April 18, 2021

ICICI Lombard dividend: ICICI Lombard board approves Rs 4/share interim dividend for FY21

NEW DELHI: ICICI Lombard Normal Insurance coverage has accepted an interim dividend of Rs Four per share for the present fiscal within the midst of a pandemic 12 months as additionally the sectoral regulator asking insurers to take a aware name on dividends on account of pandemic-induced financial stress.

“We want to inform you that the board of administrators of the corporate at their assembly held at this time i.e. Friday, March 5, 2021 in Mumbai, has accepted declaration and fee of interim dividend of Rs Four per fairness share i.e. on the charge of 40 per cent of face worth of Rs 10 every, for FY2021,”

mentioned in a regulatory submitting.

Final week, the Insurance coverage Regulatory and Growth Authority of India (Irdai) had requested insurers that they could declare dividends for 2020-21 holding in thoughts their capital, solvency and liquidity positions.

It additionally withdrew its round April 2020, urging insurers to chorus from dividend pay-outs from income pertaining to the monetary 12 months ended March 2020, as a part of its pointers on prudent administration of economic assets within the context of Covid-19 pandemic.

ICICI Lombard mentioned it’s going to pay the interim dividend to these shareholders whose names seem within the document of the corporate/depository as on March 19, 2021. The interim dividend will likely be paid to shareholders on or earlier than April 4, 2021, it added.

The withdrawal of the round on dividend got here after assessing the financial place within the insurance coverage sector, Irdai mentioned.

Irdai mentioned it assessed the monetary outcomes of the insurers for quarters ended September and December 2020 and noticed that the efficiency of the insurance coverage firms when it comes to enterprise was steadily reviving, although at a slower tempo compared to pre-Covid ranges.

ICICI Lombard registered 6.6 per cent progress in its internet revenue at Rs 314 crore in quarter ended December 31, 2020.

The corporate’s solvency ratio was 2.76x at December 31, 2020 as towards 2.74x at September 30, 2020 and better than the minimal regulatory requirement of 1.50x. It was 2.17x at March 31, 2020. The ratio is a key metric used to measure an organization’s capacity to fulfill its long-term debt obligations.

Return on Common Fairness (ROAE) was 22.Four per cent in 9M FY2021 in comparison with 21.eight per cent in 12 months in the past identical interval.