Fresh from issuing IPO, GIC Re Q2 net jumps over 5-fold to Rs 1,419 cr

In its first-ever quarterly results after being listed on exchanges last month, state-owned reinsurer GIC Re on Monday reported an over five-fold jump in standalone net profit to Rs 1,419.11 crore for the September quarter.

The company had clocked a net profit of Rs 251.79 crore in the July-September quarter of the previous financial year.

"The profit for the period includes prior income of Rs 175.73 crore on account of retro income of marine insurance business," it said.

The General Insurance Corporation of India (GIC) Re is the largest reinsurance company in the country in terms of gross premiums in 2016-17, while accounting for almost 60 per cent of the premium ceded by Indian insurers to the company.

The total income of the company grew to Rs 10,714.69 crore for the second quarter as against Rs 7,415.55 crore in the same period of the previous financial year, GIC Re said in a regulatory filing to exchanges.

The net premium written during the quarter stood at Rs 5,865.89 crore compared to Rs 9,438.12 crore a year ago.

The company said that after the initial public offer (IPO) of the corporation, the number of equity shares increased from 860 million to 877.2 million and the percentage of government holding reduced to 85.78 per cent.

GIC Re is also an international player in the reinsurance business and underwrote business from 161 countries by March 31, 2017.

Shares of the company closed 1.20 per cent down at Rs 810 per scrip on the BSE on Monday.