PB Fintech, the parent company of Policybazaar and Paisabazaar, reported a 7.3% QoQ drop in its revenue during the first quarter of the ongoing fiscal year.
According to the National Stock Exchange (NSE), the company’s sales dropped QoQ to Rs 1,010 crore in Q1 FY25 from Rs 1,090 crore during the quarter ended March 2024. On a YoY basis, the operating revenue jumped 51.8% from Rs 665.6 crore in Q1 FY24.
However, the firm was able to maintain its profit position in this period, compared to Q4 FY24. Even though the size of the business shrunk, PB Fintech has still achieved good profits of Rs 60 crore for Q1 FY25. On a YoY basis, it managed to reverse a loss of Rs 12 crore in Q1 FY24.
Insurance broking was the major source of funds with 83.6% of the collections- with a 7.5% QoQ drop to Rs 845 crore. This income is inclusive of the collected amount from the rest of the operations such as marketing, advertising, consulting, and support services that decreased by 5.7% to Rs 165 crore in the same period.
Employee benefits were the highest cost center for PB Fintech, comprising 42% of the total expense. This cost went up slightly by 3.4% to Rs 455 crore in Q1 FY25 for PB Fintech up against Rs 439 crore in Q4 FY24.
The addition of expenses on finance, advertisement promotion, and the framework of the network, as well as other overheads, made the total amount of costs become Rs 1,081 crore in Q1 FY25 compared to Rs 1,114 crore in Q4 FY24. The company spent Rs 1.07 to get Rs 1 in Q1 FY25 on the unit level.
PB Fintech’s adjusted EBITDA was Rs 136 crore in Q1 FY25 up against adjusted EBITDA loss of Rs 30 crore in Q1 FY24.
Notably, on August 6th, PB Fintech’s shares closed at a price of Rs 1,425 with total market cap of Rs 64,984 crore, or $7.2 billion.
