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Informist, Wednesday, Jul. 30, 2025

By Krity Ambey

NEW DELHI – PB Fintech Ltd.'s insurance business is expected to help the company to post a consolidated net profit for the June quarter, even as its lending business continues to lag. The fintech company owns the insurance aggregator platform Policybazaar and also provides loans through Paisabazaar.

Estimates for the company's consolidated net profit range from a low of INR 579 million to a high of INR 1.33 billion. The lowest estimate of INR 579 million is by JM Financial Institutional Securities Pvt. Ltd. and would mark a decline both year-over-year and quarter-over-quarter.

PB Fintech's health insurance business is expected to lose momentum following its strong performance in the trailing quarter, according to JM Financial Institutional Securities. "In PB Fintech, we expect the savings business to be relatively weaker, though it may recover slightly from the last quarter, while the health segment is unlikely to sustain its recent strength," the brokerage firm said. Paisabazaar continues to face challenges due to weakness in the unsecured lending segment, JM Financial said in its earning preview.

A profit near the higher end of the range would indicate an on-year increase, but a decline on a sequential basis. PB Fintech's consolidated net profit had surged to INR 1.71 billion in the March quarter, more than doubling both year-over-year and quarter-over-quarter, driven by a 38% rise in revenue from operations to INR 15.08 billion. Policybazaar's earnings in the trailing quarter had grown 46%, accounting for over half of the company's net sales and effectively offsetting the lending business's underperformance, which had reported a 21% decline in Paisabazaar's revenue in that quarter.

After the results for the March quarter, PB Fintech Chairman and Group Chief Executive Officer Yashish Dahiya had assured investors that the company's strong growth in the health insurance segment would sustain. Dahiya had also said that the management has been counting on the insurance business to offset the slowdown in the loans business, which is expected to persist till September. 

Brokerage firms have estimated PB Fintech's revenue from operations to be in the range of INR 13.56 billion to INR 13.83 billion. Nuvama Wealth Management Ltd. sees the company's strong core platform business premium growth of over 40% to drive existing business revenue growth. "Management commentary around growth and margins will be keenly watched," Nuvama said in its report.

PB Fintech is expected to announce its financial results for the June quarter Thursday. Since the company's financial results for the trailing quarter, its share price has risen 2.5%. On Wednesday, shares of the fintech company ended 1.8% higher at INR 1,821.40 on the National Stock Exchange.

Of the four research reports on the company available with Informist, two have a 'sell' recommendation on the stock with an average target price of INR 1,525. One has a 'buy' recommendation and one has a 'hold' recommendation.  

Following are the Apr-Jun earnings estimates for PB Fintech, in INR million, based on reports from three brokerage firms in descending order of the estimates of net profit:

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Edited by Ashish Shirke

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