Axis Bank currently holds a 9.99% stake in Max Financial Services along with two other entities Axis Capital and Axis Securities holding 2% and 1% stakes, respectively.
Max Financial Services also reported its June quarter earnings where the financial services entity reported over 47% year-on-year (YoY) jump in its net profit. The consolidated net profit for the period stood at Rs 101.13 crore which was up Rs 68.48 crore posted by the company in the year-ago period.
Total revenue from operations stood at Rs 9,168.12 crore in the reporting quarter versus Rs 3,271.69 crore in the corresponding period of the last financial year.
The New Business Premium (NBP) stood at Rs 1,857 crore in the April-June quarter and was up 25% YoY. The proprietary channels grew 23%, the company filing said. The gross written premium stood at Rs 4,871 crore and was up 19%. The embedded value stood at Rs 16,938 crore while the operating RoEV for the reporting quarter was reported at 14.0%.
Among other metrics, the New Business Margin (NBM) was at 22.2% and was up 110 bps. The Value of New Business was at Rs 247 crore, up 16%. The Total Assets Under Management (AUM) was reported at Rs 129,127 crore, up 21%.
“The increased stake in Max Life by Axis Bank has been long awaited and will lead to a more natural balanced ownership level considering the importance of the power of distribution through the Banca channel of Axis Bank,” Analjit Singh, Chairman Max Life Insurance and Max Financial Services said in a press statement.(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)