LIC Q4 FY25 Results: PSU insurance giant beats estimates with over Rs 19,000 crore profit; 120% dividend declared—Key takeaways

LIC Q4 FY25 Results: Life Insurance Corporation (LIC), the country’s largest insurance provider, on Tuesday reported a standalone net profit of Rs 19,012.8 crore for the quarter ended March 31, marking a 38.1 per cent jump over the corresponding period a year ago that beat analysts’ estimates.

Its net premium income—a key measure of an insurer’s revenue stream—declined 3.1 per cent on a year-on-year basis to Rs 1,47,585.6 crore, according to a regulatory filing. 

While the quarterly profit exceeded analysts’ expectations, the premium income failed to meet the mark. 

According to Zee Business research, LIC was estimated to report a standalone net profit of Rs 14,800 crore with a net premium income of Rs 1,48,300 crore. 

As of March 31, LIC’s solvency ratio stood at 2.11 as against 1.98 a year ago, the company said in a statement.

A solvency ratio determines the ability of an insurance business to meet its financial obligations in the long term.  

For the financial year, the company’s value of new business (VNB) increased 4.47 per cent to Rs 10,011 crore while VNB margin improved by 80 basis points to 17.6 per cent.

LIC Q4 FY25 Earnings | Management commentary

FY25 was “very exciting and challenging” year, said Siddhartha Mohanty, CEO and MD, LIC. “After registering a very strong performance in the first six months, we had to redesign and relaunch products to comply with regulatory changes. However, we are very happy to state that this year, we have achieved many milestones. First, we have achieved Individual New Business Premium of Rs 62,495 crore, in a single year. Second, our Net VNB for the year is Rs 10,011 crore, i.e. over Rs 10,000 crore for the first time,” said Mohanty.

“Third, our VNB margin is steadily on the rise, reaching 17.6 per cent as at 31st March 2025. Fourth, our strategy to increase Non Par share is further getting consolidated. This year, Non Par APE share within the individual business has risen to 27.69 per cent. Finally, we are proud to say that we have declared bonus of Rs 56,190.24 crore to policyholders. We are thankful to all our stakeholders for their support and faith in us,” the CEO added.

Mohanty also said the company remains committed to delivering “profitable growth as we move ahead in our journey post-listing”.

LIC dividend per share

LIC announced a record dividend of Rs 12 per equity share for FY25, marking its highest ever quarterly dividend. That was a 120 per cent payout given the face value of Rs 10 per equity share.

Read more on LIC dividend payout

LIC share price news

Earlier on Tuesday, LIC shares—traded with the smbol LICI on bourses BSE and NSE—edged up 0.1 per cent to end at Rs 871.1 apiece on BSE.

At this level, the LIC stock has declined 2.9 per cent so far this year, underperforming a 4.6 per cent rise in the headline Nifty 50 index.

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