LIC Board Approves 1:1 Bonus Issue, Final Dividend Declared

Life Insurance Corporation of India Posts Strong Q4 and FY26 Results

Life Insurance Corporation of India (LIC), India's largest life insurer, has approved a 1:1 bonus share issue for shareholders while reporting a significant rise in quarterly and annual profitability for FY26. The state-owned insurance major has fixed May 29 as the record date to determine shareholders eligible to receive the bonus shares.

Under the approved proposal, shareholders will receive one additional fully paid-up equity share of ₹10 each for every one existing fully paid-up equity share of ₹10 each held by them. The company has also announced a final dividend of ₹10 per share for the financial year 2025-26. The board has fixed Thursday, June 25, 2026, as the record date for determining shareholders eligible to receive the proposed final dividend.

Key Financial Highlights

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LIC reported a consolidated net profit of ₹23,467 crore for the fourth quarter of FY26, registering a 23% year-on-year growth compared with ₹19,039 crore reported in the corresponding quarter last year. The insurer's net premium income during the January-March quarter stood at ₹1.64 lakh crore, reflecting an 11% increase from ₹1.48 lakh crore recorded in the same period a year ago.

On a sequential basis, net premium income rose 30% from ₹1.26 lakh crore reported in the October-December quarter of FY26. The company's asset quality also improved with its gross non-performing assets (GNPA) contracting to 1.21% in Q4 FY26 from 3.1% in the December quarter of FY26 and 1.46% in the year-ago period.

For the full financial year, LIC reported a profit after tax (PAT) of ₹57,419 crore, marking a 19% rise on a year-on-year basis. LIC's Value of New Business (VNB) rose 41.63% to ₹14,179 crore during the year. Its VNB margin (net) improved by 360 basis points to 21.2%, indicating stronger profitability from new business generation.

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The company's group business also registered healthy growth. Total group business premium income increased 16.26% to ₹1.97 crore, while total premium income rose 9.80% to ₹5.36 crore in FY26. The insurer's assets under management (AUM) also climbed 5.08% to ₹57,29,396 crore during FY26, further strengthening its position as the country's largest institutional investor.