ICICI Lombard General Insurance Company (ICICIGI) Q4 20/21 earnings summary

Executive summary

• FY2021 GDPI was ₹140.03bn, up 5.2% YoY; PAT rose 23.4% to ₹14.73bn, combined ratio improved to 99.8% from 100.4%, and solvency was 2.90x.

• Serviced 21.7m policies and settled 1.63m claims; 99.7% of health claims and 94.3% of motor claims were settled within 30 days.

Financial highlights

• Gross written premium reached ₹143.20bn, up 5.4% YoY; net earned premium was ₹100.14bn, up 6.5%.

• Operating profit increased 26.6% to ₹19.55bn; PBT rose 15.1% to ₹19.54bn and PAT rose 23.4% to ₹14.73bn.

• Basic EPS was ₹32.41 versus ₹26.27; diluted EPS was ₹32.27 versus ₹26.19.

• Net claims incurred were ₹68.71bn, up 0.3%; operating expenses increased 19.2% to ₹27.34bn, reflecting employee costs, technology, legal/professional, and sales and promotion spending.

• Investment income in the revenue account rose 7.9% to ₹16.64bn; other revenue-account income increased to ₹4.83bn, including ₹4.36bn from shareholder contribution toward excess EOM.

Outlook and guidance

• Priorities include profitable-segment underwriting, caution on lumpy tender-driven lines, higher ROE, and maintaining the combined ratio at optimal levels; no numerical forward guidance was stated.

• Management expects digital self-service, automation, and customer demand for comprehensive protection to support future business, while pandemic-related demand and operating conditions remain uncertain.

• Industry growth was expected to normalise as economic activity recovered; second-wave disruptions and newly emerging virus strains remained difficult to predict.