ICICI Lombard General Insurance Company (ICICIGI) Q4 01/02 earnings summary

Executive summary

• Licensed for general insurance on Aug. 3, 2001; commercial operations began Aug. 31, 2001, with operations in 11 locations.

• Policyholders’ revenue account recorded a deficit of Rs. 130.69 million; shareholders’ account recorded a loss of Rs. 92.81 million, and no dividend was recommended.

Financial highlights

• Net premium earned was Rs. 14.149 million; net premium written was Rs. 109.673 million for the period ended Mar. 31, 2002.

• Net claims incurred were Rs. 17.882 million; insurance operating expenses were Rs. 120.040 million, including a Rs. 51.5 million premium-deficiency provision.

• Loss before tax was Rs. 111.271 million; loss after tax was Rs. 84.821 million, including deferred tax income of Rs. 29.2 million and current tax expense of Rs. 2.75 million.

• Net cash from operating activities was Rs. 155.728 million; net cash used in investing activities was Rs. 1,209.936 million.

Outlook and guidance

• Planned wider distribution through agents, banks and self-help agencies to extend geographic reach and improve market penetration.

• Motor insurance launched; home, health and travel products were in development for rollout in FY2002-03.

• Service priorities included customized solutions, efficient distribution, prompt claims settlement and technology-based delivery.