PB Fintech share surge 7% as arm gets license upgrade from Irdai

Shares of PB Fintech Ltd jumped 6.92 per cent to hit a day high of Rs 996.35 in Monday's trade. At this price, the stock was trading 5.12 per cent from its one-year high value of Rs 1,050.10, a level seen earlier this month on February 1.

PB Fintech's wholly-owned subsidiary, Policybazaar Insurance Brokers (Policybazaar), has received the nod from the Insurance Regulatory and Development Authority of India (Irdai) to upgrade its license from a direct insurance broker to a composite insurance broker.

It largely translates that the company can now also sell reinsurance products besides general and life insurance products.

The company reported its first quarterly profit since listing, as growing demand for insurance boosted revenue. PB Fintech, which also operates online credit marketplace Paisabazaar, posted a consolidated net profit of Rs 38.05 crore for the quarter ended December 31 (Q3 FY24), against a loss of Rs 87.3 crore a year ago.

Revenue from operations rose nearly 43 per cent to Rs 871 crore as proceeds from its insurance broker services more-than-doubled.

Revenue from its core online business of Policybazaar and Paisabazaar rose 39 per cent to Rs 593 crore.

The company said new premium for health and term insurance business grew by 44 per cent. While total costs rose nearly 21 per cent. Advertising and promotion expenses dipped 28 per cent from the year-ago period.

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