PB Fintech profit jumps 165% as insurance biz powers growth
The parent company of online insurance marketplace PolicyBazaar reported revenue from operations of Rs 1,771.15 crore, up 37% from Rs 1,291.62 crore a year earlier. The growth was primarily driven by strong performance in its core insurance broker services segment, which saw revenue climb 39% to Rs 1,573.57 crore from Rs 1,131.75 crore.
Total insurance premium processed through the platform reached Rs 7,965 crore during the quarter, registering a 45% year-on-year increase. The company said the growth was led by its new protection business—which includes health and term insurance products—where premiums jumped 68%. New health insurance premiums alone grew 79%.
“Our core online new protection business continued its strong trajectory,” the company stated, adding that core new insurance premium growth, excluding savings products, accelerated to 56% year-on-year.
.thumbnailWrapper{
width:6.62rem !important;
}
.alsoReadTitleImage{
min-width: 81px !important;
min-height: 81px !important;
}
.alsoReadMainTitleText{
font-size: 14px !important;
line-height: 20px !important;
}
.alsoReadHeadText{
font-size: 24px !important;
line-height: 20px !important;
}
}
The profitability improvement was notable. PB Fintech’s adjusted EBITDA grew 154% to Rs 199 crore, with margins improving from 6% to 11%. The company said its PAT now represents 2.38% of total insurance premiums.
On the expense side, total costs increased 27% to Rs 1,655.44 crore. Employee benefit expenses remained largely stable at Rs 606.7 crore, up just 1% from Rs 600.01 crore last year. Advertising and promotion spending rose a modest 7% to Rs 308.58 crore from Rs 289.46 crore. However, other expenses saw a sharper increase of 43%, climbing to Rs 643.86 crore from Rs 450.21 crore.
Profit before tax, exceptional items and associates came in at Rs 200.56 crore, compared with Rs 85.14 crore a year ago—a 136% jump that underscored the improving unit economics of the business.
The company’s insurance broker services segment posted EBITDA of Rs 234.87 crore, up 25% from Rs 188.27 crore. Meanwhile, losses in its other business segments widened, with EBITDA coming in at negative Rs 24.49 crore compared to negative Rs 4.85 crore in the prior year—a 405% increase in losses.
Beyond insurance, PB Fintech’s lending business also showed strong growth. Total lending disbursals reached Rs 9,986 crore, up 84% year-on-year. Core online disbursals grew 8% sequentially, suggesting steady momentum in the credit business.
PB Partners, the company’s agent aggregator platform, has grown to over 400,000 advisors and is present in 19,000 pin codes across India, covering 99% of the country’s pin codes. The platform has been driving growth in smaller towns classified as Tier 4 and 5.
The company’s UAE insurance operations grew premiums by 62% year-on-year and have been consistently profitable for four consecutive quarters. The international business is increasingly focusing on health and life insurance products, similar to its India operations.
Edited by Jyoti Narayan
Discover more from News Link360
Subscribe to get the latest posts sent to your email.
