Bajaj Finance Q4 Results: Profit Jumps 30% On Higher Core Income

Consumer financier Bajaj Finance Ltd. saw its consolidated net profit rise in the January-March quarter on account of higher core income from loans and lower provisions against bad loans.

The lender's net profit surged 30.5% year-on-year in the fourth quarter to Rs 3,158 crore. Its net interest income, on a consolidated basis, stood at Rs 7,771 crore, up 28% year-on-year from Rs 6,061 crore over the same period in FY22.

Bajaj Finance's asset quality also saw an improvement with the lender's gross non-performing asset ratio improving 20 basis points to 0.94%. Similarly, the firm's net non-performing assets ratio also improved from 0.41% to 0.34%.

The lender's loan losses and provisions for FY23 stood at Rs 3,190 crore, down from Rs 4,803 crore in FY22. The company has also maintained a management and macroeconomic overlay provision of Rs 960 crore, as of March 31, 2023.

Consolidated assets under management for Bajaj Finance improved 29% from the previous year to Rs 2.47 lakh crore. The lender's deposit book also grew 45% year-on-year and stood at Rs 44,666 crore, as of March 31.

Its Stage-3 assets stood at Rs 2,313 crore, down 26% year-on-year from Rs 3,133 crore over the same period in fiscal 2022.