SBI Life Q4 preview: PAT seen rising 5.63%, New Business Premium expected to grow over 11% YoY
SBI Life Q4 preview: According to ZEE Business Research, the value of a new business or VNB is pegged at Rs 1,280 crore, up 15.3 per cent YoY.
SBI Life Insurance Company, the life insurance arm of the State Bank of India (SBI), will release its March quarter earnings (Q4FY23), on April 26. Analysts at ZEE Business Research expect the company to report a standalone net profit or profit after tax (PAT) of Rs 710 crore, up 5.63 per cent YoY against Rs 672.15 crore registered in the corresponding quarter of the previous fiscal. New Business Premium is estimated to rise 11.09 per cent to Rs 7,410 crore while Net Premium Earned is seen growing 16.1 per cent to Rs 20,240 crore against Rs 17,433.77 crore in the year-ago period.
Annualised premium equivalent or APE is likely to grow 10.65 per cent to Rs 4,570 crore YoY as per ZEE Business Research while the value of a new business or VNB is pegged at Rs 1,280 crore, up 15.3 per cent YoY. VNB margins are expected to increase to 27.1 per cent against 25.9 per cent in the March 2022 quarter.
APE is the total value of regular or recurring premiums plus 10 per cent of new single premiums written in the period. The APE metric, as per Investopedia, is used to compare single premium payments to recurring payment premiums. This process helps accurately compare sales between policies with the two different types of premiums.
Further, the company's assets under management (AUM) are expected to grow 16.8 per cent to Rs 3.12 lakh crore YoY and the solvency Ratio is seen at 221 per cent against 205 per cent in the year-ago quarter.
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