial Performance Highlights

The company's quarterly performance demonstrated robust growth across key metrics:

For the nine-month period ending December 2025, ICICI Prudential Life Insurance's net profit increased 23.5% to ₹992.00 crore. The value of new business for the nine-month period reached ₹1,664.00 crore, with the VNB margin expanding to 24.4% from 22.8% in the previous year.

Protection Segment Drives Growth

The protection segment emerged as the primary growth driver for the quarter. Key performance indicators in this segment showed exceptional momentum:

• Retail protection annualised premium equivalent jumped 40.8% year-on-year in Q3 FY26
• Retail new business sum assured surged 51.6% to ₹1.24 lakh crore
• Overall APE for the quarter rose 3.6% to ₹2,525.00 crore

The strong performance in the protection segment contributed significantly to the improved VNB margin, reflecting better product mix and enhanced cost discipline across operations.

Balance Sheet Strength

ICICI Prudential Life Insurance maintained a robust financial position with key balance sheet metrics showing healthy growth:

The solvency ratio of 214.8% remained well above the regulatory requirement of 150.0%, indicating strong capital adequacy and financial stability.

Operational Metrics and Challenges

Persistency metrics presented a mixed picture for the quarter. The 13th-month persistency stood at 84.4% while the 49th-month persistency was recorded at 71.3%. The company acknowledged pressure in select channels and product segments, which are being monitored closely to address any operational challenges.

Market Response

Following the earnings announcement, ICICI Prudential Life Insurance Company's share price gained 2.6% in afternoon trading, reaching ₹698.30 on the NSE. The stock has delivered approximately 9.8% returns over the past year, including the current day's gains, though it has underperformed the benchmark Nifty 50, which returned over 11.0% during the same period.