PB Fintech Q4 Results Review: Balanced Print In Terms Of Growth, Margin Augurs Well: ICICI Securities

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ICICI Securities Report

PB Fintech Ltd.’s Q4 FY25 print underlines a significantly more balanced performance in terms of growth and margins. The results also underline better strategic results in terms of growth in more relevant segments such as health/life, continued build-up of renewal book, and a structured foray into secured loan distribution with improvement in contribution/Ebitda margin across segments.

PB Fintech’s ability to gain market share, strong annual renewal revenue book (Rs 8.2 billion) and expansion of client base alongside growth in registered customers (27.5 million/7.7 million newly registered customers on Policy Bazaar/Paisa bazaar in FY25) are structural advantages.

Retain Hold; DCF-based target price revised to Rs 1,840 (vs Rs 1,604 previously), implying a valuation multiple of ~82x for FY27E.

Less-than-expected growth in core premium poses downside risk, while upside risk stems from better cost optimisation, leading to a healthier contribution ratio; and continued growth trajectory basis superior execution including new initiatives.

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