Result Analysis ICICI Prudential Life Insurance Company Ltd.

Result Analysis: ICICI Prudential Life Insurance Company Ltd. (CMP- ₹484.35)

Result Update: Q3FY23

ICICI Prudential Life Insurance Company Ltd. (“ICICI Pru.”) is 3^rd largest private sector Life Insurance Company and is engaged in the business of providing life insurance, pensions and health insurance products to individuals and groups. The company has consistently been amongst the top companies in the Indian Life insurance sector with a strong balance sheet and solvency ratio of 212.2%. It distributes its products through a large pan-India network of individual agents, corporate agents, banks, and brokers, along with the company’s proprietary sales force and website.

---

---

 

Results:

Particulars (In Cr.)		Q3FY23	Q2FY23	Q3FY22	QoQ %	YoY%
Net Premium  Earned		9465	9582	9074	-1.22%	4.30%
Other Operating Income		7962	13023	856	-38.86%	830.28%
Other Income		352	507	58	-30.52%	512.50%
Total Income		17779	23112	9987	-23.08%	78.01%
Total Operating Expenditure		17392	22866	9506	-23.94%	82.95%
Operating Profit		387	246	481	57.32%	-19.62%
Provisions & Write-Offs		110	3	122	3569.67%	-9.46%
Profit Before Tax		277	243	359	13.92%	-23.06%
Tax		55	43	47	28.96%	15.94%
Profit After Tax		222	200	312	10.71%	-28.99%
Segment Premium Income (In Cr.)	Q3FY23	Q2FY23	Q3FY22	QoQ %	YoY%	Segment %
Par Life	1,172	1,146	1,168	2.29%	0.33%	12.45%
Par Pension	2.6	1.7	3.0	52.38%	-14.95%	0.03%
Non-Par Life	2,789	2,513	1,972	10.99%	41.40%	29.62%
Non-Par Pension	44	262	16	-83.19%	175.44%	0.47%
Non-Par Variable	6.3	3.1	0.1	107.87%	4776.92%	0.07%
Non-Par Variable Pension	0.0	0.6	10.8	-100.00%	-100.00%	0.00%
Annuity Non-par	540	703	774	-23.13%	-30.23%	5.74%
Health	6.9	7.4	7.3	-6.61%	-5.72%	0.07%
Linked Life	4,453	4,405	4,733	1.10%	-5.91%	47.30%
Linked Pension	33.4	35.9	42.2	-6.97%	-20.85%	0.35%
Linked Health	-1	0	-1	-376.60%	116.67%	-0.01%
Linked Group Life	368	429	168	-14.31%	118.35%	3.91%
Total	9,414.70	9,507	8,896	-0.97%	5.83%	100.00%

 

Particulars (In Cr.)	9M-FY23	9M-FY22	FY22	YoY%
Value of New Business (VNB)	1710	1388	2163	23.20%
New Business Sum assured	692193	513163	773146	34.90%
APE*	5341	5125	7733	4.20%
-Savings	3954	4052	6120	-2.40%
-Protection	1050	856	1313	22.70%
-Annuity	337	216	300	56.00%
New Business Premium	11287	10248	15036	10.10%
Cost ratio (Cost/TWRP^)	20.80%	17.70%	18.60%
Profit/(Loss) After Tax (PAT)	576	569	754	1.20%
Assets under management	251884	237560	240492	6.00%

*- Annualized Premium Equivalent

^- Total weighted received premium

Source: Company website, EWL Research

Disclosure in pursuance of Section 19 of SEBI (RA) Regulation 2014

Elite Wealth Limited does/does not do business with companies covered in its research reports. Investors should be aware that the Elite Wealth Limited may/may not have a conflict of interest that could affect the objectivity of this report. Investors should consider this report as only information in making their investment decision and must exercise their own judgment before making any investment decision.
For analyst certification and other important disclosures, see the Disclosure Appendix, or go to www.elitewealth.in. Analysts employed by Elite Wealth Limited are registered/qualified as research analysts with SEBI in India.( SEBI Registration No.: INH100002300)
Disclosure Appendix
Analyst Certification (For Reports)
Israil Khan, Elite Wealth Limited, suhail@elitewealth.in
The analyst(s) certify that all of the views expressed in this report accurately reflect my/our personal views about the subject company or companies and its or their securities. I/We also certify that no part of my compensation was, is or will be, directly or indirectly, related to the specific recommendations or views expressed in this report. Unless otherwise stated, the individuals listed on the cover page of this report are analysts in Elite Wealth Limited.
As to each individual report referenced herein, the primary research analyst(s) named within the report individually certify, with respect to each security or issuer that the analyst covered in the report, that:
(1) all of the views expressed in the report accurately reflect his or her personal views about any and all of the subject securities or issuers; and
(2) no part of any of the research analyst’s compensation was, is, or will be directly or indirectly related to the specific recommendations or views expressed in the report.
For individual analyst certifications, please refer to the disclosure section at the end of the attached individual notes.
Research Excerpts
This note may include excerpts from previously published research. For access to the full reports, including analyst certification and important disclosures, investment thesis, valuation methodology, and risks to rating and price targets, please visit www.elitewealth.in.
Company-Specific Disclosures
Important disclosures, including price charts, are available and all Elite Wealth Limited covered companies by visiting https://www.elitewealth.in, or emailing research@elitestock.com with your request. Elite Wealth Limited may screen companies based on Strategy, Technical, and Quantitative Research. For important disclosures for these companies, please e-mail research@elitestock.com.
Options related research:
If the information contained herein regards options related research, such information is available only to persons who have received the proper option risk disclosure documents. For a copy of the risk disclosure documents, please contact your Broker’s Representative or visit the OCC’s website at https://www.elitewealth.in
Other Disclosures
All research reports made available to clients are simultaneously available on our client websites. Not all research content is redistributed, e-mailed or made available to third-party aggregators. For all research reports available on a particular stock, please contact your respective broker’s sales person.
Ownership and material conflicts of interest Disclosure
Elite Wealth Limited policy prohibits its analysts, professionals reporting to analysts from owning securities of any company in the analyst’s area of coverage. Analyst compensation: Analysts are salary based permanent employees of Elite Wealth Limited. Analyst as officer or director: Elite Wealth Limited policy prohibits its analysts, persons reporting to analysts from serving as an officer, director, board member or employee of any company in the analyst’s area of coverage.
Country Specific Disclosures
India – For private circulation only, not for sale.
Legal Entities Disclosures
Mr. Ravinder Parkash Seth is the Managing Director of Elite Wealth Ltd (EWL, henceforth), having its registered office at Casa Picasso, Golf Course Extension, Near Rajesh Pilot Chowk, Radha Swami, Sector-61, Gurgaon-122001 Haryana, is a SEBI registered Research Analyst and is regulated by Securities and Exchange Board of India. Telephone:011-43035555, Facsimile: 011-22795783 and Website: www.elitewealth.in
EWL discloses all material information about itself including its business activity, disciplinary history, the terms and conditions on which it offers research report, details of associates and such other information as is necessary to take an investment decision, including the following:
1. Reports
a) EWL or his associate or his relative has no financial interest in the subject company and the nature of such financial interest;
(b) EWL or its associates or relatives, have no actual/beneficial ownership of one per cent. or more in the securities of the subject company, at the end of the month immediately preceding the date of publication of the research report or date of the public appearance;
(c) EWL or its associate or his relative, has no other material conflict of interest at the time of publication of the research report or at the time of public appearance;
2. Compensation
(a) EWL or its associates have not received any compensation from the subject company in the past twelve months;
(b) EWL or its associates have not managed or co-managed public offering of securities for the subject company in the past twelve months;
(c) EWL or its associates have not received any compensation for investment banking or merchant banking or brokerage services from the subject company in the past twelve months;
(d) EWL or its associates have not received any compensation for products or services other than investment banking or merchant banking or brokerage services from the subject company in the past twelve months;
(e) EWL or its associates have not received any compensation or other benefits from the Subject Company or third party in connection with the research report.
3 In respect of Public Appearances
(a) EWL or its associates have not received any compensation from the subject company in the past twelve months;
(b) The subject company is not now or never a client during twelve months preceding the date of distribution of the research report and the types of services provided by EWL