PB FINTECH LTD
PB Fintech Ltd, popularly known as Policy Bazar is India’s largest online platform for insurance and lending products through its flagship brands – Policybazaar and Paisabazaar platform through which they provide convenient access to insurance, credit and other financial products
Revenue Breakup
Insurance Brokerage Services: 85%
Commission, Consulting & Support Services: 15%
Shareholding Pattern
-PUBLIC GROUP
-NON PROMOTER NON PUBLIC
Financial Summary
| Particulars | Mar 2022 | Mar 2023 | Mar 2024 |
| Sales | 1,425 | 2,558 | 3,438 |
| Sales Growth % | 60.70% | 79.51% | 34.40% |
| Expenses | 2,325 | 3,219 | 3,626 |
| Operating Profit | -901 | -662 | -188 |
| OPM % | -63% | -26% | -5% |
| Net Profit | -833 | -488 | 64 |
| EPS in Rs | -18.53 | -10.82 | 1.48 |
Synopsis of Financials
- Health and life insurance saw a combined growth of 53% YoY in new premiums for the quarter.
- Total insurance premium for the quarter was ₹5,123Cr, leading to an ARR of ₹20,000Cr.
- New insurance premium grew at 47% for the quarter.
- Core insurance premium for the online business grew at 40%.
- Credit-linked business – Paisabazaar, grew at 22%.
- New initiatives grew at 15% for the quarter.
- PAT for the year was ₹64Cr, a swing of ₹552Cr from the previous year.
- Revenue for the year grew 34% to ₹3,438Cr.
- Revenue for online marketplaces Policybazaar and Paisabazaar grew 39% to ₹2,375Cr.
- Adjusted EBITDA margin for core businesses improved from 6% to 14%.
- Trail revenue grew to ₹577Cr, up from ₹388Cr last year.
Final Outlook
PB Fintech is a strong long-term buy, especially for those interested in the digital finance sector in India, but be mindful of its premium valuation and profitability challenges.
PB Fintech Ltd., the parent company of PolicyBazaar and PaisaBazaar, has demonstrated notable growth in recent years.
Revenue Growth: The company reported a 44% increase in operating revenue, reaching ₹1,167 crore in the latest quarter.
Profitability: PB Fintech achieved a net profit of ₹60 crore in the quarter ending September 2024, marking a significant turnaround from the previous year’s loss.
Current Price: As of January 9, 2025, PB Fintech’s stock is trading at ₹2,080.10.
Market Capitalization: The company has a market cap of approximately ₹91,975 crore.
Stock Returns: Over the past year, the stock has delivered a return of 77.42%, outperforming the Nifty 50 index’s 25.47% return in the same period.
Valuation: The stock is trading at a high price-to-book (P/B) ratio of 14.5, indicating a premium valuation.
Profitability Metrics: The company has a low return on equity (ROE) of -8.46% over the last three years, suggesting challenges in generating shareholder value.
Policybazar