ICICI Pru Life Q1 FY27 Results (NSE: ICICIPRULI)
Signal: Earnings grew
The read
A robust start to FY27: PAT and VNB both grew ~25-28% YoY, driven by a third consecutive quarter of >40% retail protection APE growth (now 60.4% YoY). VNB margin expanded 220bps to 26.7% on superior product mix shift toward protection. The savings cost-to-premium improved 50bps despite GST headwinds, demonstrating cost discipline. The only concern is 13th-month persistency edging down 200bps YoY to 84.0%, warranting watch.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹9,749.33 Cr | 14.7% | -49.2% |
| EBIT | 0 lakh | 0% | |
| Net profit | ₹386.18 Cr | 27.8% | |
| EPS | ₹2.67 | 28.4% | |
| EBIT margin | 0% |
P&L walk
Standalone-only filer; no consolidated statements.
Key positives
- VNB +24.9% YoY to ₹571 Cr with margin +220bps to 26.7% — quality growth.
- Retail protection APE +60.4% YoY (third consecutive quarter >40% growth post-GST reforms).
- New business premium +21.3% YoY on 13.2% policy count growth.
- Savings cost-to-premium ratio improved 50bps to 13.6% despite GST disallowance — cost discipline intact.
- Solvency ratio well above regulatory minimum at 225.4% (up 13.1pp YoY).
Key concerns
- 13th-month persistency declined 200bps YoY to 84.0% — potential risk to renewal premium trajectory.
- Operating expenses (other than unit-linked) grew 28% YoY, outpacing premium growth, partly structural from GST cost.
- Investment income (+11.1% to ₹18,763 Cr) is dominated by unrealised gains in unit-linked (₹15,753 Cr), which is offset by policyholder liabilities — shareholders' profit is driven by the non-unit-linked portion (₹3,011 Cr, +7.6% YoY only).
- QoQ PAT declined 36.6% from Q4FY26 (₹609 Cr vs ₹386 Cr) — though Q4 was seasonally elevated by large policyholder account surpluses.
Research and educational content only. Not investment advice.