ICICI Prudential Life Q4FY26: Street sees 19% profit

Shares dip ahead of March-quarter results

Shares of ICICI Prudential Life Insurance Co. were down on Monday ahead of the company’s March-quarter earnings scheduled for Tuesday. At 1416 IST, the stock traded at ₹543.80, down ₹3.20 or 0.6%. The move came as investors positioned for the quarterly print, which brokerages expect to reflect stronger premium collections. Motilal Oswal Financial Services has projected a year-on-year rise in quarterly profit, supported by higher gross premium income. Separately, a data point in the provided context showed the stock at ₹651.35 as of 20-Feb-2026 (close ₹651.30), underscoring that price levels in the stock have varied across dates cited.

Motilal Oswal’s March-quarter estimates

Motilal Oswal expects ICICI Prudential Life’s net profit for the March quarter to rise nearly 19% year-on-year to ₹457 crore (₹4.57 billion). The brokerage also expects gross premium income to increase over 14% on year to ₹19,260 crore (₹192.6 billion). It further estimates new business annualised premium equivalent (APE) at ₹3,630 crore (₹36.3 billion), up nearly 4% year-on-year. The estimates tie the profit growth to an improvement in premium momentum, based on the brokerage note cited in the source.

How brokerages are positioned on the stock

Of the 12 brokerage reports on the life insurer cited in the provided text, 10 carry a “buy” recommendation. The average target price across these “buy” calls is ₹775, described as nearly 30% higher than the then-current market price. The remaining two brokerages have “hold” ratings with an average target price of ₹699. The spread between the “buy” and “hold” target averages suggests that while most analysts are constructive, not all are aligned on valuation comfort or near-term triggers.

Recent reported numbers: December quarter reference point

For the December quarter, ICICI Prudential Life reported a net profit of ₹390 crore (₹3.90 billion) and a net premium income of ₹11,810 crore (₹118.1 billion), as stated in the source. These numbers form the most recent actual reference point mentioned alongside the March-quarter estimates. In another brokerage preview (also cited in the text), Motilal Oswal had estimated that net profit for the December quarter may fall nearly 2% year-on-year to ₹319 crore (₹3.19 billion), while net premium income may rise nearly 15% to ₹14,052 crore (₹140.520 billion).

December-quarter demand indicators cited in the context

The same December-quarter preview cited a likely annualised premium equivalent of ₹2,597 crore (₹25.97 billion), up 7% on year and on quarter. It attributed the demand boost to the exemption of all individual life and health insurance from Goods and Services Tax, as described in the note. The source also stated that, based on company-released data referenced there, first year premium in December stood at ₹1,945 crore (₹19.45 billion), up 25.1% year-on-year. These indicators are closely watched because they can signal momentum in new business and product demand.

Q4FY25 snapshot: APE, VNB, and operating metrics

The provided text also included a March-quarter (Q4FY25) performance snapshot from a separate market report. It stated that annualised premium equivalent (APE) for the quarter was ₹3,502 crore and value of new business (VNB) was ₹795 crore. The same report said VNB margin improved to 22.7%. On a year-on-year basis, it said APE (Retail and Direct) grew 3.1% and VNB rose 2.5% from the March quarter last year. It added that total premium income for FY25 rose 13.2% to ₹48,951 crore.

Operational and balance-sheet strength metrics were also cited: 13th-month persistency ratio at 89.1%, 49th-month persistency ratio at 69.5%, claim settlement ratio at 99.3%, and solvency ratio at 212.2% against the regulatory requirement of 150%.

Key numbers at a glance

Dividends, promoter holding, and peer comparison points

The source stated that promoters of ICICI Prudential Life Insurance hold a 72.9% stake in the company. It also said that in the most recent financial year, ICICI Prudential Life paid a dividend of ₹0.9 per share and had a dividend payout ratio of 10.4%. Separately, a table in the provided text showed “Dividends per share (Unadj.)” at ₹0.85.

A separate comparison table in the text showed ICICI Prudential Life’s stock performance versus ICICI Lombard General Insurance across periods, including a 1-year move of -20.18% for ICICI Prudential Life and +3.97% for ICICI Lombard. The same table listed 3-year CAGR of 5.26% and 5-year CAGR of 7.95% for ICICI Prudential Life (with corresponding higher CAGRs shown for ICICI Lombard).

Management commentary cited on GST exemption

The text included a company statement indicating positive early trends after the GST exemption on life insurance. It said the company observed growth in website traffic, lead volumes, and conversion rates across product segments, pointing to improved customer traction. While the statement is directional, it aligns with the brokerage commentary in the context that demand improved following the tax change.

A note on ICICI Prudential AMC results also cited

The provided material also referenced ICICI Prudential AMC’s Q4FY26 results, stating stable operations with revenue from operations at ₹1,517 crore for the quarter versus ₹917 crore in Q4FY25, and FY2026 topline growth of over 23% year-on-year with double-digit profit growth. ICICI Prudential AMC is a separate listed entity from ICICI Prudential Life Insurance, but the update adds broader context on earnings season and ICICI-branded financial companies reporting outcomes.

What investors will track in the upcoming print

With the March-quarter results due, investors are likely to focus on how profit and premium growth compare with the estimates cited, and whether new business APE trends remain supportive. They will also watch for updates that help interpret premium momentum alongside persistency and solvency indicators that were cited for earlier periods. Brokerage target prices and rating distribution suggest expectations are skewed positive, even as “hold” calls remain in the mix.

Conclusion

ICICI Prudential Life enters its March-quarter results with the stock lower on the day and broker estimates pointing to higher profit and premium income. The market’s next reference point will be the company’s reported numbers on Tuesday, alongside any updates on new business and customer traction post the GST exemption.