Life Insurance Corporation earns Rs 10.76 crore in Q3 with just 0.40% growth; Life Insurance fund stands at Rs 63.67 arba

Mon, May 18, 2020 8:25 AM on Financial Analysis, Latest,
Life Insur...

Life Insurance Corporation (Nepal) Limited (LICN)’s net profit increased by just 0.40% in the third quarter of the current fiscal year 2076/77. The company has earned Rs 10.76 crore till the end of third quarter.

As per the unaudited report for the third quarter published today, LICN has a paid-up capital of Rs 2.01 arba with a reserve of Rs 50.61 crore.

The company has a massive Rs 63.67 arba in life insurance fund and Rs 23.62 crore in the contingent fund.

The net earnings from premium rises by 17.38% to Rs 10.31 arba till Q3 of FY 2076/77 from Rs 8.79 arba in the corresponding quarter of last fiscal year. The company has earned Rs 3.43 arba from investment, loans and others headings.

The company’s number of policyholders increased from 7.10 lakh in the corresponding quarter to 7.38 lakh in Q3 of the current fiscal year.

It's annualized EPS and net worth per share stands at Rs 7.14 and Rs 136.94. The quarter end P/E ratio of the company is at 136.94 times.

Click here for Q3 report:

Major Highlights:

net profit figure is without the profit generated from actuarial valuation of assets and liabilities. 

Particulars (In Rs '000)

Life Insurance Corporation

Q3 2076/77

Q3 2075/76

Difference

Paid Up Capital

2,010,000.00

1,494,838.80

34.46%

Reserve and Surplus

506,146.97

583,541.44

-13.26%

Life Insurance Fund

63,675,060.57

51,488,440.44

23.67%

Contingent Fund

236,283.13

143,920.63

64.18%

Net Premium

10,318,084.27

8,790,558.47

17.38%

Re-Insurance Income

11,381.88

9,335.67

 

Income from Investment, Loan and others

3,430,307.89

2,903,735.99

18.13%

Claim Payment (Net)

2,744,850.84

2,210,465.82

24.18%

Agent Commission

1,087,895.33

963,965.24

12.86%

Gross Profit

27,352.82

39,865.57

-31.39%

Transferred to Life Insurance Fund

9,644,839.81

8,232,466.37

17.16%

Net Profit*

107,603.60

107,171.05

0.40%

No of Policies

738,293.00

710,872.00

3.86%

Annualized EPS (In Rs.)

7.14

9.56

-25.33%

Net Worth per Share (In Rs.)

136.94

148.66

-7.89%

PE Ratio

159.71

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