IGI Logo

Protection and non-par share improve; VNB margin beat by 150bp

* MAXF’s gross premium income grew 18% YoY to INR91b (in line). Renewal premium grew 19% YoY to INR56.3b (in-line). For 1HFY26, the premium increased 18% YoY to INR154.9b.

* Total new business APE grew 16% YoY (in-line) to INR25.1b. For 1HFY26, APE grew 15% YoY to INR41.8b.

* VNB grew 25% YoY to INR 6.4b (7% beat), resulting in a VNB margin of 25.5% (150bp beat) vs 23.6% in 2QFY25. For 1HFY26, VNB grew 27% YoY to INR9.7b, resulting in a VNB margin of 23.3%.

* The company’s solvency ratio stood at 208% in 1HFY26 vs. 198% in 1HFY25.

* MAXF’s AUM grew 9% YoY to INR1.85t.

* The company reported PAT of INR0.1b (INR1.4b in 2QFY25). For 1HFY26, the PAT was at INR0.9b.

* Valuation and view: MAXF maintained a better-than-industry APE growth trajectory. VNB margin witnessed a strong expansion owing to strong growth and a rise in the contribution of protection, non-par, and annuity businesses during 2QFY26. The proprietary channel continues to drive growth across offline and online channels, while the bancassurance channel posted strong growth in non-Axis partnerships. The persistency trends improved across longterm cohorts. We will review our estimates and TP after the earnings call scheduled for 12th Nov’25.

For More Research Reports : Click Here 

For More Motilal Oswal Securities Ltd Disclaimer
http://www.motilaloswal.com/MOSLdisclaimer/disclaimer.html
SEBI Registration number is INH000000412