All posts by Nagnath

ICICI Lombard General Insurance Ltd Q3 FY24
ICICI Lombard General Insurance Ltd Q3 FY24: Strong Growth and Market Leadership in Insurance

ICICI Lombard General Insurance Ltd: Overview 

ICICI Lombard General Insurance Ltd is one of India’s leading private sector general insurance companies, offering a wide range of products including motor, health, travel, home, and corporate insurance solutions. With a strong distribution network and a digital-first approach, the company serves retail and corporate customers across the country. ICICI Lombard focuses on delivering innovative and customer-centric insurance solutions, leveraging technology to enhance efficiency and customer experience. It has consistently maintained its leadership position in the general insurance sector, driven by its robust underwriting practices, extensive product portfolio, and strategic partnerships. The general insurance industry in India is poised for significant growth, supported by rising awareness, increasing disposable income, and government initiatives to improve insurance penetration. Segments like health insurance are witnessing strong demand due to heightened health consciousness post-pandemic and the growing need for comprehensive coverage. Additionally, motor insurance continues to expand with the rise in vehicle ownership, while infrastructure development is driving demand for property and liability insurance. The industry is expected to grow at a healthy rate in the coming years, aided by advancements in technology, regulatory support, and innovative product offerings. ICICI Lombard, with its strong brand and digital capabilities, is well-positioned to capitalize on these opportunities and sustain its leadership in the sector. 

Business Segments

  • Retail Group: This segment focuses on individual customers and includes products such as motor, health, travel, home, and personal accident insurance. The retail group aims to provide tailored insurance solutions to meet the diverse needs of individuals, leveraging both offline and online channels for distribution. With the growing middle class and increasing insurance awareness, this segment is a major contributor to the company’s revenue. 
  • Corporate Solutions Group: The Corporate Solutions Group offers a range of insurance products designed for businesses and organizations. These include coverage for property, liability, marine, and other business-related risks. It serves large corporations, small and medium enterprises (SMEs), and public sector companies. This segment focuses on providing customized solutions that meet the complex risk management requirements of businesses, supporting their growth and operational stability. 
  • Government & Rural Business Group: This segment is dedicated to providing insurance solutions to government bodies, public sector undertakings (PSUs), and the rural population. The company offers products like crop insurance, rural health insurance, and government-backed schemes aimed at enhancing financial inclusion and protecting underserved communities. The Government & Rural Business Group plays a vital role in expanding insurance penetration in India, particularly in rural areas. 
  • Shared Services: ICICI Lombard’s Shared Services segment focuses on providing internal support functions across the company, including IT services, operations, claims management, underwriting, and risk management. This segment ensures the smooth functioning of the company’s day-to-day operations, optimizing processes, reducing costs, and enhancing overall efficiency. Shared services are important to maintaining operational scalability and ensuring customer satisfaction across all business segments. 

Subsidiary Information

ICICI Lombard General Insurance Company Limited (ICICI Lombard) doesn’t have any subsidiary companies. However, ICICI Lombard is a subsidiary of ICICI Bank Limited. 

Q3 FY24 & Business Highlights

  • Revenue of ₹6161 crore in Q3 FY24 up by 18.6% YoY from ₹5194 crore in Q3 FY24.  
  • EBITDA of ₹962 crore in this quarter at a margin of 16% compared to 11% in Q3 FY24. 
  • Profit of ₹724 crore in this quarter compared to a ₹431 crore profit in Q3 FY24. 
  • Solvency ratio was 2.36x as at December 31, 2024 as against 2.65x as at September 30, 2024 and higher than the minimum regulatory requirement of 1.50x. Solvency ratio was 2.62x as at March 31, 2024. 
  • Retail health agency vertical grew by 29.9% for Q3 FY25; group insurance has the highest share pf 52.6% in health insurance revenue. 
  • Investment portfolio mix for 9M FY25: Corporate bonds 46.2%, G-Sec 37.2% and Equity (including equity ETF) 13.6%. Unrealised gain of ₹ 14.98 billion as on December 31, 2024. 
  • The average claim settlements are 5 days for Motor OD and 3 days for health insurance. 

Financial Summary 

INR Cr. Q3 FY24 Q3 FY25 FY23 FY24 
Revenue 5194 6161 17876 20487 
Expenses 4639 5199 16612 17910 
EBITDA 555 962 1264 2577 
OPM 11% 14% 7% 13% 
Other Income 19 -2 991 112 
Net Profit 431 724 1729 1919 
NPM 8.3% 11.8% 9.7% 9.4% 
EPS 8.8 14.6 35.2 38.9 
Infosys Ltd Q3 Earnings
Infosys Ltd: Driving Digital Transformation- Q3 Results and Investment Insights

Infosys Ltd: Overview 

Infosys Ltd is a global leader in consulting, technology, outsourcing, and next-generation digital services, empowering clients to achieve their digital transformation goals. As India’s second-largest IT Company after TCS, Infosys has a robust presence in both traditional and digital services. This segment focuses on innovative solutions that enable clients to modernize their businesses. It includes offerings that enhance customer experience, leverage AI-based analytics, utilize big data, engineer IoT solutions, modernize legacy systems, migrate to cloud platforms, and implement advanced cyber security systems. Infosys serves a prestigious and diversified client base, including global organizations such as ICICI Bank, Daimler Mercedes-Benz, HSBC Bank, Goldman Sachs, Johnson & Johnson, Accenture, the US Army, US Navy, Lockheed Martin, IBM Corporation, and Deutsche Bank. The company’s dual focus on innovation in digital services and expertise in core IT solutions positions it as a vital partner for businesses navigating the challenges of digital transformation. The global IT services industry is experiencing rapid transformation driven by advancements in technologies like artificial intelligence, cloud computing, big data, IoT, and cyber security. As businesses across industries adopt digital-first strategies, demand for IT and a digital service continues to rise. India remains a key player in the IT sector, with a competitive edge in cost efficiency, skilled workforce, and strong government support for technology-driven initiatives. Companies like Infosys benefit from these advantages, capturing market share in global markets, including North America, Europe, and APAC. The IT sector’s growth trajectory is fuelled by factors such as increased demand for digital transformation, the rise of cloud adoption, and a growing focus on AI and machine learning. Despite challenges like global economic uncertainty and evolving regulations, the industry’s long-term prospects remain promising. Infosys, with its diversified service offerings and strategic investments in innovation, is well-positioned to capitalize on this growth. 

Latest Stock News 

The Financial Services sector in the U.S. continues to exhibit strong growth, while European Financial Services have shown signs of recovery during the third quarter. In the U.S., the Retail and Consumer Products sector has improved due to reduced discretionary pressures. However, the automotive sector in Europe remains sluggish, with other industries showing steady demand driven by cost optimization rather than discretionary spending. Over 100 new Generative AI agents are under development for integration into client operations, with current clients already benefiting from these tools. The company has revised its revenue growth guidance to 4.5%–5% in constant currency terms for the fiscal year, maintaining an operating margin guidance of 20%–22%. 

Infosys plans to onboard 15,000–20,000 freshers in FY26 and 5,591 employees added in the current quarter. Wage hikes are scheduled in two phases, starting January 1 and April 1, with an anticipated impact of 6%–8% on India margins. Challenges persist, with furloughs impacting revenue contributions from top clients and a decline in their overall share. Additionally, currency fluctuations and third-party costs remain influential factors. Discretionary spending in Hi-Tech and Telecom sectors continues to lag, with no significant signs of recovery yet. On the competitive landscape, pricing remains stable, with a 3.6% year-on-year increase attributed to value-based selling. Utilization rates are at 86%, slightly exceeding the preferred range of 83%–85%, reflecting effective resource management during growth. The company maintains a strategic focus on cost optimization and vendor consolidation as core growth drivers. 

Business Segments: 

  • Financial Services: This is the largest segment, serving banking, financial services, and insurance (BFSI) clients. Infosys provides solutions for digital banking, payments, wealth management, risk, and compliance, helping financial institutions enhances customer experience and operational efficiency. 
  • Retail and Consumer Packaged Goods (CPG): This segment caters to retailers and CPG companies by offering solutions in areas like e-commerce, supply chain optimization, customer engagement, and omni channel strategies. Infosys helps clients navigate the rapidly evolving retail landscape and consumer behaviour. 
  • Communication, Media, and Technology (CMT): Infosys supports clients in telecommunications, media, entertainment, and technology by offering innovative solutions in digital experience, 5G, AI, and IoT. This segment focuses on enhancing connectivity, content delivery, and digital transformation. 
  • Energy, Utilities, Resources, and Services: This segment provides solutions for companies in the energy, utilities, and resources sectors, focusing on digital transformation, sustainability, and operational optimization. It includes services in areas like smart grids, renewable energy, and asset management. 
  • Manufacturing: Infosys supports manufacturing clients with solutions for digital manufacturing, supply chain visibility, and product lifecycle management. It helps companies improve efficiency and adopt smart factory technologies. 
  • Life Sciences and Healthcare: Infosys offers solutions to pharmaceutical, biotechnology, and healthcare companies, including digital health platforms, clinical trial management, and supply chain optimization, aiding in patient-centric care and innovation. 
  • Hi-Tech: This segment serves technology companies, offering services in engineering, R&D, and product development. Infosys helps clients accelerate innovation and bring high-tech products to market faster. 

Subsidiary Information: 

  • Infosys BPM Ltd: Infosys BPM (Business Process Management) Ltd. is the business process outsourcing arm of Infosys, focusing on delivering end-to-end transformative BPM services. It caters to industries such as financial services, retail, telecommunications, and healthcare, offering services in areas like customer experience management, finance and accounting, human resources, legal process management, and analytics. Infosys BPM emphasizes digital transformation, automation, and data-driven decision-making to enhance operational efficiency and business agility for clients globally. 
  • Infosys Automotive and Mobility GmbH & Co. KG: Infosys Automotive and Mobility GmbH & Co. KG is a subsidiary dedicated to the automotive and mobility sectors. Based in Germany, it focuses on providing digital engineering, software solutions, and IT consulting services to leading automotive manufacturers and suppliers. Its offerings include connected vehicle solutions, autonomous driving technology, electric vehicle innovation, and smart manufacturing. The subsidiary plays a pivotal role in addressing the evolving needs of the automotive industry, such as sustainability, electrification, and mobility-as-a-service. 
  • Infosys McCamish Systems LLC: Headquartered in Atlanta, Georgia, Infosys McCamish Systems LLC specializes in providing business process outsourcing services and software solutions for the insurance and financial services industry. Its expertise includes life insurance, annuities, retirement services, and healthcare. The company delivers end-to-end insurance policy administration, claims processing, and compliance solutions. With its scalable platforms and innovative technologies, Infosys McCamish supports insurers in improving operational efficiency and customer satisfaction. 
  • EdgeVerve Systems Limited: EdgeVerve Systems Limited, a wholly-owned subsidiary of Infosys, develops and deploys cutting-edge software products and platforms. Its flagship products include Finacle (a leading banking platform) and AssistEdge (an automation and AI-driven customer service platform). EdgeVerve focuses on enabling digital transformation for enterprises across industries, offering solutions in automation, AI, and blockchain to enhance productivity, streamline processes, and drive innovation. 
  • WongDoody Inc.: WongDoody, Inc., a creative and customer experience company acquired by Infosys in 2018, specializes in customer experience design and advertising. With headquarters in the United States, it provides branding, marketing strategy, and digital design services. WongDoody works with global clients to create compelling brand narratives and innovative customer experiences, aligning business goals with creative execution. It is a key player in Infosys’ effort to enhance its digital and customer-centric service offerings. 

Q3 FY24 & Business Highlights 

  • Revenue of ₹41764 crore in Q3 FY25 up by 7.6% YoY from ₹38821 crore in Q3 FY24.  
  • EBITDA of ₹10115 crore in this quarter at a margin of 24% compared to 24% in Q3 FY24. 
  • Profit of ₹6822 crore in this quarter compared to a ₹6113 crore profit in Q3 FY24. 

Financial Summary 

INR Cr. Q3 FY24 Q3 FY25 FY23 FY24 
Revenue 38821 41764 146767 153670 
Expenses 29684 31649 111637 117245 
EBITDA 9137 10115 35130 36425 
OPM 24% 24% 24% 24% 
Other Income 789 859 2701 4711 
Net Profit 6113 6822 24108 26248 
NPM 15.7% 16.3% 16.4% 17.1% 
EPS 14.7 16.4 58.1 63.2 
Dixon Technologies Q3 Earnings
Dixon Technologies Q3 Earnings: Pioneering India’s Electronics Manufacturing Revolution

Dixon Technologies Ltd: Overview 

Dixon Technologies (India) Limited, established in 1993, is a leading Electronics Manufacturing Services (EMS) provider in India, operating across segments like consumer electronics, lighting, home appliances, CCTVs, mobile phones, and reverse logistics. It also produces security surveillance equipment, wearable, audible, and AC-PCBs. The company recently formed a joint venture with Imagine Marketing Pvt Ltd. for wireless audio solutions. As one of India’s largest LED TV manufacturers, Dixon caters to over 35% of the country’s demand and is a leading ODM player in lighting with extensive capacity across SKUs. It has the largest semi-automatic washing machine portfolio with models ranging from 6 kg to 14 kg. Headquartered in Noida, Dixon has 22 manufacturing facilities across India. It plans a capital expenditure of ₹300-400 crore annually over the next two years, alongside debt repayment obligations of ₹90-110 crore per year. Notable achievements include manufacturing 11 million smartphones, 26 million feature phones, and rolling out India’s first ODM-based Google TV solutions. The EMS industry in India is poised for substantial growth, driven by rising domestic consumption, government initiatives like “Make in India” and the production-linked incentive (PLI) scheme, and the increasing shift of global manufacturing supply chains toward India. The demand for electronics across sectors such as consumer durables, telecommunications, and industrial automation has created a favourable environment for companies like Dixon. However, the industry faces challenges such as dependency on imported components and price sensitivity in the domestic market. Despite these hurdles, Dixon Technologies is well-positioned to benefit from the sector’s growth trajectory, given its strong operational capabilities, focus on backward integration, and a robust order pipeline. The company’s proactive approach to expanding its product portfolio and leveraging government support further cements its status as a leader in the Indian EMS landscape. 

Latest Stock News 

Shares of Dixon Technologies Ltd. saw a significant drop of 14% in trading on Tuesday, January 21, following analysts’ concerns over its valuation after the company’s quarterly results, which largely met expectations. This marked the largest single-day decline for the stock since January 27, 2023, when Dixon had lowered its guidance for the financial year 2024. The company reported a robust 190% growth in its core Mobile business, now accounting for nearly 90% of its total revenue. However, other aspects of the company’s performance were in line with analyst predictions. In a note, Jefferies pointed out that while the mobile production-linked incentive (PLI) scheme is set to expire in 2026, consumer electronics sales had dropped by 32% year-on-year. Goldman Sachs maintained a “sell” rating on the stock with a price target of ₹10,240, even lower than Jefferies’ estimate. Analysts at Goldman Sachs suggested that the earnings upgrade cycle for Dixon might have stalled, and with high valuations and slower growth, the stock may underperform in the near term. Dixon’s future growth is expected to stem from its focus on backward integration, particularly in the display, camera, and battery module assembly sectors. The company also plans to establish a display fab, which could enhance its control over the supply chain and transform it into a more vertically integrated electronics manufacturer. However, the success of these initiatives depends heavily on their execution, making them a critical factor in Dixon’s ability to drive sustained growth moving forward. 

Q3 FY24 Earnings 

  • Revenue of ₹10454 crore in Q3 FY25 up by 117% YoY from ₹4818 crore in Q3 FY24.  
  • EBITDA of ₹391 crore in this quarter at a margin of 4% compared to 4% in Q3 FY24. 
  • Profit of ₹216 crore in this quarter compared to a ₹97 crore profit in Q3 FY24. 

IDBI Bank Ltd Q3 Earnings
IDBI Bank Ltd: Driving Growth and Stability in India’s Banking Sector

IDBI Bank Ltd: Overview 

IDBI Bank Ltd., a prominent player in the Indian banking sector, operates as a full-service bank offering a wide range of financial products and services to retail, corporate, and small business clients. Originally established in 1964 as the Industrial Development Bank of India, it was created to support India’s industrial growth. Over the years, it transitioned into a commercial bank while retaining its developmental focus. The bank’s offerings include savings and current accounts, loans, investment products, and payment solutions, alongside specialized services like project financing and treasury operations. Now majority-owned by Life Insurance Corporation of India (LIC), IDBI Bank benefits from the backing of one of the country’s largest financial institutions, which bolsters its financial stability and brand value. With a network of branches and ATMs spread across the nation, IDBI Bank aims to serve diverse customer segments effectively, supported by digital initiatives to enhance convenience and accessibility. The Indian banking industry is poised for steady growth, driven by economic expansion, increasing digital adoption, and a rising demand for financial inclusion. The sector is seeing a significant push toward modernization, with banks focusing on technology to streamline operations and improve customer experiences. However, challenges like rising competition, non-performing assets (NPAs), and regulatory pressures remain concerns. Within this dynamic environment, IDBI Bank is strategically positioned to leverage its strong parentage, operational expertise, and evolving digital capabilities to capture emerging opportunities. Its focus on improving asset quality and expanding its retail and MSME portfolios aligns with the broader industry trend of risk management and growth diversification. 

Latest Stock News 

Asset quality for IDBI Bank remained stable on a sequential basis, with gross non-performing assets (NPA) at 3.57% compared to 3.68% in the previous year. Net NPA for the quarter stood at 0.18%, showing a slight improvement from 0.2% in the preceding quarter. In another key development, the bank’s board approved the sale of its entire holding of 8.54 lakh shares, valued at ₹100 each, in Pondicherry Industrial Promotion Development and Investment Corporation Ltd. (PIPDIC), which represents a 21.14% stake in the associate company. 

The disinvestment process for IDBI Bank is gaining traction, with financial bids for a 60.72% stake expected to be invited by the end of the current fiscal year, according to government sources. This stake sale, which includes 30.48% held by the government and 30.24% by LIC, will involve transferring management control as part of the strategic sale. The process is one of the largest disinvestment efforts in the banking sector. Before proceeding, the Reserve Bank of India (RBI) conducted a “fit and proper” assessment of the bidders, ensuring compliance with regulatory norms. 

Following RBI clearance, the government opened a data room in November to allow bidders access to IDBI Bank’s legal and financial documents. This move facilitates a thorough due diligence process, enabling bidders to evaluate the bank’s performance and request additional information as needed. With these preparations in progress, financial bids are anticipated to finalize the future ownership structure of IDBI Bank by March 2025, marking a significant milestone in its strategic sale. 

Q3 FY24 Earnings 

  • Revenue of ₹7819 crore in Q3 FY25 up by 19.4% YoY from ₹6549 crore in Q3 FY24.  
  • EBITDA of ₹1854 crore in this quarter at a margin of 24% compared to 15% in Q3 FY24. 
  • Profit of ₹1954 crore in this quarter compared to a ₹1515 crore profit in Q3 FY24. 
IRFC Ltd: Driving India’s Railway Modernization and Growth
IRFC Ltd: Driving India’s Railway Modernization and Growth

IRFC Ltd: Overview 

Indian Railway Finance Corporation Ltd. (IRFC) is the financial backbone of Indian Railways, established in 1986 to fund the modernization and growth of railway infrastructure across the country. The company focuses on raising capital for acquiring rolling stock, such as locomotives, coaches, and wagons, along with financing infrastructure projects and leasing operations essential to the Indian Railways. Operating under the Ministry of Railways, IRFC benefits from government backing, allowing it to secure low-cost finance through a mix of funding sources like bonds, term loans, and external commercial borrowings. Its strong financial stability and reliable performance make it a vital contributor to India’s railway expansion initiatives. The railway sector in India is on a rapid growth trajectory, fueled by the government’s emphasis on infrastructure upgrades, sustainability, and enhanced connectivity under programs like “Gati Shakti” and “Make in India.” With increased budget allocations, the sector is advancing toward electrification, high-speed rail development, and network expansion. As part of India’s goal to achieve carbon neutrality in railways by 2030, there is a growing need for green financing and technological modernization, areas where IRFC is set to play a critical role. While the company’s dependency on Indian Railways as its sole client may pose a risk, this is offset by the strategic importance of the railways to the nation’s economic development. With a solid financial foundation and alignment with government priorities, IRFC is well-positioned to seize the opportunities presented by the evolving railway industry. 

Latest Stock News 

Indian Railway Finance Corporation Ltd. (IRFC) announced on Tuesday, January 14, that it has been identified as the lowest bidder (L1) to finance ₹3,167 crore for the development of the Banhardih coal block, located in Latehar District, Jharkhand. The project is being executed by PVUN Ltd., a joint venture between NTPC Ltd., which holds a 74% equity stake, and Jharkhand Bijli Vitran Nigam Ltd., with a 26% stake. The Banhardih coal block, allocated to PVUNL as a captive coal source, is integral to the company’s operations, ensuring efficient coal transportation to its project site. The coal will be transported to the Chetar power station through a Mine-Gain-Rail (MGR) system and further moved using Indian Railways. Additionally, on Wednesday, January 15, IRFC announced the signing of a lease agreement with NTPC Ltd. to finance eight BOBR (Bogie Open Bottom Rapid) rakes. This investment is valued at approximately ₹250 crore, marking another step in IRFC’s ongoing commitment to supporting infrastructure and energy projects across India. 

Q3 FY25 Earnings 

  • Revenue of ₹6763 crore in Q3 FY25 up by 0.4% YoY from ₹6737 crore in Q3 FY24.  
  • EBITDA of ₹6724 crore in this quarter at a margin of 99% compared to 99% in Q3 FY24. 
  • Profit of ₹1631 crore in this quarter compared to a ₹1599 crore profit in Q3 FY24. 
Jio Financial Shares Fall 3% as Q3 Profit Remains Flat
Jio Financial Shares Fall 3% as Q3 Profit Remains Flat and Digital Growth

Jio Financial Services Ltd: Overview 

Jio Financial Services Ltd (JFSL), a strategic subsidiary of Reliance Industries Ltd, operates as a diversified financial services company, leveraging technology and innovation to redefine financial inclusion in India. JFSL’s offerings span consumer and merchant lending, asset management, insurance, and digital payments, making it a comprehensive player in the financial ecosystem. The company focuses on leveraging Reliance’s vast consumer base and digital ecosystem to deliver tailored financial solutions at scale. With its extensive reach, advanced data analytics, and partnerships, JFSL is poised to disrupt traditional financial service models, particularly in underpenetrated segments of the Indian market. India’s financial services industry is undergoing a transformative phase, driven by rising digital adoption, favourable regulatory changes, and increasing demand for inclusive financial solutions. The industry spans banking, insurance, asset management, and fintech, collectively contributing significantly to India’s GDP. The digital lending market is projected to grow at a CAGR of over 30% due to increasing consumer demand and the rising popularity of Buy Now Pay Later (BNPL) schemes. Similarly, the insurance and asset management sectors are poised for robust growth, fueled by increasing awareness, urbanization, and disposable incomes. Fintech is a key driver, with India emerging as one of the world’s largest fintech ecosystems. Regulatory support for digital banking, UPI adoption, and financial inclusion efforts further strengthen the industry’s prospects. JFSL is well-positioned to capitalize on these trends, leveraging its technological expertise and vast ecosystem to redefine financial services in India. 

Latest Stock News

Jio Financial Services shares slipped nearly 3% after the company reported a flat net profit for Q3 FY25 compared to the previous year. Despite steady profits, the company showcased significant growth in its AUM and continued expansion in digital and financial services. Jio Financial also seeks a TPAP license for its JioFinance app to enhance its offerings.

Business Segments 

  • Lending & Leasing: The initial focus is on offering secured loans aimed at both salaried and self-employed individuals, taking into account their risk profiles and business dynamics. Its product suite includes loan against mutual funds, home loan, with plans to offer loan against securities, loan against property and other secured lending products. It also provides a spectrum of financing options designed to support the operations of MSMEs and corporates. The offerings include working capital loans and supply chain finance. 
  • Insurance: In the insurance domain, JFSL is set to offer both life and non-life products, focusing on affordability and accessibility. The use of digital platforms for policy issuance, claims processing, and customer support ensures a smooth experience for consumers, particularly in underpenetrated rural and semi-urban markets. 
  • Payments: The Payments Bank has successfully operationalised liability offerings of saving account, current accounts and prepaid instruments served through both self-service and assisted channel.  The services include savings account, debit card, current account, wallet, and a host of consumer payment solutions such as UPI, Aadhaar Enabled Payment System, remittances etc. Customers are acquired and serviced digitally and through a network of business correspondents (BC). 
  • Investments: JFSL aims to simplify wealth management by offering mutual funds, systematic investment plans (SIPs), and other investment products through a user-friendly digital interface. By democratizing access to financial instruments, it seeks to empower individuals to achieve their financial goals. 

Subsidiary Information 

  • Jio Finance Ltd: Jio Finance Limited (JFL), formerly Reliance Retail Finance Limited, is a wholly-owned subsidiary of JFSL and is registered with the RBI as a systemically important non-deposit taking NBFC. With a digital first approach, JFL is primarily engaged in Consumer Lending, and Corporate and MSME lending. 
  • Jio Payments Bank Ltd: Jio Payments Bank Limited, a joint venture between the Company and State Bank of India with shareholding of 77.25%:22.75% holds a payments bank license issued by RBI, to provide digital banking solutions to consumers and small businesses. 
  • Jio Payment Solutions Ltd: Jio Payment Solutions Limited (JPSL), formerly Reliance Payment Solutions Limited, has an in-principle approval from the RBI to operate as a Payment Aggregator (PA) to capitalise on the emerging opportunities in the fast-expanding payments industry. JPSL aims to drive its business by predominantly using the Payment Gateway (PG) and Unified Payments Interface (UPI) for both large enterprises and small businesses/merchants. JPSL has built partnerships and integrated with multiple banks and financial institutions with a clear focus on building cost efficiencies and having a sustained path to profitability. 
  • Jio Insurance Broking Ltd: Jio Insurance Broking Limited (JIBL), formerly Reliance Retail Insurance Broking Limited, obtained its direct broker licence from the Insurance Regulatory Development Authority of India (IRDAI) in 2007. JIBL operates in a sweet spot, because, with significant underinsurance, India presents a substantial opportunity for growth. JIBL has emerged as a key player by distributing life, non-life, and health insurance products digitally and has partnerships with 31 leading insurance providers, across public and private sector. 
  • Jio BlackRock JV: JFSL took a significant stride into the asset management sector by forming a joint venture with BlackRock Inc. Group, the world’s largest asset manager. The strategic partnership, a 50:50 JV, is aimed to leverage JFSL’s extensive market reach and BlackRock’s investment acumen to democratise consumer access to top-tier investment solutions across India. 

Q3 FY25 & Business Highlights 

  • Revenue of ₹438 crore in Q3 FY25 up by 5.98% YoY from ₹414 crore in Q3 FY24.  
  • EBITDA of ₹313 crore in this quarter at a margin of 71% compared to 77% in Q3 FY24. 
  • Profit of ₹295 crore in this quarter compared to a ₹294 crore profit in Q3 FY24. 
  • The Lending and Leasing AUM is of ₹4199 cr as on December 31, 2024 compared to ₹1206 cr in Q2 FY25. 
  • The CASA customers count has reached 1.89 million customers and had direct integrations with 10 banks to offer net banking and cards services. 
  • Asset Management company filled application for final approval and senior leadership team of wealth management company is in progress. 

Financial Summary 

INR Cr. Q3 FY24 Q3 FY25 FY23 FY24 
Revenue 414 438 45 1855 
Expenses 94 125 6 296 
EBITDA 320 313 39 1559 
OPM 77% 71% 88% 84% 
Net Profit 294 295 31 1605 
NPM 71.1% 67.3% 68.9% 86.5% 
EPS 0.46 0.46 – 2.53 
SBI Life Insurance Q3 FY25
SBI Life Insurance Q3 FY25: Strong Revenue, Profit & Growth in AUM

SBI Life Insurance Company Ltd: Overview 

SBI Life Insurance, one of the most trusted life insurance companies in India, was incorporated in October 2000 and is registered with the Insurance Regulatory and Development Authority of India (IRDAI) in March 2001. Serving millions of families across India, SBI Life’s diverse range of products caters to individuals as well as group customers through Protection, Pension, Savings and Health solutions. Driven by ‘Customer-First’ approach, SBI Life places great emphasis on maintaining world class operating efficiency and providing hassle-free claim settlement experience to its customers by following high ethical standards of service. Additionally, SBI Life is committed to enhance digital experiences for its customers, distributors and employees alike. SBI Life strives to make insurance accessible to all, with its extensive presence across the country through its 1,086 offices, 25,949 employees, a large and productive network of about 241,251 agents, 77 corporate agents and 14 banc assurance partners with more than 41,000 partner branches, 144 brokers and other insurance marketing firms. In addition to doing what’s right for the customers, the company is also committed to provide a healthy and flexible work environment for its employees to excel personally and professionally.   

Business Segments 

  • Non-Participating Products: The Non-Participating segment comprises of individual savings, group savings and protection segments. These products cover the insured for a specific period and the insured do not participate in the surplus of the underlying investment pool. This segment includes Individual savings, group savings, protection, etc.  
  • Participating Products: Participating life insurance products are products where the insured participates in the surplus from the segment during the term of the contract. These are savings cum protection products that provide a guaranteed sum assured and long term returns through participation in surplus. 
  • Linked Products: Linked products provide the benefit of investment as well as protection. They provide returns directly linked to the performance of the underlying funds and have a transparent charge structure which is explicitly stated at the outset. The investment risk on these products is borne by the policyholder. This segment also includes a fund based group gratuity, superannuation and leave encashment product for employers. 

Subsidiary Information 

SBI Life Insurance Company Ltd has no subsidiary or investments in companies. It is a subsidiary of its parent company SBI. 

Q3 FY25 & Business Highlights 

  • Revenue of ₹18862 crore in Q3 FY25 up by -52% YoY from ₹39033 crore in Q3 FY24.  
  • EBITDA of ₹596 crore in this quarter at a margin of 3% compared to 1% in Q3 FY24. 
  • Profit of ₹551 crore in this quarter compared to a ₹322 crore profit in Q3 FY24. 
  • AUM stands at 4.4 trillion with 19% growth, individual New Business Sum Assured stands at 1,815 billion with 33% growth. 
  • The Company has strong distribution network of 309,590 trained insurance professionals consisting of Agents, CIFs and SPs along with widespread operations with 1,086 offices across country. 
  • Robust solvency ratio of 2.04 as on December 31, 2024 as against the regulatory requirement of 1.50 indicating strong financial position of the Company. 
  • The sales through bank channels contributed about 56%, Agency 21% and other channels had contributed 22%. 

Financial Summary 

INR Cr. Q3 FY24 Q3 FY25 FY23 FY24 
Revenue 39033 18862 80636 131988 
Expenses 38631 18266 80514 131742 
EBITDA 352 593 122 246 
OPM 1% 3% 0% 0% 
Net Profit 322 551 1721 1894 
NPM 0.8% 2.9% 2.1% 1.4% 
EPS 3.21 5.5 17.2 18.9 
Wipro to Hire 10,000-12,000 Freshers Annually
Wipro to Hire 10,000-12,000 Freshers Annually; Strong Q3 Results & Growth Plans

Wipro Ltd: Overview 

We are a leading information technology services and consulting company, focused on building innovative solutions to unlock our clients’ boldest ambitions. Anchored in our vision to become an AI-centric organization, we leverage our comprehensive portfolio of capabilities in consulting, design, engineering, and operations to offer tailored solutions that address our clients’ most complex digital transformation needs. With a global workforce of over 230,000 committed individuals across 65 countries, we fulfil our promise of helping our customers, colleagues, and communities thrive in an ever changing world. IT service offerings are categorized under four Global Business Lines (GBLs), designed to drive focused growth in our priority markets. The offerings combine global expertise with local geo-focus in building capabilities while ensuring a dedicated sales presence closely aligned with the needs and preferences of our clients. Global technology spending grew at a slower pace of 4.4% year-over-year in the calendar year ended December 31, 2023, with enterprise software and IT services being the primary drivers of growth and de-growth seen in hardware and devices. t, AI-related activities have witnessed a significant uptick with 2.7x growth in activities related to industry collaborations and partnerships, product/service launches and enterprise. It is expected that there will be an increase in foundational spend across cloud, IT modernization, digital customer experience, and digital engineering projects. 

Latest Stock News (20 Jan, 2025) 

Technology services provider Wipro Ltd will hire 10,000 to 12000 freshers every year starting from next fiscal year, according to its Chief Human Resources Officer Saurabh Govil. For 2024-25 (FY25), Wipro aims to hire between 9,000 and 10,000 freshers, with plans to scale up in subsequent years, he said. Wipro reported better-than-expected October-December 2024 quarter results. The company projected fourth-quarter revenue growth to range from -1% to +1% in constant currency terms. The third-quarter performance was driven by quick deal wins and growth in healthcare and banking sectors, according to CEO Srini Pallia. CFO Aparna Iyer attributed the margin improvement highest in three years despite wage hikes to rigorous execution, high utilisation rates, improved offshoring, and cost optimisations in non-client-facing roles and overheads. Iyer stated that, we have had free cash flow generation, which is upwards of 130% even year to date; we had a powerful cash flow generation for the last two years. Our cash is at an all-time high, and we felt this was the right time. We also laid out our strategic priorities, and we are very clear that we are now ready to increase the committed payout levels, and therefore we have done that. We have also announced an interim dividend of ₹6 per share, which is substantially more than what we have done in the past. So increased capital allocation and increased dividend quantum. 

Business Segments

  • IT Services: This is the largest segment and encompasses a broad range of services, including consulting, application development, system integration, and digital transformation. Within IT Services, Wipro caters to industries such as Banking, Financial Services, and Insurance (BFSI), Consumer Goods, Healthcare, Manufacturing, Energy, Technology, and Communications. Wipro also focuses on emerging areas like cybersecurity, analytics, and AI-driven automation to help clients optimize operations and enhance customer experiences. 
  • IT Products: Wipro’s IT Products segment provides enterprise-class hardware and software solutions to meet the infrastructure needs of businesses. The offerings include computing, networking, and storage solutions, primarily targeted at Indian enterprises and government clients. 
  • Business Process Outsourcing: This segment encompasses business process outsourcing (BPO), process automation, and platform-based solutions. It focuses on delivering operational efficiency and scalability for industries such as retail, utilities, and healthcare, leveraging technologies like robotic process automation (RPA) and AI. 
  • Cloud & Infrastructure Services: This segment specializes in cloud migration, management, and optimization services. It helps businesses modernize their IT infrastructure to achieve agility and cost efficiency through partnerships with major cloud providers like AWS, Microsoft Azure, and Google Cloud. 

Subsidiary Information

  • Wipro LLC: This subsidiary operates in the United States, focusing on delivering Wipro’s comprehensive suite of IT services, including consulting, digital transformation, and business process outsourcing, to clients across various industries. Wipro LLC plays a crucial role in strengthening Wipro’s presence in the North American market. 
  • Wipro Philippines Inc.: Established to cater to the Asia-Pacific region, Wipro Philippines Inc. provides a range of IT and BPO services. The company is domiciled in the Philippines and was incorporated and registered with the Philippine Securities and Exchange Commission. It operates as a 99.99% owned subsidiary of Wipro IT Services SE, delivering tailored solutions to meet the diverse needs of clients in the region. 
  • Wipro IT Services UK Societas: Incorporated in the United Kingdom, Wipro IT Services UK Societas serves as an investing and holding company. It is a subsidiary of Wipro Limited and plays a strategic role in managing investments and overseeing operations within the UK and Europe. 
  • Wipro Holdings (UK) Ltd: This entity functions as a holding company in the United Kingdom, managing Wipro’s investments and subsidiaries in the region. It supports Wipro’s strategic initiatives and expansion plans within the UK and European markets. 

Q3 FY25 & Business Highlights 

  • Revenue of ₹22319 crore in Q3 FY25 up by 0.51% YoY from ₹22205 crore in Q3 FY24.  
  • EBITDA of ₹4540 crore in this quarter at a margin of 20% compared to 19% in Q3 FY24. 
  • Profit of ₹3367 crore in this quarter compared to a ₹2701 crore profit in Q3 FY24. 
  • Wipro has made great progress in consulting of AI powered industry and cross industry solutions. 
  • The large deals have decreased this quarter but medium and small deals have strong demand. 
  • Demand form America is as usual high, and Europe demand is increasing as they are focusing more on cost optimization and this demand will be reflected in Q4 FY25. 
  • As per America’s budget information, their focus is more on developing and spending on Gen AI and Cloud infrastructure, so more demand is on that side. 

Financial Summary 

INR Cr. Q3 FY24 Q3 FY25 FY23 FY24 
Revenue 22205 22319 90488 89760 
Expenses 18007 17779 73649 73008 
EBITDA 4198 4540 16839 16752 
OPM 19% 20% 19% 19% 
Other Income 598 1005 2275 2631 
Net Profit 2701 3367 11366 11112 
NPM 12.5% 15.1% 12.6% 12.4% 
EPS 2.58 3.2 10.3 10.6 
Tech Mahindra: Global IT Leader Strengthening Operations
Tech Mahindra: Global IT Leader Strengthening Operations Through Strategic Mergers

Tech Mahindra Ltd: Overview 

Tech Mahindra is a leading global technology company, part of the Mahindra Group, offering IT and business process outsourcing services. Founded in 1986, the company provides innovative solutions in digital transformation, consulting, and business re-engineering across industries such as telecommunications, healthcare, BFSI, and manufacturing. It has an employee base of more than 145,000 across 90 countries, and provides services to 1200+ clients. The global IT services industry, valued at over $1 trillion, is essential for helping businesses across sectors innovate, streamline operations, and improve customer experiences through advanced technologies like artificial intelligence (AI), cloud computing, app development & maintenance services the Internet of Things (IoT), and 5G. While industry growth was around 8.4%, it slowed to 5.4% in CY23 due to geopolitical pressures and various market shifts. The first quarter was challenging for the IT sector as many major clients reassessed their IT spending, focusing on larger, more efficient providers an advantage for Tech Mahindra. Despite the broader industry weakness, Tech Mahindra had a strong quarter, partnering with 7 of the top 10 companies, which helped maintain its market position and secure ongoing client orders. 

Latest Stock News (20 Jan, 2025)

The Board of IT services and consultation company Tech Mahindra has approved the merger of its arm Healthnxt Inc. with parent company Tech Mahindra Americas. TMA, a wholly-owned material subsidiary of the company, provides computer consulting, programming support services and IT Management and Consulting Services to customers in various industries including healthcare. Healthnxt is wholly-owned subsidiary of TMA and a step down wholly-owned subsidiary of the company. It is a virtual healthcare company that offers fully integrated inpatient experience at home and outsourced services. The business of both entities Healthnxt and TMA are complimentary hence consolidation of the entities will result in synergy of business operations, optimize operational cost and reduce the compliance risk. The investment of TMA in Healthnxt will get cancelled on the merger becoming effective. Tech Mahindra, in a regulatory filing today, informed that NCLT, Mumbai, has sanctioned the Scheme of Merger by Absorption of Perigord Premedia (India) Private Limited, Perigord Data Solutions (India) Private Limited, Tech Mahindra Cerium Private Limited and Thirdware Solution Limited, wholly-owned subsidiaries of the Company with the Company. The merger will result in reduction in the overheads including administrative, managerial and other expenditure, and optimal utilization of resources by elimination, if unnecessary duplication of activities and related costs. It will provide better opportunities to scale up their performance with a larger corporate entity having large revenue base, resources, assets base etc. 

Business Segments 

  • Tele communications: It provides end-to-end services for telecom companies, including 5G network implementation, software-defined networks (SDNs), and Network Function Virtualization (NFV). Tech Mahindra’s expertise in telecom is a major differentiator, allowing it to support clients in the telecommunications industry as they undergo digital transformation.  
  • Manufacturing: Tech Mahindra works with global manufacturing and automotive companies, offering IT and engineering services that span product lifecycle management (PLM), industrial IoT, smart manufacturing, etc.  
  • Cloud Infrastructure: Tech Mahindra helps companies migrate to cloud-based platforms, implement AI-driven analytics for decision-making, and improve digital security measures. This segment supports businesses in adopting cutting-edge technologies for greater agility and innovation.  
  • Healthcare & Life Science: Tech Mahindra provides IT solutions specific to the healthcare and life sciences sectors, such as healthcare management systems, digital healthcare platforms, and compliance management. 
  • BFSI: It offers innovative solutions for retail banking, lending and leasing, cards and payments, asset and wealth management, investment banks, and stock exchanges. We offer technology capabilities around consulting, enterprise architecture, business, network, security and BPS solutions, and modernisation initiatives like cloud, engineering, connectivity, customer experience and ESG. 

Subsidiary Information 

  • Tech Mahindra USA Inc.: As a wholly-owned subsidiary of Tech Mahindra Limited, Tech Mahindra USA Inc. serves as a pivotal entity in the North American market. It offers a comprehensive range of IT services, including consulting, digital transformation, and business re-engineering solutions, catering to diverse industries such as telecommunications, healthcare, and manufacturing. Leveraging its deep domain expertise and technological capabilities, the company enables clients to navigate complex digital landscapes and achieve operational excellence. 
  • Zen3 Infosolutions Inc.: Specializing in artificial intelligence, data analytics, and software development, Zen3 delivers innovative solutions that drive digital transformation for businesses. In September 2024, Tech Mahindra announced the merger of Zen3 Infosolutions with Tech Mahindra (Americas) Inc., aiming to streamline operations and enhance service delivery in the region. 
  • Eventus Solutions Group LLC: Eventus Solutions Group is a US-based company specializing in customer experience (CX) consulting and contact center solutions. The acquisition has strengthened Tech Mahindra’s capabilities in delivering end-to-end customer engagement solutions. In November 2024, Tech Mahindra’s board approved the merger of Eventus Solutions Group with its parent company, Tech Mahindra (Americas) Inc., to further integrate services and optimize operational efficiencies. 
  • Tech Mahindra GmbH: It focuses on providing IT services and solutions tailored to the European market. The company offers a broad spectrum of services, including digital transformation, consulting, and engineering services, catering to industries such as automotive, manufacturing, and telecommunications. By leveraging local expertise and global resources, Tech Mahindra GmbH helps clients drive innovation and achieve business objectives in a competitive landscape. 

Q3 FY25 & Business Highlights 

  • Revenue of ₹13286 crore in Q3 FY25 up by 1.4% YoY from ₹13101 crore in Q3 FY24.  
  • EBITDA of ₹1809 crore in this quarter at a margin of 14% compared to 9% in Q3 FY24. 
  • Profit of ₹989 crore in this quarter compared to a ₹524 crore profit in Q3 FY24. 
  • The active clients of tech Mahindra has decreased by 53 to1175 in Q3 FY25 and utilization rates of employees is 85.6%. 
  • Healthcare & Lifesciences segment has seen the highest growth as QoQ in revenue of 4.5% and following it BFSI seen 2.7% growth. But YoY growth is higher in BSFI compared to other segments. 
  • Total deal wins in this quarter is $745 Mn, which is great as it shows a high demand from its clients. 
  • Selected by a large German Telco to support their technology domains across Network, IT, and Service Operations, driving autonomous operations using GenAI. 
  • Awarded a global managed Network as a Service (NaaS) deal by a Europe based one of the largest chemical producers globally. 
  • Won a managed services deal from a leading global auto-maker for supporting their IT landscape covering every aspect of their business operations by leveraging our ADMS and Cloud & Infra Services capabilities. 
  • Tech Mahindra signed a multi-year Strategic Collaboration Agreement (SCA) with Amazon Web Services (AWS) to develop an Autonomous Networks Operations Platform (ANOP) designed for Communication Service Providers (CSPs) and enterprise customers. 

Financial Summary 

INR Cr. Q3 FY24 Q3 FY25 FY23 FY24 
Revenue 13101 13286 53290 51996 
Expenses 11955 11477 45527 47489 
EBITDA 1146 1809 7763 4506 
OPM 9% 14% 15% 9% 
Net Profit 524 989 4857 2397 
NPM 3.9% 7.4% 9.1% 4.6% 
EPS 5.23 10.05 49.6 24.14 
PB Fintech Stock
PB Fintech Stock Plunges 6% to INR 1,706 Amid Market Volatility

Overview

PB Fintech, the parent company of Policybazaar and Paisabazaar, is a leader in India’s insurance and fintech sectors. The company is known for leveraging technology to simplify insurance, loans, and other financial services for consumers. To expand its market presence, it has actively diversified into new segments, including healthcare and payment aggregation.

Despite strong financial growth and a positive long-term outlook, PB FinTech shares have recently faced trouble due to valuation concerns, regulatory inspections, and the challenge of seeing profits.

Latest News

  1. Intraday Decline: The stock nosedived by 6% to INR 1,706 during intraday trading on January 17 but recovered slightly to trade at INR 1,718.65 (-5.1%) by 12:20 PM.
  2. Brokerage Downgrade: Morgan Stanley downgraded the stock from “equal-weight” to “underweight,” citing lower profit emergence and high valuations, with a price target of INR 1,400 (14% downside).
  3. GST Raid: A subsidiary of PB Fintech was recently raided by the GST department in connection with vendor inquiries.
  4. Diversification Efforts:
    • Entered the healthcare segment via PB Healthcare Services Private Limited on January 2.
    • Expanded into the payment aggregator space with PB Pay in 2024.
    • Received an RBI account aggregator license for PB Financial Account Aggregator Private Limited in October 2024.
  5. Tax Relief: On January 4, PB Fintech received relief on a tax dispute, saving INR 166.12 Cr for FY 2015-16.

Financial summary

  • Market Capitalization: INR 78,923.99 Cr (as on 17 January 2025)
  • Latest stock performance:
    • Monthly return: -19% .
    • Annual return: +94.67%
    • Weekly Fall: -16.2% last week (The second biggest loser among 31 tracked technology stocks)
  • Highlights of Q2 FY 2025:
    • Net Profit: INR 50.98 Trillion (Loss INR 21.11 Trillion in Q2FY)
    • Operating income: INR 1,167.2 Cr (+43% YoY from INR 811.6 Cr)
    • 4th quarter continues to make profits
  • Important events: It entered the healthcare sector and touched an all-time high of Rs 2,254.95 on January 3, 2025.

PB Fintech’s long-term potential remains strong, fueled by diversification and revenue growth. However, short-term market challenges and valuation concerns are weighing on investor sentiment.