The shares of this insurance company gained up to 8 percent after the company’s net profit and revenue increased by 74 percent and 24 percent YoY, respectively in Q1FY25.
With a market capitalization of Rs 31,687.03 crore, the shares of Go Digit General Insurance Ltd were trading at Rs 345.25 per share, increasing around 3 percent as compared to the previous closing price of Rs 335.20 apiece.
Reason for rise:-
The share of the company has seen positive movement after Go Digit General Insurance Ltd’s revenue decreased by 7 percent on a quarter-on-quarter basis from Rs. 2,256 crores in Q4FY24 to Rs. 2,105 crores in Q1FY25. Further, revenue magnified by 24 percent year on year from Rs 1,701 crores in Q1FY24 to Rs. 2,105 crores in Q1FY25.
Go Digit General Insurance Ltd’s net profit increased by 90 percent on a quarter-on-quarter basis from Rs 53 crores in Q4FY24 to Rs 101 in Q1FY25. Further, on a year-on-year basis also net profit magnified drastically by 74 percent from Rs. 58 crores in Q1FY24 to Rs.101 crores in Q1FY25.
Recent launches & customer base:-
The company has currently launched a total of 74 active products across all its business lines. As of December 31, 2023, the company had about 61,972 partners, including 58,532 POSPs and other agents, and also the company had a distribution center in 24 states and union territories in India.
As of December 31, 2023, Go Digit has 4.3 crore users who have received insurance coverage since the company’s beginning in 2017. Of the 4.3 crore consumers, 2.8 crore were recruited through car insurance, 1.5 crore through health insurance, and 5 lakh through other insurance products.
Ratio analysis:-
The company’s critical ratios show that the return on equity increased from 1.45 percent in FY22-23 to 6.73 percent in FY23-24, while the return on capital employed increased from 2.33 percent to 5.91 percent. The net profit margin (NPM) for fiscal year 23-24 is 2.22 percent.
Shareholding pattern:-
In the company’s recent shareholding pattern, the Promoters of the company own 67.04 percent while Retail shareholders own an 18.42 percent stake in the company and Foreign Institutional Investors own a 6.46 percent stake.
Company profile:-
Go Digit General Insurance Limited is a digital full-stack insurance company. The company leverages technology to provide a range of non-life insurance products such as motor insurance, health insurance, travel insurance, property insurance, marine insurance, and liability insurance.
Written by:- Abhishek Singh
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