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PNB METLIFE INSURANCE COMPANY LIMITED

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Pnb Metlife Growth Get detailed information about the Pnb Metlife Share Price. In this research report, you will get to know about Pnb Metlife Pre IPO data. In addition, get the Complete details about the Net Profit Growth, Revenue Growth and Book Value Growth.

Pnb Metlife Revenue Growth 10,000 Value in Cr

9,620

5,000

4,733

6,442

5,343

5,855

3,102 0 2016

2017

2018

2019

2020

2021

Growth in % 64.31%

21.65%

1 Year

25.40%

3 Year

5 Year

During FY21, company has seen huge growth in its revenue. It delivered a new business premium of Rs.1,996 Cr with a growth of around 12%, while total premium of Rs.6032 Cr led by multi­ channel distribution architecture. The growth was led by increased demand of life insurance a몭er the pandemic, as people are understanding its importance. The growth was broad­based across channels, especially key Bancassurance and proprietary channels which delivered a strong performance.

Pnb Metlife Net Profit Growth(PAT) 150 Value in Cr

142

143

100 93 50

68

64

101


Value in C

68

50

64

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0 2016

2017

2018

2019

2020

2021

Growth in % 8.97%

­10.64%

1 Year

8.35%

3 Year

5 Year

Profit of the company has seen a rise, owe to increase in no. of policies sold, while expenses of the company has also increased due to transition from “phygital” to an entirely online model across full customer journey from digital buying and onboarding to servicing customers, and with the increase in no. of customers commission expense also increased, also due to high no. of covid cases, claims made by customers rose. But overall profitability of the company is getting better year on year. In FY20 company saw a fall due to increase in unemployment owing to pandemic as a result people were avoiding expenses.

Pnb Metlife EPS Growth 0.75 0.71

0.7 0.50

0.46 0.25

0.34

0.32

2016

2017

0.5

0.00 2018

2019

2020

2021

Growth in % 8.70%

­10.61%

1 Year

3 Year

8.02% 5 Year

Company's EPS has increased this year due to increase in its earning owing to awareness spread among consumers amidst covid pandemic. In FY20 company saw a fall in EPS owing to lack of awareness about necessity of life insurance and people were also avoiding expenses due to increasing unemployment. But as the situation is getting better we can see a growth in earnings, and a몭er the death rate we saw during covid this growth may continue.

Pnb Metlife Book Value Growth

Value in Cr

11.0 10.5

11

11


Value in Cr

10.0

10

10

10

2019

2020

2021

9.5 2017

2018

Growth in % 0.23%

0.07%

1 Year

­1.29%

2 Year

4 Year

Major reason for little fluctuation in book value of the company is change in fair value of items due to some unrealized income or loss. This year it has seen a slight increase owing to increase in its revaluation reserve.

Pnb Metlife EBITDA Growth

Value in Cr

600 400

432

379

351

2019

2020

249

200 135

119

2016

2017

0 2018

2021

Growth in % 23.18%

20.12%

1 Year

26.25%

3 Year

5 Year

In FY21 EBITDA of the company has increased by 23.18%. The biggest reason for this growth was pandemic. It has led to individuals increasingly opting to purchase all­encompassing life covers. Even the Government has increased its focus on o몭ering innovative life cover products.

Pnb Metlife Operating Profit Growth 400 Value in Cr

352 200

388 317

227 135

97

0 2016

2017

2018

2019

2020

2021


Growth in % 22.56%

19.63%

1 Year

23.57%

3 Year

5 Year

One of the reason for increase in operating profit of the company is increase premium generation and wide network of the company. Even to widen distribution access, company onboarded over 60 new partners. Despite the increased investments towards this, they have maintained their operating expense. They also had a well­entrenched network of 5,986 Insurance Managers and 9,286 exclusive agents during FY 2020­21, providing a powerful avenue for reaching out to customers. Overall, company's operating expense ratio reduced from 20.8% in FY 2017­18 to 17.0% in FY 2020­21.

Pnb Metlife Asset Growth

Value in Cr

40,000 30,000

30,315

20,000 15,346

17,489

22,466

19,409

24,543

10,000 2016

2017

2018

2019

2020

2021

Growth in % 23.52% 1 Year

16.02%

14.59%

3 Year

5 Year

Assets of the company are continuously increasing due to increase in long term investments, as the market was down during covid and company utilized this opportunity by increasing investments in equity and mutual funds. In FY21 company increased its provision for doubtful recoveries, as last year, there was an increase in bad debts due to shortage of money with households. Also due to the pandemic company transitioned from “phygital” to an entirely online model which further led to increase in its assets while cash balance with the company has reduced due to reduction in current account balance.

Pnb Metlife Cash Flow from Operations 2,000 Value in Cr

1,805 1,468 1,000

1,852


Value in Cr

497

231

748

2017

2018

0 2016

2019

2020

2021

Growth in % 2.61%

35.28%

1 Year

30.12%

3 Year

5 Year

Cash flow of the company is continuously increasing due to increase in premium received. In FY21 company has also seen rise in claims and commission expenses, but still its earnings e몭ectively compensated it.

Pnb Metlife Solvency Ratios Pnb Metlife D/E Ratio 0.02 0.02 0.01

0.01

0.01

0.01

0 0.00 2017

2018

2019

2020

2021

Company was having minimal debt in its capital structure, which has decreased with time, and now it has become a debt free company, which makes it safe and ensures safety for investors.

Pnb Metlife Current Ratio 3.5 3.01 3.0

2.75

2.69 2.47

2.5 2.09 2.0 2017

2018

2019

2020

2021

Current ratio of the company is continuously decreasing year on year which specifies company's


assets will not be able to cover its liabilities and deteriorates its short term liquidity. Main reason for the fall is decrease in current assets owing to fall in short term investments done by the company in infrastructure and other social securities, on the other hand company has increased its long term investments in equity and mutual funds.

Pnb Metlife Quick Ratio 3.5 3.01 3.0

2.75

2.69 2.47

2.5 2.09 2.0 2017

2018

2019

2020

2021

Pnb Metlife Interest Coverage Ratio 400

316.7 226.7

352.39

2018

2019

388.14

200 97.29

0 2017

2020

2021

Since company doesn't have any debt and interest, there interest coverage ratio is null.

Pnb Metlife Operating E몭iciency Pnb Metlife Operating Profit EBIT Margin(OPM) 10 7.56 5

5.92

5.87

4.94

6.68

3.1 0 2016

2017

2018

2019

2020

2021


In FY21 company has seen a 22.56% increase in EBIT which was led by increase in policies sold by company, and realized value of investments, which was a result of awareness spread among consumers and improvement in distribution network of the company. In FY 2020­21, company increased sales manager count to an average of 1,240 which led to increase in employee benefit expense but also increased their monthly productivity, it suggest they are properly utilizing their human assets.

Pnb Metlife Profit Before Tax Margin (PBT Margin) 4 3.67 2

3.26

2.48 2.03

1.76

1.95

2020

2021

1.73

1.74

2020

2021

0 2016

2017

2018

2019

Pnb Metlife Profit A몭er Tax Margin (PAT Margin) 4 3.67 3.07 2

2.48 2.03

0 2016

2017

2018

2019

Growth in Pat margin is inline with EBIT, still there is slight di몭erence which occurred due to increase in taxes paid.

Pnb Metlife Profitablity Ratio Pnb Metlife Return on Equity(RoE) 7.5 6.67

7.11

5.0 2.5

4.61

5.02

2020

2021

3.01

0.0 2017

2018

2019


2017

2018

2019

2020

2021

In FY21 company saw increase in net profit by 8.97% due to increase in premium generating from policies, major increase was led by renewal of policies, while other income of the company has also increased significantly due to increase in returns from investments which led to slight increase in ROE of the company. On the other hand equity of the company has increased a bit due to increase in reserves. In FY20 company saw downfall in its earning as during initial phase of covid purchasing power of individuals reduced, hence company was not able to generate enough returns.

Pnb Metlife Return on Capital Employed(RoCE) 2 1.76 1.29

1

1.41

1.47

2020

2021

0.62 0 2017

2018

2019

Capital structure of the company only includes equity, hence growth in ROCE is inline with growth in ROE.

Pnb Metlife Return to Assets (RoA) 1.0 0.77

0.68

0.5 0.39

0.39

0.37

2020

2021

0.0 2017

2018

2019

Company is continuously increasing its assets to adapt the economic situation, even they invested in equity and mutual funds to get benefit from market situation. They are generating enough returns on assets but its earnings are not quite inline with increase in its assets, due to some recent major changes like transition from “phygital” to an entirely online model.

Pnb Metlife Valuation Ratios Pnb Metlife Earning Yield


..

1.014 1.014 .. 0.714 0.657 0.457 ..

..

17 2020 20

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Planify Consultancy India Pvt. Ltd Planify Capital Limited SEBI Registration ­ NSE:AP2815021843(CM Segment), AP2815021843(FO Segment), MCX:AP144517 Mutual Fund License No. ARN­164419 , IRDA Code: ABLIC1003123454, ABLIC1003131639 View larger map


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Plot 23, Sector 18 Maruti, Industrial Development Area Gurugram, Haryana 122015

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