HDFC Life Insurance Q4 results: Net profit declines 14.4% to Rs 312 cr, new business margins grow 25%

Mumbai: HDFC Life Insurance Co Ltd reported a 14.4 per cent decline in the net profit for the quarter ended March, hurt by losses on investments.

The life insurer reported a net profit of Rs 311.71 crore in the March quarter, compared with Rs 364.01 crore in the same quarter a year ago. Its premium income in the quarter edged up 2.1 per cent to Rs 10,464 .6 crore from Rs 10,247.50 crore in the same period a year before.

For the fiscal year 2020, the company’s annualized premium equivalent rose 18 per cent to Rs 7,407 crore.

The company’s total premium for the year rose by 12 per cent to Rs 32,7070 crore. Its value of new business (VNB) registered a growth of 25 per cent in the year to Rs 1,919 crore.

The net profit for the year rose by a mere 1 per cent to Rs 1,295 crore,

“We continue to deliver growth higher than industry and register steady performance across all key metrics. We believe that insurance remains a multi-decade opportunity with significant potential,” MD & CEO Vibha Padalkar said in a release.

“The opportunities across mortality, morbidity and longevity remain large in our country. Customer-centricity, product innovation, a diversified distribution network, and technological capabilities are key pillars of our strategy and enablers to provide a sustainable value proposition to our customers, partners and shareholders,” she added.

Ahead of the announcement, HDFC Life shares rose 6.84 per cent to Rs 484.80 on the BSE, while the 30-share Sensex climbed 1.33 per cent to 31,743.08.