Private life insurer HDFC Life Insurance posted a 7.6 percent year-on-year (YoY) increase in the September quarter (Q2) net profit at Rs 308.7 crore.
The net premium stood at Rs 7,453.7 crore in Q2FY20, showing a YoY growth of 10 percent.
Vibha Padalkar, MD & CEO, HDFC Life said that despite a challenging macro-environment, we have grown by 35 percent on individual weighted-received premium, compared to industry growth of 11 percent.
"This has enabled us to increase our market share by 220 basis points to 15.2 percent," she added.
The new business margins grew to 27.5 percent in H1FY20 compared to 24.3 percent in the year-ago period. The operating return on the embedded value stood at 19.6 percent in the first half of FY20, which is similar to the same period previous fiscal.
HDFC Life's protection APE (annualised premium equivalent) increased to Rs 580 crore in H1FY20, showing a 43 percent YoY increase. Annuity APE was at Rs 123 crore in H1FY20, growing by 17 percent YoY.
Overall, protection and annuity businesses comprise 28 percent and 15 percent of total new business premium respectively.
APE refers to the sum of annualised first year regular premiums and
10 percent of weighted single premiums and single premium top-ups.
The assets under management (AUM) stood at Rs 1.3 lakh crore at the end of H1FY20. Here, the debt-equity mix stood at 63:37. Almost 96 percent of debt investments are in government securities and AAA bonds as on September 30.
The life insurer also saw an improvement in the persistency rates for 13th month and 61st month. It improved to 89 percent in H1FY20 from 87 percent a year ago in the 13th month segment. For the 61st month, it rose to 54 percent from 50 percent a year ago.
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