Life Insurance Corporation of India (LIC) is poised to reveal its Q1 earnings on August 7, with expectations of a promising 42% sequential increase in net profit, despite a modest 5% year-on-year boost in profit after tax (PAT). According to estimates from five brokerages—YES Securities, Motilal Oswal Financial Services (MOFSL), Kotak Institutional Equities, JM Financial, and Antique Stock Broking—LIC’s Annual Premium Equivalent (APE) is likely to grow between 1% and 22% YoY.
For PAT, predictions include Rs 10,954 crore from MOFSL, reflecting a 5% annual increase, and Rs 10,984 crore from JM Financial, also up 5% YoY. However, a decline of approximately 42% quarter-on-quarter is anticipated, largely due to lower investment income and a high comparative base from Q4’s exceptional results.
Regarding APE forecasts, YES Securities expects Rs 14,078 crore, a 22% YoY growth, while JM Financial projects Rs 11,964 crore, reflecting a 3.5% rise. In terms of Value of New Business (VNB), estimates vary, with anticipations of INR 2,006 crore from YES, marking a 25% increase YoY. New Business Premium (NBP) is projected to rise by 10% to Rs 63,047 crore, backing growth assumptions observed in earlier months.