ICICI Prudential Life Insurance Company gained 1.05% to Rs 485 after consolidated net profit rose 0.5% to Rs 301.84 crore on 6.2% decline in total income to Rs 8,415.30 crore in Q2 September 2019 over Q2 September 2018.
The result was announced after trading hours yesterday, 22 October 2019.
The Value of New Business (VNB) grew by 20.2% to Rs 709 crore during first half of the year ending March 2020 (H1FY2020) from Rs 590 crore in first half of the year ended March 2019 (H1FY2019). VNB margin stood at 21% in H1FY2020 compared with 17.5% in H1FY2019.
The protection Annualised Premium Equivalent (APE) jumped 86.8% to Rs 497 crore in H1FY2020 from Rs 266 crore in H1FY2019. New Business Premium (NBP) improved 20.5% to Rs 5,152 crore in H1FY2020 from Rs 4,277 crore in H1FY2019.
The insurance company's Embedded Value (EV) soared 17.8% to Rs 22,680 crore in H1FY2020 from Rs 19,248 crore in H1FY2019. Annuity business surged 99.57% to Rs 467 crore in H1FY2020 from Rs 234 crore in H1FY2019. The 13th month persistency stood at 85.5%. The total premium witnessed a 10% jump to Rs 14,520 crore in H1FY2020 from Rs 13,198 crore in H1 FY2019.
The Asset under Management (AuM) rose 13.3% to Rs 1,65,512 crore in H1FY2020 from Rs 1,46,129 crore in H1FY2019.
N. S. Kannan, the managing director and CEO of ICICI Prudential Life, has said that, "We have been able to grow our Value of New Business (VNB) by 20.2% year on year to Rs 7.09 billion in the first half of FY2020. Protection is an underserved segment and with our innovative product offerings backed by technology, we have been able to deliver 87% year on year growth in the protection business in the first half of this financial year. Protection business now contributes to 14.8% of our APE. I am also happy to report that our annuity business has doubled in the same period.
"We have been strengthening our multi-channel distribution network backed by technology to widen our customer base and tap under-insured segments of the population. This approach has been supplemented by a robust risk management strategy thereby ensuring the quality and sustainability of our business. Our Embedded Value also grew about 18% over the year to Rs 22,680 crore," he added.
Meanwhile, the S&P BSE Sensex was up 196 points or 0.50% to 39,159.89.
On the BSE, 56,560 shares were traded in the counter so far compared with average daily volumes of 85,740 shares in the past two weeks. The stock hit an intraday high of Rs 487.90 and an intraday low of Rs 479 so far during the day.
The stock hit a 52-week high of Rs 488.35 on 22 October 2019. The stock hit a 52-week low of Rs 277.95 on 4 February 2019.
ICICI Prudential Life Insurance Company is a joint venture between ICICI Bank and Prudential Corporation Holdings. The company provides life insurance, pensions and health insurance to individuals and groups.
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