HDFC Life Q3 Results: PAT rises by 14% to ₹415 crore despite a drop in total income

HDFC Life Insurance revealed its Q3FY25 financial performance on January 15, reporting a 14% year-on-year increase in consolidated profit after tax (PAT). PAT climbed to ₹415 crore in the current quarter from ₹365 crore in Q3FY24. However, the total income saw a significant decline, falling 36.64% to ₹16,914 crore, compared to ₹26,694 crore in the same period last year.

Key Highlights:

Solvency Ratio: Despite a slight dip, HDFC Life maintained a healthy solvency ratio of 188%, down from 190% as of December 31, 2023, well above the regulatory requirement of 150%.

Assets Under Management (AUM): The company’s AUM surged 18% year-on-year to ₹3.29 lakh crore as of December 31, FY25, up from ₹2.80 lakh crore a year ago.

9M FY25 Performance:

PAT for the nine months ending December 31, FY25, rose by 15% to ₹1,326 crore, compared to ₹1,157 crore in the corresponding period last year.

The Value of New Business (VNB) increased by 14% year-on-year to ₹2,586 crore in 9MFY25 from ₹2,267 crore.

Industry Performance and Growth Strategy

HDFC Life outpaced the industry with 22% growth in individual weighted received premium (WRP) during 9MFY25, compared to the industry's overall growth rate of 14%. The number of policies issued grew by 15%, surpassing the private sector's growth of 9%.

Retail protection remained a strong driver, with a 28% increase in APE (Annualized Premium Equivalent) for the nine months.

CEO’s Perspective

“We’ve achieved robust growth in individual WRP and expanded both ticket size and volume during 9MFY25,” said Vibha Padalkar, Managing Director and CEO of HDFC Life. “Our focus remains on enhancing distribution, leveraging technology, and innovating customer-centric products to ensure long-term value creation for all stakeholders.”

With the company’s emphasis on resilience and market adaptability, it continues to strengthen its position in India’s insurance landscape.