SBI Life Q4 FY25 Net Profit Flat at ₹813 Cr; FY25 PAT Rises 27% to ₹2,413 Cr

SBI Life Insurance Company has disclosed its financial results for the fourth quarter (Q4) and the full financial year ending March 31, 2025 (FY25), presenting a dip in quarterly total premium income but robust growth across key metrics over the full year. The share price of the company closed in red at ₹1615, with a slight decline of 0.031%.

Financial Performance

For Q4 FY25, SBI Life Insurance Company Ltd. reported a total premium income of ₹23,860 crore, representing a decline of 5.1% year-on-year (YoY), from the ₹25,116 crore recorded in the corresponding quarter of the previous financial year. This decline was notably influenced by a significant moderation in single premiums, which fell by 42.1% YoY to ₹4,462.5 crore down from ₹7,709.5 crore in Q4 FY24. In contrast, the quarter saw positive growth in other premium segments. First-year premiums rose by 7.3% YoY to ₹4,858.7 crore, compared to ₹4,528.3 crore in the same quarter last year. Renewal premiums also increased, growing by 12.9% YoY to ₹14,680.3 crore, up from ₹13,003.2 crore.

Profitability and Business Metrics

The company's shareholders' profit before tax for Q4 stood at ₹1,105.83 crore, an increase from ₹947.59 crore in the previous year. Meanwhile, consolidated net profit (PAT) for Q4 FY25 was reported at ₹813.5 crore, marking a slight 0.3% YoY increase from ₹810.8 crore in the prior year's quarter. Total Annualised Premium Equivalent (APE) was ₹5,450 crore. 

Full-Year Performance (FY25)

Total premium income rose by 4.3% to ₹84,059.83 crore, while Gross Written Premium (GWP) increased by 4% to ₹84,980 crore. This growth was primarily driven by an 11% increase in New Business Regular Premium and a 14% rise in Renewal Premium. However, full-year new business premium saw a dip, coming in at ₹35,577 crore compared to ₹38,238 crore in FY24. Individual new business premiums specifically grew by 11% to ₹26,360 crore. Protection new business premium was reported at ₹4,095 crore, with protection individual new business premium at ₹793 crore. Regular premium grew 11% over the previous year. For FY25, APE reached ₹21,417 crore, reflecting a 9% YoY increase. VNB (Value of New Business) stood at ₹5,954 crore, showing 7% growth, with a VNB margin of 27.8%. The company posted a 27% rise in profit after tax (PAT) for FY25, reaching ₹2,413 crore.

Financial Health and Market Position

SBI Life's assets under management (AUM) demonstrated strong growth, increasing by 15% to ₹4,48,039 crore. The debt-equity mix was reported as 61:39, with a significant 94% of debt investments held in AAA and sovereign papers. The insurer maintained its position as a leader in the private market for individual rated premium, reporting ₹19,354 crore capturing a 22.8% market share in FY25. The Indian Embedded Value rose by 21% to ₹70,250 crore, with an operating return on embedded value of 20.2%. Persistency ratios also saw an improvement, with the 13th-month ratio rising to 86.64% (from 85.76% the previous year) and the 61st-month ratio increasing to 61.51% (from 57.81% YoY).

Overall, while the fourth quarter presented challenges in total premium income, primarily due to single premium dynamics, the full-year results underscored the company's growth across key business metrics, profitability, and market leadership position.

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