Mumbai: Life Insurance Corporation of India (LIC), the country's insurance behemoth, announced its unaudited financial results for the quarter and nine months ended December 31, 2025, following a Board meeting held today.
The Corporation reported a robust 17.2% year-on-year (YoY) increase in standalone net profit for the third quarter (Q3) of FY26, reaching ₹12,958.22 crore, compared to ₹11,056.47 crore in the same period last year. For the nine-month period (9MFY26), net profit stood at ₹33,998.12 crore.
Key Financial Highlights (Standalone, Q3FY26 vs Q3FY25):
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Net Premium Income: Grew 17.5% to ₹1,25,613.36 crore (from ₹1,06,891.48 crore).
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Income from Investments (Net): Increased 14.1% to ₹1,07,608.28 crore (from ₹94,335.72 crore).
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First-Year Premium: Showed strong growth of 45.6%, reaching ₹10,604.60 crore.
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Single Premium: Surged 30.5% to ₹45,872.85 crore.
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Solvency Ratio: Remained healthy and improved to 2.19 (from 2.02 as of Dec 2024).
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Earnings Per Share (EPS): Stood at ₹20.49 for the quarter.
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Consolidated Performance:
On a consolidated basis, which includes subsidiaries and associates, LIC's Q3FY26 net profit was ₹12,930.44 crore. The results were bolstered by a share of profit from associates amounting to ₹1,651.22 crore, primarily from strategic investments like IDBI Bank and LIC Housing Finance.
Segment-Wise Insights:
The Life Non-Participating segment was the largest contributor to surplus, generating ₹11,257.37 crore. The Life Participating (Par) segment reported a net deficit of ₹38.98 crore after accounting for regulatory adjustments related to past expenses and pension liabilities, as highlighted in the auditors' report.
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Regulatory Adjustments:
The reviewed financial results include the impact of certain regulatory approvals, as emphasized by the joint auditors, M/s V. Sankar Aiyar & Co. and M/s Mukund M Chitale & Co. These include:
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Amortisation of additional family pension contribution.
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Replenishment of past excess Expenses of Management in the Par segment from shareholders' funds.
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Charging of additional pension liability for the Par segment to the shareholders' account.
The auditors have issued an unmodified review conclusion, stating that nothing has come to their attention to suggest the results contain material misstatements.
Management Commentary:
"The results for the quarter and nine months reflect the continued trust of our policyholders and the resilience of our business model," said Mr. Dinesh Pant, Managing Director. "Our focus on diversifying the product mix, improving persistency, and maintaining robust investment yields has yielded positive outcomes. The growth in first-year and single premiums is particularly encouraging."
Market Position & Ratios:
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Persistency Ratios (13th month) remained stable at 69.36%.
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Gross NPA Ratio for the policyholders' fund improved to 1.31% (from 1.64% in Dec 2024).
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The Expense of Management Ratio saw an improvement, declining to 12.38% for Q3FY26 from 13.47% a year ago.
About LIC:
Life Insurance Corporation of India is the largest life insurer in India, with a vast network and a dominant market share. It plays a pivotal role in the nation's financial security and long-term savings landscape.