Reveiw

ICICI LOMBARD GENERAL INSURANCE 

{Ticker : 540716 { FV: Rs. 10 { 52-Week H/L: Rs.1,439.90/900.45 

We had recommended ICICI Lombard General Insurance Company in volume no. 36, issue no. 01 (dated October 28, 2019), when the scrip was trading at Rs 1,349.90. It is a general insurance company offering insurance coverage for motor, health and more. The scrip was previously recommended based on the company’s strong performance. Gross Direct Premium Income (GDPI) remained flat at Rs 3,693 crore in Q3FY20 compared to Rs 3,699 crore in Q3FY19. PBT increased by 8.1 per cent to Rs 390 crore in Q3FY20 from Rs 361 crore in Q3FY19. It gained a net profit of Rs 294 crore thus, clocking a growth of 23 per cent as compared to net profit of Rs 239 crore gained in Q3FY19. The company’s fire and health business segment aid its growth in GDPI. It intends to continue focussing on fire segment due to favourable regulatory policies in terms of rise in premiums. Hence, we recommend a HOLD.