Shares of Life Insurance Corporation of India (LIC) surged nearly 5% intraday on Friday after the state-run insurance giant announced strong Q4 FY26 earnings, its first-ever bonus issue, and a final dividend for shareholders. Investor sentiment turned bullish after the company posted robust growth across profit, premium income, investment income, and assets under management (AUM).
LIC share price touched a high of ₹839 apiece on the NSE following the announcement, while the company’s market capitalisation stood at around ₹5.08 lakh crore.
LIC Q4 FY26 Results: Net Profit Rises 23% YoY
LIC reported a consolidated net profit of ₹23,467 crore for the quarter ended March 2026, marking a strong 23% year-on-year (YoY) increase compared to ₹19,039 crore reported in the corresponding quarter last year.
The insurer also posted healthy growth in premium collections during the quarter. Net premium income rose 12% YoY to ₹1.65 lakh crore from ₹1.48 lakh crore in Q4 FY25.
Strong investment performance further boosted earnings. LIC’s investment income increased sharply to ₹1.09 lakh crore in Q4 FY26, compared to ₹93,443 crore in the year-ago period.
The company’s total surplus for the quarter climbed to ₹89,058 crore from ₹77,053 crore in the same quarter last year. Surplus attributable to shareholders stood at ₹24,964 crore after accounting for policyholder profit sharing and minority interests.
LIC Announces First-Ever 1:1 Bonus Issue
One of the biggest highlights of the earnings announcement was LIC’s first-ever bonus share issue since listing.
The board approved a 1:1 bonus issue, under which shareholders will receive one additional fully paid-up equity share for every existing equity share held. The record date for the bonus issue has been fixed as May 29, 2026.
The announcement sparked strong buying interest in the stock as investors welcomed the company’s move to reward shareholders.
LIC Declares ₹10 Final Dividend for FY26
Along with the bonus issue, LIC also announced a final dividend of ₹10 per equity share for FY26.
The record date for the dividend payout has been set as June 25, 2026.
The dividend declaration added to positive market sentiment surrounding the stock, especially as the insurer continues to strengthen profitability and expand its financial position.
LIC FY26 Performance Remains Strong
For the full financial year FY26, LIC reported a more than 19% YoY rise in annual net profit to ₹57,419 crore.
The insurer’s assets under management (AUM) also witnessed solid growth, rising over 5% YoY to ₹57.29 lakh crore, highlighting LIC’s continued dominance in India’s insurance sector.
The strong growth in investment income, premium collections, and surplus reflects the company’s improving operational performance and balance sheet strength.
LIC Share Price Performance
Despite Friday’s sharp rally, LIC shares have delivered mixed returns over different time periods.
- LIC shares are down around 2% over the past one month.
- The stock has declined nearly 6% in 2026 so far.
- Over the last one year, LIC shares have slipped around 5%.
- However, the stock has generated nearly 39% returns over the past three years.
The strong Q4 FY26 earnings, coupled with the first-ever bonus issue and dividend announcement, could continue to keep LIC shares in focus in the coming sessions.
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