ICICI Lombard Q1 FY27 Results (NSE: ICICIGI)
Signal: Earnings declined
The read
The key inflection is underwriting deterioration: total income grew 13.7% YoY to ₹691371 lakh, but operating profit fell 64.3% to ₹23379 lakh as the incurred claim ratio rose to 76.4% and the combined ratio reached 102.4%; the ₹18500 lakh Motor TP reserve is the principal disclosed one-off pressure.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹6,913.71 Cr | +13.7% | +4.5% |
| EBIT | ₹233.79 Cr | -64.3% | |
| Net profit | ₹403.17 Cr | -46.0% | |
| EPS | ₹8.08 | -46.3% | |
| EBIT margin | 0% |
P&L walk
Total income increased to ₹691371 lakh, +13.7% YoY and +4.5% QoQ, but underwriting profit fell to ₹23379 lakh, -64.3% YoY, as the combined ratio reached 102.4% and PAT declined to ₹40317 lakh, -46.0% YoY.
Segments
Motor remained the largest disclosed premium pool at ₹288082 lakh but posted an underwriting loss of ₹24521 lakh versus a ₹10605 lakh loss in Q1FY26, while Health Group Corporate generated ₹179517 lakh of net premium earned and widened its underwriting loss to ₹30173 lakh from ₹10299 lakh.
Key positives
- Gross premium written reached ₹774021 lakh, +18.2% YoY, showing continued top-line momentum despite underwriting pressure.
- Solvency ratio remained strong at 2.67x, compared with 2.67x in the year-ago quarter.
- Basic EPS tracked PAT closely, declining 46.3% versus a 46.0% PAT decline, with no material dilution divergence.
Key concerns
- Operating profit fell 64.3% YoY to ₹23379 lakh, while the combined ratio remained loss-making at 102.4%.
- Incurred claim ratio increased to 76.4% from 73.0% YoY, with claims paid rising 20.6% YoY to ₹351161 lakh.
- Health Group Corporate underwriting loss widened to ₹30173 lakh from ₹10299 lakh, and Motor underwriting loss widened to ₹24521 lakh from ₹10605 lakh.
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