ICICI Lombard General Insurance on Tuesday reported a 39.82% year-on-year increase in its net profit to Rs 436.96 crore for the fourth quarter of the last financial year, even as it saw a muted 6.78% y-o-y growth in gross premiums underwritten during the period.
The private sector non-life insurer’s net profit for the fourth quarter of FY22 was Rs 312.51 crore.
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During Q4FY23, the company’s combined ratio, a measure of underwriting profitability of a non-life insurance company, stood at 104.2% as against 103.2% in the corresponding period of FY22. For the last financial year, the combined ratio came down to 104.5% from 108.8% for the previous fiscal.
For FY23, the general insurance company’s gross premium underwritten grew 17.29% y-o-y to Rs 21,771.83 crore, according to its stock exchange filing. Gross Direct Premium Income (GDPI) stood at `21,025 crore in FY23 compared to Rs 17,977 crore in FY22, a growth of 17%, which was higher than the industry growth of 16.4%, the insurer said in a release.
GDPI was at Rs 4,977 crore in Q4FY23 as against Rs 4,666 crore in Q4FY22, a growth of 6.7% as against the industry growth of 16.9%.
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Net profit grew 36% to Rs 1,729 crore in FY23 compared to Rs 1,271 crore in FY22. The net profit included reversal of tax provision of Rs 128 crore in Q2FY23. “Solvency ratio was 2.51x as at March 31, 2023, as against 2.45x as of December 31, 2022, which was higher than the minimum regulatory requirement of 1.50x. Solvency ratio was 2.46x as at March 31, 2022,” the release said.
The board of directors of the insurer proposed final dividend of Rs 5.50 per share for the last financial year. The payment is subject to the approval of shareholders in the ensuing annual general meeting of the company. The overall dividend for FY23, including proposed final dividend, is Rs 10 per share, the company said.
