SBI Life shares surge 6% ahead of Q4; Look out for Insurance premium, income, AUM performance

During Q3FY20, SBI Life posted double-digit growth in net profit by 47.4% yoy to Rs389.44cr.

May 05, 2020 05:05 IST India Infoline News Service

On Tuesday's trading session, investors were bullish on SBI Life Insurance stock as the company preps to announce their financial performance for the fourth quarter and year-ended March 2020.

At around 11.04 am, SBI Life's stock price was trading at Rs715 per piece up by 3.89% on Sensex. However, the quantum of growth in the stock price was nearly 6% so far, as the financial service provider has clocked intraday high of Rs727 per piece.

The stock opened at Rs701 per piece. In the previous closing, it ended at Rs688.20 per piece on Sensex.

In Q4FY20, key things to watch out for would be individual insurance premium, net premium income, profit after tax, Asset under management (AUM) performance amid Covid-19 lockdown which has brought businesses across sectors to a halt since March 25, 2020.

During Q3FY20, SBI Life posted double-digit growth in net profit by 47.4% yoy to Rs389.44cr. As for net premium income increased by 27.93% yoy to Rs11,694.51cr.

So far in FY20 (between April 2019 - December 2019), individual New Business Premium has increased by 27% yoy to Rs8,390cr. Meanwhile, Individual Rated Premium (IRP) has increased by 19% yoy to Rs7,280cr.

AuM has grown by 22% yoy to Rs1,641.9 billion as on December 31, 2019, with a debt-equity mix of 76:24. 93% of the debt investments are in AAA and Sovereign instruments.

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