ICICI Lombard Q2 net profit increases to Rs 446 cr as COVID claims decline
Private sector non-life actor ICICI Lombard on Thursday reported a marginal increase in its net income to Rs 446 crore for the three months ending September compared to the period last year, boosted by lower claims COVID at Rs 180 crore. During the same period a year ago, the company’s net income stood at Rs 416 crore.
In the previous quarter ended in June, the company reported a huge loss of Rs 602 crore on the health book due to COVID claims, reducing its net profit by 62% in this quarter to Rs 152 crore for this period. , according to a statement.
Profit from the company’s investments rose to Rs 144 crore in the September quarter, up from Rs 124 crore in the period last year. Gross Direct Premium Income (GDPI) was Rs 4,424 crore in the September quarter, compared to Rs 3,189 crore in the second quarter of FY 21. Excluding the crop segment, GDPI increased to Rs 3,841 crore, compared to Rs 3,186 crore. Growth in the industry, excluding the crop segment, was 17.5 percent.
In the six months ended in September, the PIBI rose to Rs 8,613 crore from Rs 6,491 crore in the period of the previous year. Excluding the crop segment, the PIBI rose to Rs 8,030 crore against Rs 6,459 crore. GDPI industry growth, excluding the crop segment, was 16.9 percent.
The combined ratio was 105.3 percent in the last quarter of September compared to 99.7 percent in the previous year period. Excluding the impact of floods and cyclone losses of Rs 50 crore, it was 103.7% against 96.6%, excluding the impact of cyclones and floods of Rs 77 crore.
The company’s solvency ratio was 2.49 times in September from 2.61 times in June and above the regulatory minimum of 1.50 times. The solvency ratio was 2.90 times in March 2021.
The board of directors of ICICI Lombard declared an interim dividend of Rs 4 per share for the first six months of this fiscal year.
Ahead of the results announcement that evening, the company’s shares closed slightly lower at Rs 1,500.10 each on BSE.