SBI Life Profit Jumps By 6% YoY To Rs 322 Cr In Q3 FY24

SBI Life Insurance company recorded a net profit of Rs 322 crore in the quarter ending December (Q3 FY24), which is a 6 per cent increase compared to last year's Q3 profit of Rs 304 crore. 

Additionally, the net premium income in the third quarter of this year saw a year-on-year (YoY) increase of 16 per cent, reaching  Rs 22,316 crore.

Moreover, the life insurer's total annualised premium equivalent (APE) rose by 13 per cent to Rs 6,130 crore in Q3 FY24, as compared to Rs 5,430 crore in Q3 FY23.

The company's value of new business (VNB) for Q3 FY24 increased by 11.3 per cent to Rs 1,680 crore, compared to Rs 1,510 crore in Q3 FY23. However, the VNB margin contracted to 24.4 per cent from last year's margin of 27.8 per cent.

Moreover, in the 9 months of FY24 (9M FY24), the firm's net profit rose by 15 per cent YoY to Rs 1,080 crore, as opposed to Rs 940 crore in 9M FY23. The Gross Written Premium also grew by 19 per cent to Rs 56,190 crore in 9M FY24, up from Rs 47,300 crore in 9MFY23.

During the first nine months of fiscal 2024, the growth in individual new business premiums increased by 17 per cent, reaching Rs 17,760 crore. On the other hand, new business premiums (NBP) rose by 21 per cent, reaching Rs 26,000 crore in the same period. This growth was supported by a 35 per cent increase in individual annuity business.

The annualised premium equivalent (APE) in the nine months stood at Rs 14,390 crore, representing a 17 per cent YoY growth. The VNB also increased by 11 per cent YoY to Rs 4,040 crore in 9M FY24. However, the VNB Margin decreased from 29.6 per cent in 9MFY23 to 28.1 per cent in this period.

Furthermore, the Assets under Management for the insurer increased by 24 per cent YoY, reaching Rs 3.7 lakh crore in 9M FY24.

Post the results, shares of SBI Life were trading 2.7 per cent lower at Rs 1,372.35.