Max Financial Services Q4 operating revenue jumps 50% at ₹14,888 crore

Max Financial Services on Tuesday announced a 50% year-on-year (YoY) rise in its fourth-quarter consolidated revenue from operations at ₹14,888 crore. Shares of the company were trading over 3% higher on Wednesday.

Total revenue for the quarter rose 50% to ₹14,899 crore. The company reported a net loss of ₹44 crore during the quarter as compared to a net profit of ₹45.89 crore in the same period a year ago.

During the quarter, individual adjusted first-year premium saw an increase of 10%. The new business growth was fuelled by strong growth in retail protection and health, group credit life and annuity business. Retail protection and health grew by 63% while group credit life grew by 62%.

For the fiscal year 2024, revenue from operations grew 48.27% YoY to ₹46,576.22 crore. Total revenue increased by 48.32% to ₹46,618.31 crore while net profit declined 10% to ₹340 crore.

The company pointed out that during FY24, its total new business premium grew by 23% to ₹11,023 crore while individual adjusted first-year premium grew by 16% to ₹6,961 crore leading to a private market share gain of 61 basis points (bps) to 9.4%. The number of new retail policies grew by 20%. Further, the renewal premium rose 13% to ₹18,506 crore, taking the gross written premium to ₹29,529 crore, registering an increase of 17% over the previous financial year, it said.

Prashant Tripathy, CEO and Managing Director at Max Life Insurance said the firm achieved a strong 16% year-on-year growth, exceeding the private industry's 8% growth. “Our success stems from our consistent focus on scaling our proprietary channels, maintaining partnerships, expanding distribution with new partners, and strengthening our presence into untapped sub-categories of protection and retirement,” he stated.

Shares of the company gained over 4.5% since the beginning of the year. The stock has gained nearly 52% in the last one year.