Life Insurance Corporation of India's Q3FY25 Quarterly Results

Result Summary

• Life Insurance Corporation of India reported a 11.8% quarter-on-quarter (QoQ) decrease in its consolidated revenues for the quarter-ended Dec (Q3FY25). On a year-on-year (YoY) basis, it witnessed a decline of 4.5%.
• Its expenses for the quarter were down by 14.5% QoQ and 5.8% YoY.
• The net profit increased 42.3% QoQ and increased 15.8% YoY.
• The earnings per share (EPS) of Life Insurance Corporation of India stood at 17.4 during Q3FY25.

Financial Statments for Q3FY25

Data Source: BSE, Company announcements The securities quoted are exemplary and are not recommendatory. Past performance is not indicative of future results

Company Overview

Life Insurance Corporation of India (LIC) is a state-owned insurance and investment corporation in India. It is the largest insurance company in the country, providing a wide range of insurance products and services, including life insurance, health insurance, and pension plans. LIC operates within the financial services industry, specifically focusing on the insurance sector. As a government-owned entity, it plays a significant role in the insurance landscape in India. Recent developments for LIC include its efforts to maintain market leadership in the increasingly competitive insurance sector and expanding its digital services to cater to a broader customer base. However, specific recent major developments are not available within the provided data.

Revenue

In the third quarter of fiscal year 2025 (Q3FY25), Life Insurance Corporation of India reported a total income of ₹204,525.35 crore. This represents a decrease of 11.8% from the previous quarter (Q2FY25), where the total income was ₹231,926.41 crore. Compared to the same quarter in the previous fiscal year (Q3FY24), the total income decreased by 4.5% from ₹214,260.14 crore. The quarterly and year-over-year decreases in total income indicate a contraction in revenue streams during the reported period. This decline could be attributed to various factors impacting the insurance industry or the company's business operations during these periods.

Profitability

In terms of profitability, Life Insurance Corporation of India saw a significant improvement in its profit figures in Q3FY25. The profit before tax (PBT) for the quarter was ₹12,787.78 crore, marking a 43.6% increase from Q2FY25, where the PBT was ₹8,905.03 crore. Year-over-year, the PBT increased by 16.7% from ₹10,957.43 crore in Q3FY24. After accounting for taxes, the profit after tax (PAT) stood at ₹11,008.62 crore for Q3FY25, which is a 42.3% increase from the previous quarter and a 15.8% increase from the same quarter in the previous year. The earnings per share (EPS) also saw a rise to ₹17.40 in Q3FY25 from ₹12.20 in Q2FY25, reflecting a 42.6% QoQ increase and a 16.0% YoY increase from ₹15.00 in Q3FY24.

Operating Metrics

The total expenses for Life Insurance Corporation of India in Q3FY25 were ₹191,454.83 crore, which represents a decrease of 14.5% from Q2FY25 when expenses were ₹223,937.29 crore. Compared to Q3FY24, the expenses decreased by 5.8% from ₹203,342.14 crore. The decrease in total expenses, both quarter-over-quarter and year-over-year, suggests effective cost management during the quarter. The tax expenses increased to ₹1,733.43 crore in Q3FY25, up by 51.4% from Q2FY25 and by 21.8% from Q3FY24. These changes in operating metrics highlight the company's financial adjustments and decisions regarding operating costs and tax obligations during the period under review.