Private sector life insurance firm HDFC Life on Friday, January 20, reported an 15 percent year-on-year (YoY) jump in net profit at Rs 315 crore for the third quarter that ended December 31, 2022. The annual prevalent equivalent (APE) came in at Rs 3,625 crore as against Rs 2,597 crore in the same period a year ago. The Value of New Business (VNB) and VNB margin stood at Rs 905 crore and 25 percent respectively.
In third quarter of FY22, the company had posted VNB of Rs 694 crore and VNB margin of 26.7 percent.
The APE and VNB numbers surpassed Street estimates. CNBC-TV18 poll had predicted APE to stand at Rs 3,193 crore and VNB at Rs 866 crore.
The net new premium income stood at Rs 14,379 crore as compared to Rs 12,124 crore in the third quarter of FY 22.
"In Q3, we grew by 17 percent in terms of Individual (written premium income) WRP, which is ahead of industry growth. On a YTD basis, we grew by 13 percent leading to a market share of 15.8 percent amongst private insurers. Despite intense competition, we have consistently been ranked amongst the top 3 life insurers across individual and group businesses," said Vibha Padalkar, MD & CEO in a statement.
The company's stock was trading 1 percent lower post earnings announcement.
Post IRDAI's approval, the life insurance firm is likely to focus on critical illness products. Additionally, the company has written to the insurance regulator to allow them to distribute other financial products like mutual funds, loans and bank deposits.
First Published: Jan 20, 2023 2:46 PM IST
