What explains ICICI Lombard’s strong profitability in Q1 amid COVID-19 crisis?
ICICI Lombard’s capitalisation remains healthy, much higher than the minimum regulatory requirement of 150 per cent
July 21, 2020 / 01:22 PM IST
PRO Only Highlights
Quarterly performance largely backed by improved realisations
Medium-term triggers China plus and protectionist measures for tyre industry
Valuations not inexpensive; but improved medium-term outlook
ICICI Lombard General Insurance (CMP: Rs 1,321, Mcap: Rs 60,000 crore), the largest private sector non-life insurer in the country, has reported a strong profit growth of 28 per cent in the first quarter of FY21. This is little intriguing as activities remained muted during the greater part of the reporting quarter following the nationwide lockdown announced in late March. So, what led to the profit growth?
There is no doubt that the pandemic impacted business growth with the gross...