INSUBCONTINENT EXCLUSIVE:
(YoY) growth in its standalone net profit at Rs 546 crore for the first quarter of fiscal year 2026 (Q1 FY26)
This compares to Rs 478 crore posted in the year-ago period.The company's net premium income rose 16% to Rs 14,466 crore versus Rs 12,510
crore recorded in the same quarter last year
On a sequential basis, profit after tax (PAT) was 15% higher than the Rs 477 crore reported in Q4 FY25.However, it's notable that the net
premium income fell sharply by 39% when compared to the Rs 23,766 crore achieved in the January-March quarter of FY25.Key Performance
Highlights:- Topline Growth: Individual Annualised Premium Equivalent (APE) grew by 12.5% YoY, translating into a robust 2-year CAGR of
21%.
Live Events- Market Share: The company outperformed the overall industry and private sector, resulting in a 70 bps increase in our
market share at the overall level to 12.1%, a new milestone for us, and a 40 bps gain within the private sector, taking our share to 17.5%,
the exchange filing said.- Value of New Business (VNB) for Q1 FY26 stood at Rs 809 crore, a growth of 12.7% YoY and a 2-year CAGR of 15%
with new business margins improving to 25.1%.- Assets under Management (AUM) stood at Rs 3,55,897 lakh crore as on June 30, 2025, an
increase of 15% YoY.- Persistency: Persistency metrics remained healthy, with 13th and 61st month persistency at 86% and 64% respectively
61st month persistency improved across cohorts, supported by stronger retention in long-term savings products.- Embedded Value (EV)
increased to Rs 58,355 crore, with an operating RoEV of 16.3% on a rolling 12-month basis.Management CommentaryCommenting on the company's
Q1 earnings, Vibha Padalkar, Managing Director and CEO of HDFC Life, said that the first quarter began on a strong note, with healthy growth
across topline, value of new business, and steady margins."We outperformed both the overall industry and the private sector, resulting in a
70 bps increase in our market share at the overall level to 12.1%, a new milestone for us, and a 40 bps gain within the private sector,
taking our share to 17.5%
Moreover, over 70% of new customers acquired in Q1 were first-time buyers with HDFC Life, underscoring our customer acquisition strength and
deepening presence across Tier 1, 2, and 3 markets," she said.Also read: Hero MotoCorp among 6 stocks with White Marubozu Pattern on July
15"While the external environment remains dynamic, our fundamentals have held strong, anchored in a balanced product mix, a diversified
distribution footprint, and a consistent focus on innovation, customer centricity and disciplined execution
further added.(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own
These do not represent the views of the Economic Times)
