Shares of Canara HSBC Life Insurance slid 4.71% to ₹138.70 on the NSE after the company announced a 5.5% year‑on‑year rise in Q2 net profit to ₹43.1 crore.
The insurer posted Q2 net profit of ₹43.1 crore, up 5.5% from ₹40.8 crore in the same period last year. Net premium earned rose 13% YoY to ₹2,553.2 crore from ₹2,259.7 crore, beating the consensus of ₹2,400 crore.
On Oct 9 the board approved a ₹287.5 crore subordinated debt issuance, to be raised through private placement in one or more tranches pending regulatory approvals.
Anuj Mathur said the company remains on track for FY27 top‑line growth of 18‑20% and a value‑of‑new‑business (VNB) margin of 22‑23%. Q1 data showed a 24% jump in new business premium and 29% rise in VNB, driven by higher demand for protection products post‑GST.
Despite the earnings beat, the stock fell 4.71% after the announcement, closing at ₹138.70. The market is watching whether the debt raise will dilute earnings and how the company will sustain its growth trajectory.