Bajaj Finance released its second-quarter results on Tuesday, revealing a substantial increase in net profit of approximately 28 percent. However, the performance fell slightly short of expectations due to elevated provisions for non-performing loans.
For the September quarter (Q2FY24), the company reported a net profit of nearly 28 percent growth, amounting to Rs 3,551 crore. It's worth mentioning that the consolidated figures encompass the activities of Bajaj Finance's subsidiaries, namely Bajaj Housing Finance and Bajaj Financial Securities.
During the second quarter, there was a significant rise in loan losses and provisions, surging by nearly 47 percent compared to the previous year, totaling Rs 1,077 crore. This marked a substantial increase from the Rs 734 crore reported in the corresponding period of the previous year and even exceeded the Rs 995 crore reported in the preceding quarter spanning from April to June.
In an earlier update earlier this month, Bajaj Finance revealed that new loan bookings for the quarter had experienced a 26 percent year-on-year increase, and its deposit book had expanded by 39 percent. Furthermore, the company welcomed 3.58 million new customers during the period.
The net interest income, which represents the variation between interest earnings from loans and interest paid on deposits, surged by over 26 percent to reach Rs 8,845 crore in the September quarter, with interest income registering an almost 38 percent increase.
By the conclusion of Tuesday's trading session, Bajaj Finance's shares had climbed nearly 0.8 percent to Rs 8,097.50 each.
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