FY26 VNB Margin Guidance of 24-25%
Management expressed reasonable confidence to maintain margin guidance of 24-25% for FY26 while continuing to invest in distribution channels, building on the 20.1% Q1 margin.
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AP-AIF Delta to Narrow to 2-4%
The delta between Annual Premium Equivalent and Adjusted Individual First-year Premium will plateau at 2-4% going forward from the current higher differential caused by ULIP moderation in online channel.
Full-year APE growth target: 15-17%
Management maintained FY26 growth guidance despite GST headwinds, citing strong momentum across channels and product segments. H1 performance at 15% growth provides confidence in achieving full-year target.
VNB margin guidance: 24-25% for FY26
Despite ~300-350bps GST impact, management committed to maintaining margin guidance through product mix optimization (protection/annuity shift), distributor renegotiations, and cost controls. Product mix contributes 60-70% of margin improvement.
Operating RoEV target: 18-19%
Management targets operating return on embedded value in the 18-19% range over the next 2-3 years, acknowledging that as EV base grows, VNB as percentage of opening EV will normalize.
AXIS Bank H2 recovery expected
Management expressed confidence in significantly better H2 growth from AXIS Bank channel (Q2 at 7%) citing product mix correction completion, digital initiatives, and transformation projects in progress.
FY26 VNB Margin Target: 24-25%
Management reaffirmed full-year guidance, expecting Q4 margins to sustain around current 24.1% levels. Full mitigation of ~350bps GST impact expected over next few quarters.
Sales Momentum Upside to Earlier Guidance
With 20% individual adjusted growth in 9M and Q3 acceleration to 30%, management indicated upward revision to sales growth guidance is possible given current trajectory.
Amalgamation Timeline: 12-14 Months from Filing
Post-IRDAI regulatory framework issuance and scheme filing, the merger of Access Max Life with MFSL is expected to complete within 12-14 months.
January 2026 Sales Update: +29% YoY
Early Q4 indicator shows continued strong momentum with 29% company-level growth in January, with equal contribution from proprietary and partnership channels.