LIC Reports Q3 Results and Announces Interim Dividend

Life Insurance Corporation of India (LIC) is set to unveil its financial performance for the third quarter of the fiscal year, alongside deliberations on an interim dividend for the financial year 2023-24. Market analysts anticipate a notable increase in profits despite a decline in certain key metrics.

Key Financial Highlights:

• Emkay Global forecasts a 12.2% year-on-year rise in LIC's profit for the December quarter, projecting it to reach Rs 7,108.70 crore.
• Annual premium equivalent (APE) is expected to decrease by 14.3% year-on-year to Rs 10,561.70 crore from Rs 12,317 crore in the corresponding period last year.
• The value of new business (VNB) is anticipated to stand at Rs 1,641.10 crore compared to Rs 1,801 crore in the previous year's quarter, with the VNB margin projected to expand to 15.5% from 14.6%.
• Assets under management (AUM) are predicted to rise by 11.9% year-on-year to Rs 49,61,600 crore, reflecting growth from Rs 44,34,900 crore in the same quarter last year.

Board Meeting Details:

• LIC has scheduled a board meeting on February 8 to review and approve the unaudited financial results for the quarter and nine-month period ending December 31, 2023.
• During this meeting, the board will also deliberate on the proposal for declaring an interim dividend for the fiscal year 2023-24.

Market Performance:

• LIC shares experienced a positive trajectory, closing at Rs 1,045 on Wednesday, representing a 1.98% increase. The stock recently surpassed its initial public offering (IPO) price of Rs 949, demonstrating strong investor confidence.
• Prime Minister Narendra Modi acknowledged the persistent rumors surrounding LIC's operations in the past, emphasizing the resilience of the company's stock, which continues to trade at record-high levels.

Despite challenges in certain business segments, LIC is poised to deliver robust financial results for the third quarter of the fiscal year. The company's commitment to shareholder value is evident through its consideration of an interim dividend, further bolstering investor sentiment.