SBI Life Insurance Company (SBILIFE IN) – Q2FY27 Result Update – Growth Outlook Intact; Margin Remain Resilient – BUY
Published on 28 Oct 2026
SBILIFE reported moderate APE growth of ~8% YoY to INR63.9bn in Q2FY27 however, management reiterated its growth guidance of 14-15% for FY27E. While H1FY27 APE grew 19% YoY, we build 14%/13% for FY27/FY28E, factoring in a high base of H2FY26. VNB margin improved to 29.1% in Q2FY27, supported by favourable product mix. We build improvement in VNB margin of 20/10bps for FY27/FY28E, factoring in a higher share of margin-accretive products and normalisation of the GST-related impact. We roll-forward our valuation to FY29E and value SBILIFE using the appraisal value framework at 1.7x FY29E P/EV (vs. 2.0x earlier), arriving at a TP of INR2,200. Reiterate BUY.
