ICICI Prudential Life Insurance Company (ICICIPRULI) Q2 24/25 earnings summary

Executive summary

• Achieved strong growth in H1 FY2025 with APE up 26.8% year-on-year to ₹44.67 billion and profit after tax up 5.8% to ₹4.77 billion.

• Embedded value increased 19.4% to ₹460.18 billion; assets under management rose 17.9% to ₹3,204.91 billion.

• RWRP grew 39.2% year-on-year, with a 12.5% increase in policies sold and market share rising to 10.3%.

• Maintained industry-leading claim settlement ratio at 99.3% for individuals and 99.8% overall, with 1.2 days average turnaround.

• Persistency ratios improved, with 13th month at 89.8% and 49th month at 69.9%.

Financial highlights

• VNB for H1 FY2025 at ₹10.58 billion, up 4.2% year-on-year, with a margin of 23.7%.

• Total premium collected reached ₹194.59 billion, up 9.3% year-on-year.

• Solvency ratio stood at 188.6% as of September 30, 2024, well above the regulatory minimum.

• Cost to premium at 22.0% and cost to TWRP (savings) at 17.9%, both improving sequentially.

• Number of policies issued grew 12.5% year-on-year to 300,900.

Outlook and guidance

• Focus on sustainable VNB growth, balancing business expansion, profitability, and risk management.

• Board approved raising up to ₹14.00 billion via non-convertible debentures to strengthen solvency.

• Continued investment in capacity creation and technology to support future growth.

• No material negative impact expected from new commission structures in Q3.

• Management expects continued growth in annuity and protection segments, citing under-penetration and product innovation.