Go Digit General Insurance has reported a strong financial performance for the first quarter of the fiscal year 2026, with a significant increase in profitability and robust growth in key business segments.

Profit Surge and Tax Implications

The company's profit before tax (PBT) for the quarter ended June 30, 2025, stood at INR 161.00 crores, marking a substantial 59% increase from INR 101.00 crores in the same period last year. This impressive growth in profitability comes as Go Digit prepares to pay taxes for the first time, with an estimated tax rate of 13.9% for the full year. After accounting for taxes, the profit after tax (PAT) for Q1 FY26 is reported at INR 138.00 crores.

Premium Growth and Business Mix

Go Digit's gross written premium (GWP) grew by 12.1% year-on-year, or 14.5% when excluding the impact of certain accounting adjustments. The company demonstrated particularly strong growth in its property business, which expanded by 40% compared to the industry's 17% growth.

The company's business mix saw some shifts, with motor insurance now accounting for a larger share. Within the motor segment, the mix stands at:

The increase in two-wheeler business has contributed to higher commission expenses but is viewed as profitable by the management.

Underwriting Performance and Retention

The company's net retention ratio declined to 65.4% from 76.2% in the previous year, primarily due to increased cessions in the fire business and strong growth in the two-wheeler segment. Despite this, the loss ratio showed a slight improvement, decreasing to 70.3% from 70.5% in the previous year.

Financial Position and Investments

Go Digit's financial position strengthened during the quarter, with assets under management (AUM) increasing significantly to INR 20,861.00 crores, up by approximately INR 3,100.00 crores year-on-year. The company's net worth rose to INR 4,173.00 crores from INR 4,033.00 crores in March 2025, while maintaining a robust solvency ratio of 227%.

Customer Base and Distribution

The insurer's customer base expanded to 7.1 crore, reflecting its growing market presence. The company continues to focus on expanding its distribution network and improving its digital capabilities to enhance customer reach and service.

Go Digit's strong performance in Q1 FY26 demonstrates its ability to navigate the competitive insurance landscape while maintaining profitability and growth. The company's strategic focus on diversification, risk management, and customer expansion continues to drive its success in the Indian general insurance market.

Go Digit General Insurance Limited , a leading digital-first general insurance company, has reported a strong financial performance for the quarter, with significant growth in both profitability and premium income.

Robust Profit Growth

The company's profit after tax for the quarter jumped by 36.6% to ₹138.00 crore, compared to ₹101.00 crore in the same period last year. This substantial increase in profitability underscores the company's efficient operations and strategic growth initiatives.

Steady Revenue Expansion

Go Digit's Gross Written Premium (GWP) for the quarter stood at ₹2,982.00 crore, marking a 12.1% increase from ₹2,660.00 crore in the corresponding quarter of the previous year.

Key Financial Highlights

Management Changes

The company announced the resignation of Mr. Atul Mehta, Country Head – Retail Geographies & Key Partnerships, effective August 11. Mr. Mehta cited personal considerations for his departure.

Regulatory Compliance

Go Digit reported that its expenses relating to insurance business exceeded regulatory limits for the quarter. The company has sought forbearance from the Insurance Regulatory and Development Authority of India (IRDAI) regarding this matter.

Future Outlook

Despite the strong financial performance, Go Digit faces challenges in managing its expense ratios within regulatory limits. The company's ability to address these concerns while maintaining its growth trajectory will be crucial for its future success in the competitive insurance market.

As Go Digit continues to navigate the evolving insurance landscape, investors and stakeholders will be closely watching how the company balances its growth strategies with regulatory compliance and operational efficiency.