Max Financial Services Ltd's Q3FY25 Quarter Results
- 05 Feb 2025
Result Summary
- Max Financial Services Ltd reported a 33.3% quarter-on-quarter (QoQ) decrease in its consolidated revenues for the quarter-ended Dec (Q3FY25). On a year-on-year (YoY) basis, it witnessed a decline of 27.8%.
- Its expenses for the quarter were down by 33.1% QoQ and 27.3% YoY.
- The net profit decreased 49.9% QoQ and decreased 59.2% YoY.
- The earnings per share (EPS) of Max Financial Services Ltd stood at 1.6 during Q3FY25.
Financial Statments for Q3FY25
| (₹ crores) | Q3FY25 | Q2FY25 | Q3FY24 | QoQ (%) | YoY (%) |
|---|---|---|---|---|---|
Total Income | 8927.35 | 13376.12 | 12359.19 | -33.3% | -27.8% |
Total Expenses | 8846.62 | 13214.12 | 12161.88 | -33.1% | -27.3% |
Profit Before Tax | 80.74 | 162.10 | 197.97 | -50.2% | -59.2% |
Tax | 10.93 | 22.76 | 26.76 | -52.0% | -59.2% |
Profit After Tax | 69.81 | 139.34 | 171.21 | -49.9% | -59.2% |
Earnings Per Share | 1.60 | 3.30 | 4.30 | -51.5% | -62.8% |
Data Source: BSE, Company announcements The securities quoted are exemplary and are not recommendatory. Past performance is not indicative of future results
Company Overview
Max Financial Services Ltd is a prominent player in the financial services sector, primarily focusing on life insurance through its subsidiary, Max Life Insurance Company Ltd. The company offers a comprehensive suite of life insurance products catering to a diverse customer base, including term plans, savings, and retirement plans. Max Financial Services is part of the larger conglomerate, Max Group, which has interests in insurance, healthcare, and real estate. While specific recent developments are not provided in the current data, the company operates in a competitive and regulated industry subject to macroeconomic changes and policy shifts. Such factors can influence operational and financial performance, affecting income, expenses, and profitability.
Revenue
For the third quarter of the fiscal year 2025 (Q3FY25), Max Financial Services Ltd reported a total income of ₹8927.35 crores, which decreased from ₹13376.12 crores in Q2FY25 and ₹12359.19 crores in Q3FY24. This represents a quarter-over-quarter (QoQ) decline of 33.3% and a year-over-year (YoY) reduction of 27.8%. The company’s revenue performance during this period marks a significant decrease from both the preceding quarter and the same quarter in the previous year. Such results reflect changes in either the volume of business, pricing, or other factors impacting top-line growth.
Profitability
In Q3FY25, Max Financial Services Ltd's profit before tax stood at ₹80.74 crores, down from ₹162.10 crores in Q2FY25 and ₹197.97 crores in Q3FY24. This indicates a decline of 50.2% QoQ and 59.2% YoY. The tax expense for the quarter was ₹10.93 crores, decreasing from ₹22.76 crores in the previous quarter and ₹26.76 crores in the corresponding quarter of the previous year. The profit after tax was ₹69.81 crores, a reduction from ₹139.34 crores in the previous quarter and ₹171.21 crores a year ago, marking a decline of 49.9% QoQ and 59.2% YoY. These figures demonstrate a notable decrease in profitability, reflecting the impact of reduced revenue and potentially other cost factors.
Operating Metrics
The earnings per share (EPS) for Q3FY25 was ₹1.60, compared to ₹3.30 in Q2FY25 and ₹4.30 in Q3FY24. This shows a decline of 51.5% QoQ and 62.8% YoY. Total expenses for the quarter amounted to ₹8846.62 crores, down from ₹13214.12 crores in the previous quarter and ₹12161.88 crores in the same quarter of the previous year, which corresponds to a 33.1% QoQ decrease and a 27.3% YoY decrease. The reduction in expenses aligns with the decrease in total income, indicating adjustments in operational scale or efficiency. The significant changes in these operating metrics highlight the variances in the company’s financial activities over the quarters and year, involving aspects such as operational costs, expense management, and overall business dynamics.
