India's Policybazaar parent reports quarterly profit on insurance boost

PB Fintech

07/05/2024 14:43

BENGALURU, May 7 (Reuters) - India's PB Fintech
 PBFI.NS , the parent of online insurance aggregator
Policybazaar, reported a profit for a second straight quarter on
Tuesday, as sales rose in a seasonally-strong quarter amid
easing marketing spends.
    The company, which also operates online credit marketplace
Paisabazaar, posted a consolidated net profit of 605.9 million
rupees ($7.3 million) for the quarter ended March 31, against a
net loss of 89.5 million rupees a year ago.
    The January-to-March quarter sees high insurance sales as
taxpayers buy policies to avail tax rebates at the
financial-year end.
    PB Fintech's revenue from operations rose more than 25% to
10.9 billion rupees, as revenue from its largest segment,
insurance broking, more than doubled.
    The company, which reported its first-ever profit in the
December-quarter, has been cutting marketing and promotional
expenditure in a bid to focus on profitability.
    In the March quarter, its advertising and promotion expenses
fell nearly 48% from a year earlier to 2.38 billion rupees.
    Meanwhile, its credit business growth slowed following the
Indian central bank's crackdown on unsecured lending.
    The annualised credit disbursal run-rate, a gauge projecting
loan disbursement for the year, was at 140 billion rupees as at
March-end, down from 150 billion rupees a year earlier.
    PB Fintech's shares ended 3.1% lower ahead of the results. 
     
 
($1 = 83.4884 Indian rupees)

 (Reporting by Nishit Navin in Bengaluru; Editing by Nivedita
Bhattacharjee and Mrigank Dhaniwala)
 ((Nishit.Navin@thomsonreuters.com;))