PB Fintech on January 30 reported a 92 percent growth in net profit at Rs 72 crore in the December quarter of the current financial year, aided by the strong performance of new health and life insurance policies.
This is the fifth consecutive quarter of net profit for the Gurugram-based online insurance marketplace. The company had reported Rs 37 crore net profit during the corresponding quarter of the previous financial year.
PB Fintech’s revenue from operations grew 48 percent year-on-year to Rs 1,292 crore. Its revenue stood at Rs 871 crore in Q3 of the previous year.
PB Fintech’s total insurance premium stood at Rs 6,135 crore with new core online insurance premium growing by 44 percent while the new health and life insurance premium growing by 47 percent.
"Our core health and life insurance businesses are growing ahead of expectations. In anticipation of this steady growth, we continue to invest in operational capacity as well as brand awareness campaigns," the company said in the media statement.
However, the company's credit business under the Paisabazaar division has seen a 18 percent decline Y-o-Y, mostly owing to the general tightening of disbursals by banks after asset quality deterioration and several nudges from the regulator to reduce the exposure towards unsecured lending.
This has prompted PB Fintech to go after the secured credit business, which was started in Q2 FY25. "It is now classified under new initiatives, and is showing growth at Rs 2,570 crore of disbursal and Rs 24 crore revenue for the quarter," the company said adding that the core credit business continues to be adjusted EBITDA positive since Dec 2022.
During the third quarter, PB Fintech approved the foray into healthcare services by setting up a wholly-owned subsidiary PB Healthcare, which would look to generate its resources for growth and may attract private equity investors or other financial institutions.
The new entity will look to acquire 6-8 hospitals in the NCR region in partnership with other investment firms, Dahiya told Moneycontrol.
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