Bajaj Finance Ltd on Tuesday reported 14% year-on-year (YoY) growth in its consolidated net profit at Rs 3,912 crore for the first quarter ended June 2024. The profit was slightly below the Street estimate of Rs 3,947 crore.
Net interest income (NII) for the reporting quarter advanced 25% YoY to Rs 8,365 crore from Rs 6,717 crore in the same quarter of last year.
Pre-provisioning operating profit for the first quarter jumped 25% YoY to Rs 6,947 crore in the first quarter, compared with Rs 5,543 crore in the previous year’s quarter.
The loan losses and provisions for the April-June 2024 period increased to Rs 1,685 crore against to Rs 995 crore in the corresponding period of the previous year.
The net total income increased 24% YoY to Rs 10,418 crore in the reporting quarter.
During the first quarter, the number of new loans booked grew by 10% to 10.97 million against 9.94 million a year ago. The company said it resumed sanction and disbursal of loans under ‘eCOM’ and ‘lnsta EMI Card’ and issuance of EMI cards after the RBI removed the restrictions on these businesses earlier in May this year.
Customer franchise stood at 88.11 million, at the end of the June 2024 quarter compared to 72.98 million as of June 2023, showing a growth of 21%. The company’s customer franchise grew by 4.47 million in Q1 FY25.
Coming to asset quality, the gross NPA (non-performing asset) and net NPA ratios stood at 0.86% and 0.38%, respectively at the end of the June quarter. The same was 0.87% and 0.31 % at the end of last year’s quarter.
The company has a provisioning coverage ratio of 56% on stage 3 assets. The capital adequacy ratio (including Tier-II capital) was 21.65% and the Tier-I capital was 20.73%.
Assets under management (AUM) during the first quarter grew by 31% year-on-year to Rs 3.54 lakh crore from Rs 2.7 lakh crore in the last year quarter.
