Shares of HDFC Life Insurance Company soared 5% intra-day to hit a new 52-week high of Rs 533 apiece on the BSE on Wednesday.

The stock has surged 9% in past two days after the company reported a strong 47% year on year (YoY) growth in the new business premium at Rs 3,926 in the first quarter of fiscal 2020 (FY20), and is nearing its all-time high level of Rs 547, touched on May 14, 2018 in the intra-day trade.

The insurer posted 12% YoY increase in net profit at Rs 425 crore for the quarter ended June 30, 2019, as against a PAT of Rs 380 crore in the same period a year ago. Its total premium in Q1FY20 grew 29% to Rs 6,536 crore from Rs 5,058 crore clocked in the corresponding period last fiscal.

Absolute value of new business (VNB) doubled YoY to Rs 509 crore led by 67% YoY annualized premium equivalent (APE) growth and 5.5 ppts YoY margin expansion (led by product mix change and operating leverage).

"The shift in product mix and positive play of operating leverage led to VNB margin expanding 550 bps YoY to 29.8%, resulting in 104% YoY growth absolute VNB," analysts at SBICAP Securities said in result review.

The management has guided for strong APE growth in the next 9 months, depicting its confidence of continuing strong growth in the non-par segment in near to medium term. It expects other segments to catch up and product mix to rationalize in coming quarters of FY20, it added.

HDFC Life offers a range of individual and group insurance solutions that meet various customer needs such as protection, pension, savings, investment, annuity and health.