HDFC Life Insurance Company has released its Q2 FY26 financial results on October 15, 2025, showcasing a solid performance despite the challenges faced by the sector. The company reported a 3% year-on-year (YoY) growth in its consolidated profit after tax (PAT), which reached ₹448 crore compared to ₹435 crore in the same quarter last year. The net premium income (NPI) also demonstrated strong growth, rising by 14% to ₹18,871 crore from ₹16,614 crore in Q2 FY25.
Strong Performance Despite Sequential Decline in Profit
While HDFC Life experienced a sequential decline of 18% in PAT compared to Q1 FY26 (₹548 crore), the company’s overall performance for the first half of FY26 remains impressive. PAT for the first half increased by 9%, reaching ₹994 crore, reflecting resilience in a competitive market.
Key Metrics: Premium Income and Business Growth
The breakdown of HDFC Life’s premium income for Q2 FY26 reveals robust performance across various categories:
- First Year Premium: ₹3,599.58 crore, up from ₹2,559.49 crore in Q1 FY26 and ₹3,260 crore in Q2 FY25.
- Renewal Premium: ₹10,344 crore, a significant rise from ₹7,606 crore in Q1 FY26 and ₹8,831 crore in Q2 FY25.
- Single Premium: ₹5,371 crore, showing a steady increase from ₹4,722 crore in Q1 FY26 and ₹4,843 crore in Q2 FY25.
New Business Premium and Renewals Continue to Grow
For the first half of FY26, the company reported a 12% increase in the new business premium, totalling ₹16,222 crore. Renewal premiums also saw an impressive rise of 18%, reaching ₹17,940 crore. These growth figures underscore the strong demand for HDFC Life’s insurance products, both from new and existing customers.
Value of New Business and Embedded Value
The company’s Value of New Business (VNB) for the first half of FY26 stood at ₹1,818 crore, reflecting a 10% increase compared to the same period in FY25. Additionally, the embedded value (EV) of HDFC Life increased to ₹59,540 crore, with an operating return on EV of 15.8% on a rolling 12-month basis.
Solvency and Persistency Ratios
HDFC Life’s solvency ratio remained robust at 175%, reflecting its strong capital position despite dividend payouts and debt repayments. Persistency ratios also remained stable, with the 13-month persistency rate at 86% and the 61-month persistency rate at 62%.
CEO’s Commentary: Confidence in Future Growth
Vibha Padalkar, Managing Director and CEO of HDFC Life, shared an optimistic outlook on the company’s future. She highlighted the strong performance in the first half of FY26, which has been in line with expectations, and reiterated the company’s position to grow faster than the industry. She also expressed confidence in the long-term growth potential of the life insurance sector in India, supported by favourable regulatory changes like the GST exemption, which has made life insurance products more affordable.
Padalkar further emphasised that the company remains well-positioned to continue its growth trajectory, citing HDFC Life’s strong business model, trusted brand, and ability to adapt to changing market conditions.
Also Read:
- Bank of Maharashtra Q2 FY26 Results: Profit Surges 23% YoY, Total Income Grows 17%
- ICICI Prudential Life Q2 FY26 Results: Net Profit Rises 18%, Net Premium Income Grows 10.1% YoY
- Tata Communications Q2 Results Highlights: Net Profit Drops 19%, Revenue Grows by 6.5%
- Avenue Supermarts Q2 FY26 Results: DMart’s Profit Rises 4% YoY, Revenue Up 15%
- IREDA Q2 Results FY26: Profit Surges 41%, Revenue Rises 26.2% YoY
Conclusion: A Positive Outlook for HDFC Life
HDFC Life’s Q2 results for FY26 demonstrate solid growth in both profits and premiums, underpinned by strong demand for insurance products. With a focus on long-term growth, improving consumer sentiment, and a resilient business model, the company is well-positioned to navigate the evolving life insurance landscape in India.
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