SBI Life Insurance Company (SBILIFE IN) – Q3FY26 Result Update – Growth accelerates; margin holding on – HOLD
Published on 29 Jan 2026
Q3FY26 APE grew 24% YoY led by a pick-up in the ULIP and PAR portfolios. We expect APE to grow ~14% YoY in FY26 (vs. 16% for 9MFY26), in line with the guidance. VNB margin declined by 35bps YoY to 26.6%, impacted by GST exemption. 9MFY26 VNB margin stood at 27.2%. We build in 27.4%/ 27.5% VNB margin for FY26/FY27E with an increase in the share of protection, PAR and NPAR. We slightly tweak our estimates on strong Q3 growth and value SBILIFEIN using the appraisal value framework (multiple of 2.5x FY27E P/EV vs. 2.4x earlier). Maintain ‘HOLD’ at a TP of Rs2,125 as stock price captures all the positives.
