HDFC Life Q2 profit jumps 15% to Rs 377 crore; stock flat

HDFC Life Insurance Company Ltd on Friday reported a 15.48 per cent year-on-year (YoY) rise in net profit at Rs 376.77 crore for the September quarter compared with Rs 326.24 crore in the same quarter last year. For the half year, MD & CEO Vibha Padalkar said that despite the recent budget changes that were perceived to be unfavourable for the sector, the life insurance industry demonstrated remarkable resilience.

"We recorded a healthy growth of 10 per cent in individual WRP versus 8 per cent for overall industry, for the half year ended September 30th, 2023. Our H1FY24 market share was 15.7 per cent and 10.3 per cent in the private and overall sector respectively. We continued to grow faster than the overall industry and be ranked amongst the top 3 life insurers across individual and group businesses," Padalkar said.

Padalkar said his life insurance company saw an uptick of 10 per cent in the number of individual policies sold in H1, beating industry growth. "The healthy volume growth is in line with our stated objective of broadening our customer base. We have insured more than 3 crore lives across our individual and group businesses, which represents a YoY growth of 16 per cent," Padalkar said.

Following the results, the stock was trading 0.2 per cent higher at Rs 626.05 on BSE.

HDFC Life said growth in protection was robust at 28 per cent in H1FY24 on new business premium basis. Retail protection registered YoY growth of 46 per cent in H1. Sum assured recorded healthy growth, with retail and overall sum assured growing 61 per cent and 45 per cent respectively.

HDFC Life said it continued to lead in terms of sum assured and our private market share based on overall sum assured stood at 18 per cent for H1FY24. Annuity APE for H1 grew 17 per cent and the segment contributed to 18 per cent of new business premium. Annuity and Protection put together contributed to about 55 per cent of new business premium in H1FY24.

Also read: Hot stocks on October 13, 2023: Adani Enterprises, Phoenix Mills, Infosys, Piccadily Agro, RailTel and more

Also read: Multibagger Mufin Green Finance shares extend gains; here's what pushing the stock higher