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• New Business Premium: INR262.6 billion, private market share of 22.4%.

• Individual New Business Premium: INR198.6 billion, growth of 12%, private market share of 27.8%.

• Gross Written Premium: INR609.8 billion, growth of 9%.

• Protection New Business Premium: INR27.9 billion.

• Profit After Tax: INR16 billion, growth of 48%.

• Value of New Business (VoNB): INR42.9 billion, VoNB margin of 26.9%.

• Embedded Value: INR681.4 billion, growth of 17% over March 31, 2024.

• Assets Under Management: INR4.42 trillion, growth of 19%.

• Solvency Ratio: 2.04, against regulatory requirement of 1.50.

• Renewal Premium: INR347.3 billion, growth of 15%.

• Annualized Premium Equivalent (APE): INR159.7 billion, growth of 11%.

• Individual APE: INR147.3 billion, growth of 14%.

• Number of New Policies Issued: 1.58 million.

• Number of Lives Covered: 18.4 million.

• Individual ULIP New Business: INR127.4 billion, growth of 25%.

• Individual Protection New Business: INR5.2 billion.

• Credit Life New Business: INR17.3 billion, growth of 8%.

• OpEx Ratio: 5.3%.

• Total Cost Ratio: 10.2%.

• 13th Month Persistency: 86.10%, improvement of 83 basis points.

• 61st Month Persistency: 63.9%, improvement of 521 basis points.

• Death Claim Settlement Ratio: 99.3%.

• Misselling Ratio: 0.03%.

• Warning! GuruFocus has detected 6 Warning Sign with TFC.

Release Date: January 17, 2025

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points

• SBI Life Insurance Co Ltd (NSE:SBILIFE) reported a strong growth in profit after tax, which stands at INR16 billion, marking a 48% increase over the corresponding period last year.

• The company maintained its private market leadership with a share of 22.4% in new business premiums.

• SBI Life Insurance Co Ltd (NSE:SBILIFE) achieved a 17% growth in embedded value, reaching INR681.4 billion as of December 31, 2024.

• The company's assets under management grew by 19% over the corresponding period last year, reaching INR4.42 trillion.

• The solvency ratio remains strong at 2.04, well above the regulatory requirement of 1.50.

Negative Points

• The company faced headwinds in group business, particularly with group savings products, which impacted the overall growth in new business premiums.

• Despite the growth in individual new business premiums, the company's VoNB margin decreased to 26.9%, primarily due to an increased share of ULIP business.

• The agency channel saw a higher deletion of agents due to stricter enforcement of activation guidelines, which could impact future growth.

• There is uncertainty regarding the impact of new surrender regulations on margins, as the company has yet to fully assess the effects.

• The growth in the banca channel was lower than expected, with a single-digit increase, raising concerns about its ability to sustain higher growth rates in the future.