Tata AIA Life said that its net profit for the financial year ended March 2012 stood at Rs. 260.31 crore from Rs 52 crore reported a year ago.
The total premium income for FY12 stood at Rs. 3,630 crore against Rs. 3,985 crore in FY11. Of this, the new business premium collection stood at Rs. 940 crore. The renewal premium for the same period was at Rs. 2,690 crore against Rs. 2,653 crore in FY11. Traditional business accounted for 45% of the new business premium against 29% in FY11.
During FY12, the company further enhanced its operating efficiencies resulting in the reduction of the operating expenses to total premium ratio to 21% against 24% in FY11.
The total assets under management (AUM) of the company have increased by 15% to Rs. 14,519 crore from Rs. 12,622 crore in FY11. As on 31 March 2012, the paid-up capital of the company stood at Rs. 1,954 crore.
Commenting on the Company's performance, Mr. Suresh Mahalingam, Managing Director, Tata AIA Life said “The Company has maintained focus on optimum utilization of resources and a healthy balance in the product mix between traditional & unit linked business. The cost management effectively delivered profitable growth for the Company with statutory profit of Rs. 260.31 crores. A solvency margin of 284 per cent further underlines the robust financial health of the company.”