PB Fintech is expected to cement its position as India's most influential digital gateway for insurance and credit over the next three years, with analysts projecting a sharp rise in revenue, profitability and product depth as the company transitions from a pure marketplace to a multi-vertical financial and health services ecosystem.
According to a report by Motilal Oswal Financial Services, PB Fintech is on track to deliver a robust FY25–28 revenue, Ebitda and Pat CAGR of 35 per cent, 156 per cent and 56 per cent respectively. The strong trajectory is expected to be driven by deeper monetisation across PolicyBazaar (PLB) and PaisaBazaar (PSB), accelerating renewal income, lower customer acquisition costs and sustained operating leverage.
The brokerage projects adjusted Ebitda margin to expand meaningfully from 2 per cent in FY25 to 13 per cent by FY28. While the stock’s current valuation already factors in PB Fintech’s high growth outlook, Motilal Oswal said the company holds significant long-term optionality across emerging verticals including PB Health and secured credit.
PolicyBazaar And PaisaBazaar To Power Core Growth
PLB, which commands nearly 90 per cent of India’s online insurance distribution, is expected to maintain its dominance as rising financial awareness and digital adoption push demand for protection products. The brokerage expects a 34 per cent premium CAGR over FY25–28, supported by strong consumer trust, instant integration with over 50 insurers and improving persistency.
PSB, the country’s largest independent digital credit marketplace, is expected to rebound from the regulatory-driven slowdown in FY25. Disbursals are projected to grow at a 13 per cent CAGR over FY26–28. The platform’s strong repeat usage, multiple lender partnerships and a 54.8-million user credit score base provide a significant competitive edge.
A major boost is expected from secured credit, where PSB has already facilitated Rs 112 billion in disbursals in H1 FY26. This category is likely to grow at 81 per cent CAGR through FY25–28, substantially increasing customer stickiness.
New Businesses Build PB Fintech’s Multi-vertical Ecosystem
PB Fintech’s emerging verticals, including corporate insurance, UAE operations, POSP, secured credit and PB Health — are scaling rapidly. These new initiatives recorded a 104 per cent CAGR over FY22–25 and are projected to grow at 43 per cent over FY25–28, with most expected to break even by FY28.
PB Health, backed by USD 218 million in external capital and an initial hospital acquisition, is being positioned as a long-term strategic bet. The vertical aims to build a “payvider” model integrating healthcare delivery with insurance and digital infrastructure.
The brokerage noted that rising competition from digital-first insurance platforms and direct insurer channels could temper market share gains. Changes in commission structures post-GST input tax credit withdrawal may also pressure revenue growth.
However, Motilal Oswal said stronger renewal monetisation, rapid digital adoption, and a successful scale-up of emerging verticals could support faster-than-expected margin gains, reinforcing PB Fintech’s long-term leadership in India’s insurance and credit aggregation ecosystem. |
