LIC Q1 FY27 Preview: Life Insurance Corporation of India (LIC) is expected to report growth in key business metrics for the first quarter of FY27, with Annual Premium Equivalent (APE) and Value of New Business (VNB) likely to increase on a year-on-year basis. However, both metrics are expected to decline sequentially from the previous quarter.
LIC Q1 Results DateLIC is set to announce its financial results for the quarter ended June 30, 2026 (Q1 FY27) on Thursday, August 6. The company’s board of directors will meet to consider and approve the standalone and consolidated financial results, following which the management will hold an analyst earnings call at 7:00 pm.
APE, VNB likely to post YoY growth
According to ET Now Bureau’s research, LIC’s Annual Premium Equivalent is estimated to rise 16% year-on-year to Rs 14,676 crore in Q1 FY27, compared with Rs 12,652 crore in the same quarter last year. On a quarter-on-quarter basis, APE is expected to decline 36.1% from Rs 22,954 crore.
The insurer’s Value of New Business (VNB) is projected to increase 26% year-on-year to Rs 2,448 crore, compared with Rs 1,944 crore in Q1 FY26. Sequentially, VNB is expected to fall 58.5% from Rs 5,891 crore reported in Q4 FY26.
VNB margin expected at 16.7%
LIC’s VNB margin is expected to come in at 16.7% for the quarter. This would be an improvement of 133 basis points from 15.37% a year ago, but a decline of 900 basis points from 25.7% in the March quarter.
LIC’s VNB margin has shown the following trend over the past quarters:
- Q4 FY26: 25.7%
- Q3 FY26: 21.22%
- Q2 FY26: 19.3%
- Q1 FY26: 15.4%
- Q4 FY25: 18.7%
- Q3 FY25: 19.4%
- Q2 FY25: 17.9%
- Q1 FY25: 13.9%
Key monitorables: Investors will closely watch
- VNB margin outlook
- APE growth trend
- Management’s commentary following the government’s stake sale
- Product mix during the quarter
LIC OFS
The sale of over 82.22 crore shares is expected to raise around Rs 31,000 crore for the government’s disinvestment programme.
The OFS received a strong response from institutional investors on the first day, with the non-retail portion subscribed 3.32 times its base issue size.
Retail participation was also robust on Wednesday. The retail portion was subscribed 1.82 times its base issue size, with cumulative bids for 5.76 crore shares against a base issue size of 3.16 crore shares, according to NSE data. Against the total retail issue size of 8.22 crore shares, the subscription stood at 0.7 times.
The stake sale will enable LIC to meet the minimum public shareholding requirement prescribed by the Securities and Exchange Board of India ahead of the stipulated timeline.
On Wednesday, the PSU stock ended at Rs 393, up 0.43 per cent from its previous closing, on NSE.
(Disclaimer: The above article is meant for informational purposes only, and should not be considered as any investment advice. ET NOW DIGITAL suggests its readers/audience to consult their financial advisors before making any money-related decisions.)
