HDFC Life Q2 Results 2024: Profit Rises by 15%

HDFC Life Q2 Results FY25 declared around a 15% increase in net profit on the year-on-year (YoY) basis. On the HDFC Life Q2 result date which was October 15, 2024, the company’s share price closed at ₹714.25. On October 16, 2024, HDFC Life Insurance’s share price opened at ₹723.45. So, let’s discuss all the details of the Q2 earnings of HDFC Bank-backed HDFC Life Insurance Company Limited.

Key Highlights of the HDFC Life Q2 Results FY25

• Revenue at ₹28,583.3 crores, up 22.87% YoY
• Operating Income at ₹440.46 crores, up 32.60% YoY
• Net Income at ₹435.18 crores, up 15.07% YoY

Particulars	Q2 FY25	Q2 FY24	Q1 FY25	YoY Growth	QoQ Growth
Total Revenue	28,583.3	23,263.35	27,015.9	22.87%	5.80%
Selling, General & Admin Expenses	804.89	723.06	869.18	11.32%	-7.40%
Total Operating Expense	28,142.84	22,931.19	26,516.73	22.73%	6.13%
Operating Income	440.46	332.16	499.17	32.60%	-11.76%
Net Income	435.18	378.2	478.97	15.07%	-9.14%
Diluted Normalized EPS (in ₹)	2.01	1.72	2.25	16.63%	-10.59%

*(in ₹ crores)

HDFC Life Q2 Results: Other Metrics

• Net Premium Income at ₹16,570 crores, up 12.3% YoY
• First-Year Premiums at ₹3,253 crores, up 27% YoY
• New Business Premium at ₹8,097 crores, up 14% YoY

Particulars	Q2 FY25	Q2 FY24	YoY Growth
New Business Premium	8,097	7,101	14.03%
Total Annual Premium Equivalent (APE)	3,858	3,045	26.70%
Value of New Business (VNB)	938	801	17.10%
VNB Margin (%)	24.3%	26.3%	200 bps

*(in ₹ crores)

HDFC Life Q2 Results: First Half (H1) of FY25

Here are the revenue, profitability, and ratios of the HDFC Life Insurance Company made in H1 (first half) of the financial year 2024-25:

• Profit After Tax at ₹911 crores, up 15% YoY
• Individual APE at ₹5,864 crores, up 31% YoY
• Renewal Premium (Individual plus Group) at ₹15,242 crores, up 12% YoY
• AUM (Assets Under Management) at ₹3,24,942 crores, up 23% YoY
• Indian Embedded Value at ₹52,114 crores, up 21% YoY
• Value of New Business at ₹1,656 crores, up 17% YoY
• New Business Margins at 24.6% in H1 FY25, 26.2% in H1 FY24
• Solvency Ratio at 181% in H1 FY25, 194% in H1 FY24

HDFC Life Insurance Company Limited​: About the Company

HDFC Life Insurance Company Limited is the leading long-term life insurance providing company in India which was established in the year 2000. It offers more than 80 insurance products to customers (individual plus group) ranging from Protection, Pension, Savings, Investment, Annuity, and Health Insurance Products.

HDFC Life has strong footprints across India, with branches and distribution points through tie-ups or partnerships. It has more than 300 distribution partnerships with banks, brokers, and NBFCs.

As of October 1, 2024, the company has completed the relaunch of more than the top 40 products (which contribute around 95% of the business) in accordance with the revised set of regulations. Others will be relaunched in the 3rd quarter of financial year 2024-25.

Conclusion

HDFC Life Q2 results posted good growth in revenue, premium income, and PAT. The private insurance sector and overall insurance industry, in H1 FY25, have grown by 24% and 21%, respectively in terms of an individual weighted received premium. HDFC Life has outperformed by growing at 28% YoY in H1 FY25 and at the 2-year CAGR of 19% in individual weighted received premium. Keep exploring stocks and open demat account with SMC Global Securities. Stay tuned for the upcoming Nifty 50 companies’ quarterly results.

References

https://www.hdfclife.com/content/dam/hdfclifeinsurancecompany/about-us/pdf/investor-relations/financial-information/Quarterly-financial-results/HDFC-Life-H1-FY2025-Press-Release.pdf
https://www.livemint.com/companies/company-results/hdfc-life-insurance-company-q2-results-live-profit-rises-by-15-07-yoy-11729055149889.html

Author: All Content is verified by SMC Global Securities.