ICICI Life Insurance shares gain 3% as Q2 FY27 VNB soars 21% YoY; here’s what analysts said

The company reported a 24.8% year-on-year (YoY) surge in its standalone profit after tax (PAT) to ₹374.22 crore during the quarter under review, compared with ₹299.96 crore in the September quarter of the 2025-26 fiscal year (Q2 FY26).

Its annualised premium equivalent (APE) rose 16.6% to ₹2,799 crore in the July-September quarter of FY27, as against ₹2,400 crore in the year-ago period, according to a regulatory filing.

APE is a measure of new business written by a life insurance company. It is computed as the sum of annualised first-year premiums on regular premium policies, and ten percent of single premiums, written by the Company during any period from new retail and group customers.

Its value of new business (VNB) stood at ₹712 crore for the reporting quarter, reflecting a 20.7% jump from ₹590 crore in the second quarter of FY26. It was supported by a surge in VNB margin, which stood at 25.43% for the quarter, up from 24%.

VNB measures the profitability of new business written in a period. It is the present value of all future profits to shareholders measured at the time of writing the new business contract. Future profits are computed based on long-term assumptions which are reviewed annually. VNB is also referred to as NBP (new business profit).

The company’s net premium income grew by 16.6% YoY to ₹13,803.90 crore in Q2 FY27, from ₹11,843.10 crore in the corresponding period of the preceding fiscal year.

As of September 30, 2026, ICICI Life Insurance Ltd’s assets under management (AUM) stood at ₹3.29 lakh crore.

H1 FY27 earnings performance

ICICI Life Insurance saw its profit rise 26.5% YoY to ₹760 crore in the first half of FY27 (H1 FY27), compared with ₹601 crore in the same period last year, primarily driven by higher shareholders’ investment income and improved surplus generation in policyholders’ in-force book.

Its VNB climbed 22.3% YoY to ₹1,283 crore during the reporting period, from ₹1,049 crore in the six months ended September 30, 2025 (H1 FY26), with a margin of 26%.

Its APE grew by 15.1% YoY to ₹4,935 crore in the six months ended September 30, 2026, as against ₹4,286 crore in the year-ago period, on the back of 10.6% YoY growth in the number of policies reflecting the continued expansion of customer base.

What the COO said

Commenting on the earnings, Sidharatha Mishra, Chief Operating Officer (COO) of ICICI Life Insurance Limited, said: “Customer centricity has always been ICICI Life’s core ethos, and this steadfast commitment will continue to guide all our actions in the years ahead as well. Protection and annuity remain at the heart of our long-term strategy, addressing deeply underpenetrated needs in India.”

Mishra further stated that the company is a resilient organisation backed by a “well-diversified distribution network, innovative and customer-centric product portfolio, customer-first sales and service, industry-leading quality parameters, high risk & capital metrics,” that can successfully capitalise on emerging opportunities.

“Our commitment is to deliver sustainable VNB growth while balancing business, profitability and risk & prudence,” Mishra added.

What analysts said

The analysts added that the margins moderated after a strong Q1, largely as a result of lower protection. Management stated that VNB margins improved from 24.7% seen in FY26, largely on the back of improved product mix.

At around 12:40 PM, the stock was trading 1.39% higher at ₹453.20 per equity share.

ICICI Life Insurance Ltd has a total market capitalisation of ₹65,769.97 crore as of October 14, 2026, according to data on the NSE.