General Insurance Corporation of India's Q3FY25 Quarter Results
- 04 Feb 2025
Result Summary
- General Insurance Corporation of India reported a 7.2% quarter-on-quarter (QoQ) decrease in its consolidated revenues for the quarter-ended Dec (Q3FY25). On a year-on-year (YoY) basis, it witnessed a growth of 0.4%.
- Its expenses for the quarter were down by 6.6% QoQ and 2.5% YoY.
- The net profit decreased 9.7% QoQ and increased 16.5% YoY.
- The earnings per share (EPS) of General Insurance Corporation of India stood at 9.6 during Q3FY25.
Financial Statments for Q3FY25
| (₹ crores) | Q3FY25 | Q2FY25 | Q3FY24 | QoQ (%) | YoY (%) |
|---|---|---|---|---|---|
Total Income | 11398.68 | 12284.71 | 11352.14 | -7.2% | 0.4% |
Total Expenses | 9282.28 | 9933.04 | 9519.52 | -6.6% | -2.5% |
Profit Before Tax | 2183.79 | 2286.92 | 1820.22 | -4.5% | 20.0% |
Tax | 560.35 | 422.01 | 427.98 | 32.8% | 30.9% |
Profit After Tax | 1676.62 | 1855.71 | 1438.84 | -9.7% | 16.5% |
Earnings Per Share | 9.60 | 18.60 | 23.40 | -48.4% | -59.0% |
Data Source: BSE, Company announcements The securities quoted are exemplary and are not recommendatory. Past performance is not indicative of future results
Company Overview
General Insurance Corporation of India (GIC Re), established in 1972, is India's largest reinsurance company and a key player in the global reinsurance market. Primarily, GIC Re provides reinsurance services to Indian insurance companies, covering sectors such as property, marine, engineering, aviation, health, and agriculture. The company plays a significant role in mitigating risks by offering reinsurance solutions that help primary insurers manage their risk exposure effectively. GIC Re's operations are pivotal to the stability and growth of India's insurance industry. However, specific recent major developments within the company or industry are not available from the provided data.
Revenue
The revenue for General Insurance Corporation of India has shown varying trends over the quarters. In Q3FY25, the total income was ₹11,398.68 crores, a slight year-over-year increase of 0.4% compared to Q3FY24, where the total income was ₹11,352.14 crores. However, when comparing quarter over quarter, there was a decline of 7.2% from Q2FY25, which recorded a total income of ₹12,284.71 crores. This fluctuation in revenue could be reflective of cyclic trends or market conditions affecting reinsurance premiums and claims. The revenue figures provide a snapshot of the company's ability to generate income in the changing insurance landscape.
Profitability
The profitability of GIC Re during Q3FY25 highlights a few significant points. Profit Before Tax (PBT) was ₹2,183.79 crores, showing a robust year-over-year increase of 20.0% from Q3FY24's PBT of ₹1,820.22 crores. However, there was a quarter-over-quarter decrease of 4.5% from Q2FY25's PBT of ₹2,286.92 crores. The Profit After Tax (PAT) declined by 9.7% QoQ to ₹1,676.62 crores in Q3FY25 from ₹1,855.71 crores in Q2FY25, but saw a year-over-year growth of 16.5% from Q3FY24's PAT of ₹1,438.84 crores. The tax expense saw a significant increase both QoQ and YoY, rising to ₹560.35 crores in Q3FY25 from ₹422.01 crores in Q2FY25 and ₹427.98 crores in Q3FY24. These figures reflect the company's profitability dynamics amidst varying income levels and taxation impacts.
Operating Metrics
The operating metrics for the General Insurance Corporation of India illustrate some notable changes. The Earnings Per Share (EPS) for Q3FY25 was ₹9.60, which represents a substantial decrease of 48.4% quarter-over-quarter from Q2FY25, where the EPS was ₹18.60. Year-over-year, the EPS also fell by 59.0% from Q3FY24's ₹23.40. These shifts in EPS could be indicative of changes in net income or share capital that are not detailed in the provided data. The total expenses for Q3FY25 were ₹9,282.28 crores, reflecting a reduction of 6.6% from Q2FY25's ₹9,933.04 crores and a 2.5% decrease from Q3FY24's ₹9,519.52 crores. These expense figures, together with the income and tax data, contribute to understanding the operational efficiency and cost management strategies of the corporation.
