Bajaj Finance Q2 FY25 results: Profit up 13% YoY at Rs 4,000 crore; revenue jumps 28%

Bajaj Finance on Tuesday reported a 12.64 per cent year-on-year rise in its consolidated net profit for the second quarter ended on September 2024 (Q2 FY25). During the quarter under review, profit came at Rs 3,999.73 crore as against Rs 3,550.80 crore in the year-ago period.

Revenue from operations surged 27.71 per cent to Rs 17,090.27 crore from Rs 13,381.93 crore in the corresponding period last year.

Bajaj Finance said Q2 FY25 was a mixed quarter as volumes, AUM (asset under management) and operating efficiencies were good but loan losses remained elevated. As a result, profit growth and ROA were muted, it added.

AUM was up 29 per cent at Rs 3,73,924 crore as against Rs 2,90,264 crore as of 30 September 2023. The non-banking financial company delivered AUM growth of Rs 19,732 crore in Q2 FY25.

Deposits book grew by 21 per cent YoY and stood at Rs 66,131 crore in Q2 FY25. Deposits book growth came at Rs 3,357 crore. Deposits contributed to 20 per cent of consolidated borrowings till September.

Net interest income grew by 23 per cent to Rs 8,838 crore in Q2 FY25 as against Rs 7,196 crore in Q2 FY24. Net interest margin has stabilised in during the September 2024 quarter. Net total income grew by 24 per cent (YoY) to Rs 10,946 crore in Q2 FY25.

Employee headcount stood at 59,352 (BFL, BHFL & BFinsec). The company added 4,007 employees in Q2 FY25. Annualised attrition was at 16.4 per cent.

Loan losses and provisions remained elevated in Q2 FY25. "In Q2 FY25, stage 2 assets have reduced by Rs 357 crore and stage 3 assets have increased by Rs 899 crore. Net increase in stage 2 & 3 assets was Rs 542 crore. This increase was across all retail and SME lines of businesses. The company continues to take risk actions by cutting segments and pruning exposures," the NBFC said.

The company's gross non-performing asset (GNPA) and net NPA (NPA) stood at 1.06 per cent and 0.46 per cent, respectively.

The earnings came post-market trading hours today. Earlier in the day, shares of Bajaj Finance settled 1.58 per cent lower at Rs 6,677.40.