Bajaj Finance Limited today reported a record consolidated profit after tax or Rs 2,125 crore–an impressive 85 percent increase year-on-year–and its highest-ever consolidated quarterly core assets under management (AUM) of Rs 14,700 crore for the quarter ended December 31, 2021.
In its quarterly earnings report released on Tuesday, the company also reported a profit before tax at Rs 2,868 crore, up 84% from Rs 1,555 crore in Q3 FY21.
In the report, Bajaj Finance said its consolidated net interest income (NII) increased by 40 percent YoY to Rs 6,000 crore as against Rs 4,296 crore in Q3 FY21. Interest income reversal for the quarter was Rs 241 crore as compared to Rs 450 crore in Q3 FY21, Bajaj Finance added.
The company said it booked 7.44 million loans during third quarter of the ongoing fiscal as against 6.04 million loans booked in the corresponding period the previous fiscal.
According to the report, the company’s gross non-performing assets (NPAs) and Net NPA as of the latest quarter stood at 1.73 percent and 0.78 percent respectively, as against 2.45 percent and 1.10 percent the previous quarter. “The company has provisioning coverage ratio of 56 percent on stage 3 assets and 156 bps on stage 1 and 2 assets as of December 31, 2021,” the company said in the statement.
Further, the company added that its loan losses and provisions for the third quarter stood at Rs 1,051 crore as against Rs 1,352 crore in the corresponding quarter the previous fiscal. “During the quarter, the company has done accelerated write-offs of Rs 163 crore of principal outstanding on account of COVID-19 related stress,” the company said, and added, “The company holds a management and macro-economic overlay of Rs 1,083 crore as of December 31, 2021.”
In its standalone performance report, the company said its AUMs grew 21 percent YoY to Rs 1,32,913 crore, while NII too rose 40 percent YoY to Rs 5,553 crore. The company further reported standalone interest income reversal at Rs 232 crore as compared Rs 456 crore in Q3 FY21.
Further, according to the report, the company’s standalone loan losses and provisions for Q3FY22 stood at Rs 995 crore, down YoY from Rs 1,245 crore. The company’s standalone PAT was Rs 1,934 crore as against Rs 1,049 crore in Q3FY21.
Performance of Subsidiaries
Bajaj Housing Finance Limited (BHFL) reported NII of Rs429 crore, a 30 percent YoY growth, and PAT of Rs 185 crore, which was a healthy 87% YoY increase.
Bajaj Financial Securities Limited (BFinsec) reported a total Income of Rs 38 crore in the latest quarter as against Rs 8 crore in the year-ago period. Its PAT stood at Rs 7 crore in Q3FY22.
Bajaj Finance stated in the report that its board of directors approved an infusion of up to Rs 2,500 crore of equity share capital in BHFL to support its capital needs for the next 24 months, and Rs 400 crore of equity share capital in BFinsec to support its growth plans for the next 24 months.
(Edited by : Vijay Anand)
First Published: IST