Max Financial Services Ltd (Q1 FY27) Earnings Review

Executive Summary Max Financial Services, the holding company of Axis Max Life Insurance, delivered a robust Q1 FY27 performance characterized by high-quality growth, disciplined capital management, and significant margin expansion. Strong momentum across proprietary and partnership channels drove market share gains. Quartr + 1 Key Financial Highlights Value of New Business (VNB): Surged 33% YoY to ₹446 crore, comfortably beating the ₹398 crore street estimate. Quartr VNB Margin: Expanded significantly by 315 bps to 23.2% (vs. 20.1% in Q1FY26), reflecting sustainable profitability and an optimized product mix. Quartr Top-Line Growth: Total Annualised Premium Equivalent (APE) grew 15% YoY to ₹1,922 crore. Retail APE rose 17% to ₹1,810 crore, meeting consensus estimates. Consolidated Profitability: Consolidated Profit After Tax (PAT) increased by 37% YoY to ₹118 crore. Revenue, excluding investment income, grew 18% YoY to ₹7,289 crore. Quartr Axis Max Life Operational Outperformance Market Share Expansion: Individual Adjusted First Year Premium grew by 17% to ₹1,810 crore, outpacing the private industry and driving a 13 bps gain in private market share to 10.1%. Quartr Distribution Channels: Broad-based growth was visible across all channels. Proprietary channel APE increased by 15% (driven by a 27% surge in the online channel), and partnership channels grew by 16% (Axis channel +14%). Strategic Segment Growth: The company saw accelerated growth in key focus areas: Group Credit Life (GCL): +57% YoY Protection and Health: +44% YoY (led by a 57% increase in riders) Annuity Business: +116% YoY.