Max Financial Services drops 2% post disappointing Q4 results; net profit plunges 64%

Shares of Max Financial Services Ltd dropped 2 percent in early trade post poor Q4 results. At 10:40 am the Max Financial shares were trading 0.42 percent lower at Rs 654 on NSE.

Max Financial Services Ltd (MFSL) on May 12, 2023, reported a 64 percent decline in consolidated net profit at Rs 52 crore for the last quarter of 2022-23. The company had reported a net profit of Rs 144 crore in the January-March period a year ago. The company registered consolidated revenue of Rs 9,929 crore in the quarter from Rs 8,960 crore in Q4FY23, MFSL said in a regulatory filing.

Total expenses of the firm rose to Rs 9,876 crore as against Rs 8,809 crore a year ago, it said. For the full year FY23, its net profit jumped by 42 percent to Rs 451 crore as against Rs 318 crore in the previous financial year. MSFL owns an 87 percent stake in Max Life Insurance and has collected a total new business premium (individual and group) of Rs 8,960 crore. In addition, the renewal premium income (including group) grew 13 percent to Rs 16,382 crore, taking the gross premium to Rs 25,342 crore, an increase of 13 percent over the previous financial year.

Also read: Colgate Palmolive shares up most in 8 months despite fall in Q4 net profit 

Stock Performance

Max Financial Services Ltd stock has given a return of 34.42 percent over the last 5 years. Thus, underperforming the benchmark Nifty50 index which has given a return of 73.47 percent over the same duration.

Disclaimer: The views and investment tips expressed by experts on Moneycontrol are their own and not those of the website or its management. Moneycontrol advises users to check with certified experts before taking any investment decisions.