Synopsis:
Shares of Star Well being and Allied Insurance coverage fell as much as 7% after Q2 outcomes confirmed web premium up 22.4% QoQ to ₹4,233.38 crore, whereas web revenue plunged 79% to ₹54.9 crore.
The shares of the Mid-cap firm specializing in medical health insurance, providing a wide range of specialised plans for various wants, in addition to private accident and abroad journey insurance coverage, declined by upto 7 p.c following their Q2 outcomes with a 79 p.c decline in revenue QoQ.
With a market capitalization of 27,338.44 Crores on Wednesday, the shares of Star Well being and Allied Insurance coverage Firm Ltd declined by upto 6.5 p.c, reaching a low of Rs. 462.20 in comparison with its earlier shut of Rs. 494.85.
What Occurred
Star Well being and Allied Insurance coverage Firm Ltd, engaged in medical health insurance, providing a wide range of specialised plans for various wants, in addition to private accident and abroad journey insurance coverage, has introduced its Q2 outcomes as follows:
Its Internet premium written rose by 6.4 p.c YoY from Rs. 3,975.03 Crores in Q2FY25 to Rs. 4,233.38 Crores in Q2FY26, and it rose by 22.4 p.c QoQ from Rs. 3,457.40 Crores in Q1FY26 to Rs. 4,233.38 Crores in Q2FY26.
Its Internet Revenue YoY declined by 51 p.c from Rs. 111 Crores in Q2FY25 to Rs. 54.9 Crores in Q2FY26, and it declined by 79 p.c QoQ from Rs. 263 Crores in Q1FY26 to Rs. 54.9 Crores in Q2FY26. The earnings per share (EPS) for the quarterly interval stood at Rs. 0.93, in comparison with Rs. 4.47 within the earlier quarter.
The corporate is nearly debt-free with a low debt-to-equity ratio of 0.06. It has delivered a robust revenue development of 18.6 p.c CAGR during the last 5 years. The ROCE of 12.0 p.c and ROE of 9.37 p.c point out respectable returns and environment friendly use of capital.
Firm Overview & Others
Star Well being and Allied Insurance coverage Firm Ltd. is an Indian medical health insurance supplier, based in 2006 and headquartered in Chennai. As India’s first standalone Well being Insurance coverage supplier. In the present day, with over 14,000 Community Hospitals, 850+ department places of work unfold throughout the nation, over 6.80 lakh brokers, and over Rs. 30,300 crore in paid claims.
It provides a variety of merchandise, together with well being, private accident, and journey insurance coverage, and has a big community of hospitals and brokers. The corporate focuses on customer-centric companies, together with cashless remedy choices, devoted claims help, and revolutionary insurance policies tailor-made to particular well being wants.
The corporate has regular efficiency within the retail well being market, with a 33% market share in FY24 and FY25, and 32% in H1FY25 and H1FY26, indicating secure management within the retail section.
The GWP (Gross working premium) contribution is dominated by the Company channel at 82.7%, adopted by Digital at 8.7%, Banca at 7.1%, and Company at 1.5%, displaying robust reliance on the company community.
In FY25, the expense ratio rose barely to 30.8% from 30.2% in FY24, whereas the claims ratio elevated notably from 66.5% to 70.3%. Because of this, the mixed ratio moved up from 97.3% in FY24 to 101.1% in FY25, indicating increased total prices and claims affect.
Written by Sridhar J
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