New India Assurance Company Q4 PAT increases 91% to Rs241cr

Operating profit increased by 69.2% to 699cr.

Jun 08, 2021 12:06 IST India Infoline News Service

New India Assurance
The New India Assurance Co. Ltd., the market leader in non-life business in India has announced its audited Financial Results for the year ended 31st March 2021.

Q4FY21 versus Q4FY20
  • Net premium grew by 15.9% yoy to 7,291cr
  • PBT grew by 139% to 335cr
  • PAT grew by 90.6% to 241cr
FY21 versus FY20
  • Net premium grew by 10.12% to 26,966cr
  • Operating profit increased by 69.2% to 699cr
  • PBT increased by 24.3% to 2,037cr
  • PAT grew by 13.2% to 1605cr
  • Net worth surged by 40% to 36,451cr
  • Solvency ratio improved to 2.13x from 2.11x
  • Incurred claim ratio reduced by 7.24% to 84.19%
  • Combined ratio reduced by 3.15% to 113.28%
  • Adjusted combined ratio remains comfortable at 97.25%
Commenting on the results, Chairman Cum Managing Director Atul Sahai said, "FY21 was a challenging year. Apart from COVID-19 pandemic related issues at the beginning as well as towards the end of the year, the industry also witnessed a few catastrophe events as well. However, the company was able to put up a resilient performance. Indian business grew by 6.2% versus industry growth of 5.2% and increased its market share to 14.33%. There was a substantial improvement in incurred claim ratio.

This improvement was despite CAT event related losses of 150cr The expense ratio increased steeply due to increase in employee pension liability driven by higher annuity costs. The results were also adversely impacted due to a few one-off provisions. This includes provision for bad debts of close to 165 Cr primarily pertaining to some old receivables, as well investment provisions of about 369 Cr primarily pertaining to debt instruments which have defaulted. Foreign operations continue to be profitable and solvency ratio was healthy at 2.13x".

At around 12:08 PM, New India Assurance Company was trading at Rs176 apiece down by Rs0.7 or 0.4% on the BSE,

Related Story

Open Free Demat Account (Rs699)