ICICI Prudential Life June quarter net profit marginally up at Rs 288 crore
ICICI Prudential Life Insurance on Tuesday posted marginal 0.9 per cent increase in net profit to Rs 288 crore for the quarter ending June. It was Rs 285 crore in the same period of the previous fiscal. The new business premium income fell by 32.6 per cent to Rs 1,499 crore from Rs 2,226 crore in the year-ago quarter, said ICICI Prudential Life Insurance in a release.
The economic challenges associated with the pandemic had an effect on new business premium during the quarter, the company said. “The annuity new business premium registered a growth of 13.1 per cent from Rs 1.91 billion in Q1-FY2020 to Rs 2.16 billion during Q1-FY2021,” it added.
The company’s value of the new business (NVB) has fallen by 35 per cent to Rs 201 crore in the April-June quarter of 2020-21 from Rs 309 crore in the year-ago period. VNB measures the profitability of the new business written in a period.
“Even with the movement restrictions in the last quarter, the share of protection in our portfolio increased to 26 per cent of Annualised Premium Equivalent (APE). This resulted in an expansion in the VNB margin from 21 per cent for Q1-FY2020 to 24.4 per cent for Q1-FY2021” said the insurance firm.
According to N S Kannan, MD & CEO, ICICI Prudential Life Insurance, “Customers trust us to help them achieve their long-term financial goals and despite volatile markets, our assets under management grew by 3.6 per cent to Rs 1.7 trillion for the quarter ended June 2020”. “We entered into a bancassurance partnership with IDFC First Bank Ltd for the distribution of our entire suite of protection and long-term savings products” he added.
ICICI Prudential Life shares closed at Rs 445.40 on BSE, up 2.11 per cent from the previous close.