The Life Insurance Corporation of India (LIC), India’s largest state-owned insurer, has emerged as the highest profit-making public sector undertaking (PSU) for the March quarter of FY25, clocking an all-time high net profit of ₹19,013 crore.
This marks a 38% year-on-year increase from ₹13,763 crore in Q4 FY24, highlighting the robust performance of the insurance giant.
LIC’s record profit placed it ahead of other major PSUs, with the State Bank of India (SBI) reporting a slightly lower Q4 profit of ₹18,643 crore.
Despite trailing LIC in quarterly earnings, SBI maintained its lead in annual profits, reporting ₹70,901 crore for FY25, compared to LIC’s ₹48,151 crore.
Other public sector performers in Q4 included Coal India with ₹9,604 crore profit, Power Finance Corporation (PFC) with ₹8,358 crore, and NTPC with ₹7,897 crore.
In the oil sector, Indian Oil Corporation (IOC) posted a profit of ₹7,265 crore, while ONGC registered ₹6,448 crore.
Additional CPSEs like REC Ltd (₹4,304 crore), Power Grid Corporation of India (₹4,143 crore), and SAIL (₹1,251 crore) also contributed significantly to the overall PSU earnings landscape.
LIC’s strong financial showing had an immediate impact on the stock market.
On May 28, a day after the results were declared, LIC shares surged 8% to close at ₹942.55 on the BSE, hitting an intraday high of ₹948 – a jump of 8.83%.
This rally boosted LIC’s market capitalisation by ₹45,223.74 crore, pushing it to ₹5.96 lakh crore.
As of March 31, 2025, LIC’s Assets Under Management (AUM) stood at ₹54.52 lakh crore, up from ₹51.21 lakh crore the previous year, reflecting a year-on-year growth of 6.45%.
The insurer also saw an increase in income from renewal premiums, which rose to ₹79,138 crore from ₹77,368 crore in Q4 FY24.
In a notable improvement, LIC successfully reduced its management expenses to ₹16,495 crore from ₹24,709 crore a year ago, further enhancing profitability and operational efficiency.
LIC’s performance in Q4 FY25 underscores its continuing dominance in India’s insurance sector and its potential to drive growth within the PSU ecosystem.
Rising premium income, effective cost control, and an expanding asset base position LIC strongly for sustained growth in the coming financial year.
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