GIC Re Q4FY25 results: Net profit declines 17.4% to ₹2,182.89 crore

GIC Re's Q4 net profit fell 17.4% YoY to ₹2,182.89 crore due to underwriting loss; full-year profit up 3.1% to ₹6,701.36 crore; solvency ratio improves to 370%

State-owned reinsurer General Insurance Corporation of India (GIC Re) reported a 17.4 per cent year-on-year (YoY) decline in net profit to ₹2,182.89 crore for the January–March quarter of FY25 (Q4FY25), down from ₹2,642.48 crore in the same period last year.

 

Sequentially, net profit rose 34.6 per cent from ₹1,621.35 crore in Q3FY25.

 

However, the company posted an underwriting loss of ₹392.3 crore during the quarter, compared to an underwriting profit of ₹570.06 crore in Q4FY24.

 

The net commission expense increased 28.1 per cent YoY to ₹1,910.23 crore. Gross premium written (GPW) rose 18.9 per cent YoY to ₹10,367.08 crore, while net premium income grew 19.2 per cent to ₹9,420.91 crore. 

 

Investment income for the quarter rose nearly 32 per cent YoY to ₹2,650.24 crore.

 

The combined ratio stood at 103.56 per cent in Q4FY25, compared to 89.26 per cent in Q4FY24. It was 107.83 per cent in the previous quarter.

 

The claims ratio increased to 82.19 per cent from 68.93 per cent in Q4FY24. In Q3FY25, it stood at 87.83 per cent.

 

GIC Re’s solvency ratio improved to 370 per cent as of March 31, 2025, up from 325 per cent in the same quarter last year.

 

The company also transferred ₹597.95 crore to the Catastrophe (CAT) Reserve during the quarter, compared to ₹587.50 crore in the previous fiscal. The reserve was introduced in FY23 by appropriating 10 per cent of operating profit from the revenue accounts, and is capped at ₹5,000 crore.

 

For the full financial year, GIC Re posted a 3.14 per cent YoY increase in net profit to ₹6,701.36 crore, up from ₹6,497.30 crore in FY24.