ICICI Prudential Life Insurance Company (ICICIPRULI) Q4 24/25 earnings summary

Executive summary

• Profit after tax rose 39.6% year-over-year to ₹1,189 crore for FY2025, with strong growth in value of new business (VNB) and assets under management.

• Annualized Premium Equivalent (APE) grew 15% year-over-year to ₹10,407 crore, and Embedded Value (EV) rose 13.3% to ₹47,951 crore.

• Retail new business sum assured increased 37% year-over-year to ₹3,324.49 billion; assets under management reached ₹3,09,359 crore, up 5.2%.

• Maintained strong customer metrics: 13-month persistency at 89.1%, claim settlement ratio at 99.3%, and ranked no. 1 in industry-wide customer experience NPS for the third year.

• Proprietary channels (agency & direct) contributed over 50% of retail APE; product and distribution mix remains well diversified.

Financial highlights

• Total premium increased 13.2% year-over-year to ₹48,951 crore; new business received premium up 24.9% to ₹22,583 crore.

• Value of New Business (VNB) increased 6.4% year-over-year to ₹2,370 crore; VNB margin at 22.8%.

• Cost-to-premium ratio improved to 18.1%; cost-to-RWRP for savings line improved to 15.4%.

• Solvency ratio stood strong at 212.2% as of March 31, 2025.

• Return on Embedded Value (ROEV) at 13.1%.

Outlook and guidance

• Management aims to continue growing VNB ahead of APE and adapt product mix to market conditions.

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

• Expectation of continued pressure in the MFI segment of credit life, but confidence in diversified product and distribution mix to drive growth.

• Medium-term APE growth target in the range of 13%-15%, with intent to outperform industry.

• Continued investment in proprietary channels, digital transformation, and analytics to drive operational efficiency and customer centricity.