LIC of India , the country's largest insurer, has reported strong financial results for the first quarter, demonstrating resilience and growth in key areas of its business.

Profit and Revenue Growth

LIC announced a net profit of ₹10,986.00 crore for the quarter, marking a 5.02% increase from ₹10,461.00 crore in the same period last year. This growth in profitability showcases the company's ability to navigate market challenges effectively.

The insurer's total premium income rose to ₹1,19,200.00 crore, up 4.77% from ₹1,13,770.00 crore in the corresponding quarter of the previous year. This increase in premium income reflects LIC's strong market position and customer trust.

Market Leadership and Business Segments

LIC continues to dominate the Indian life insurance market with an overall market share of 63.51% in terms of First Year Premium Income (FYPI). The company maintained its leadership in both individual and group business segments, with market shares of 38.76% and 76.54%, respectively.

The total individual business premium increased by 6.37% to ₹71,474.00 crore, while the group business total premium income grew by 2.46% to ₹47,726.00 crore.

Product Mix and Value of New Business

A notable shift in LIC's product mix was observed, with the share of non-par products within the individual business segment increasing to 30.34% on an Annualized Premium Equivalent (APE) basis, up from 23.94% in the same quarter last year. This strategic move towards non-par products has contributed to improved profitability.

The Value of New Business (VNB) saw a significant increase of 20.75%, reaching ₹1,944.00 crore for the quarter. Importantly, LIC achieved a VNB margin of 15.4% in the first quarter, indicating enhanced profitability of new business written.

Financial Strength and Efficiency

LIC's financial position remained robust, with the solvency ratio improving to 2.17, compared to 1.99 a year ago. This increase in solvency ratio demonstrates the company's strong capital position and ability to meet long-term obligations.

The insurer also showed improved operational efficiency, with the overall expense ratio decreasing by 140 basis points to 10.47% from 11.87% in the previous year's quarter.

Assets Under Management and Investment Yield

Assets Under Management (AUM) grew by 6.47% year-on-year to ₹57,05,341.00 crore, reflecting the company's expanding business and investment portfolio. The yield on investments for policyholders' funds, excluding unrealized gains, stood at 8.45% for the quarter.

Management Commentary

R Doraiswamy, CEO & MD of LIC, commented on the results: "During the first quarter of this financial year, our overall market share by First Year Premium Income was 63.51% and we maintained our leadership in both Individual and Group Business. Key elements of our strategy like increase in Non Par share in Individual business, increase in VNB margin, increase in Banca share are fully on track."

He also highlighted the company's focus on launching new products to meet customer needs and enhancing customer outreach, including the appointment of nearly 2 lakh women as Bima Sakhis who have sold over 3.26 lakh policies during the quarter.

Board Approval of Financial Results

LIC's Board of Directors approved the unaudited financial results for the quarter ended June 30, during a board meeting. The board considered and approved both standalone and consolidated unaudited financial results, along with a limited review report. The results and review report have been made available on the company's website.

LIC's strong performance demonstrates its ability to adapt to changing market dynamics while maintaining its dominant position in the Indian life insurance sector. The company's focus on diversifying its product mix, improving profitability, and enhancing operational efficiency positions it well for sustained growth in the coming quarters.

The Indian government is considering a significant move in the insurance sector, while LIC of India prepares to discuss its latest financial results.

Potential Stake Sale by Finance Ministry

The Finance Ministry is reportedly planning to sell a 2-2.5% stake in Life Insurance Corporation of India (LIC) through a Follow-on Public Offering (FPO). This strategic decision aims to further reduce the government's holding in the insurance giant. The timing and execution of this stake sale will be carefully determined based on prevailing market trends, indicating the government's cautious approach to maximizing returns while ensuring market stability.

LIC's Upcoming Q1 FY26 Earnings Call

In a separate development, LIC has announced its earnings call for the first quarter of the fiscal year 2026. According to the company's latest disclosure to the stock exchanges, the earnings call is scheduled for Thursday, August 7, 2025, at 7:00 p.m. IST. This call will provide insights into LIC's financial performance for the quarter ended June 30, 2025.

Key representatives from LIC who will be present during the earnings call include:

• Shri R. Doraiswamy, CEO & MD
• Shri Sat Pal Bhanoo, Managing Director
• Shri Dinesh Pant, Managing Director
• Shri Ratnakar Patnaik, Managing Director Actuarial
• Shri Sunil Agrawal, Chief Financial Officer

The earnings call will offer analysts and investors an opportunity to engage with LIC's top management and gain deeper insights into the company's financial results and future outlook.

Other Corporate Updates

LIC has also announced its 4th Annual General Meeting (AGM) scheduled for August 26, 2025, at 11:30 a.m. IST. The meeting will be held through Video Conferencing/Other Audio Visual Means, adapting to the evolving corporate meeting practices.

Additionally, the corporation has disclosed that Shri Venkataramanan Gopal, Zonal Manager (in-charge) of the Southern Zone, Chennai, will be superannuating on July 31, 2025, after the close of office hours.

These developments come at a time when the government is exploring options to optimize its holdings in public sector enterprises, while LIC continues to maintain transparency and regular communication with its stakeholders through various corporate actions and disclosures.