Bajaj Finance’s managed assets grow 26.5 per cent in September quarter
Bajaj Finance reported 26.5 per cent annual growth in assets under management for the September quarter. New loans rose 11 per cent to 13.45 million, while its customer base reached 128.85 million. The operating update also disclosed deposits; the profit, interest-income and bad-loan figures given as background belong to the earlier June quarter.
Economics & Markets··Morning
Assets and customers expand in the September quarter
Bajaj Finance, a Pune-based Indian finance company, disclosed its September-quarter operating update in an exchange filing on 3 October. Assets under management reached 5.85 lakh crore rupees, an annual increase of 26.5 per cent. Its customer base stood at 128.85 million and new loans booked during the quarter reached 13.45 million. The update also put the deposit book at 69,750 crore rupees at September’s end.[1], [2]
The comparable year-earlier managed-asset amount was 4.62 lakh crore rupees, while the customer base had been 110.64 million. New loans increased 11 per cent from 12.17 million in the same quarter last year. In India’s numbering system, a crore means ten million and a lakh means one hundred thousand. The amounts in the filing use that numbering convention for the company’s managed assets and deposits.[1]
June interest income and profit remain the earlier results
For the preceding June quarter, Bajaj Finance recorded net interest income of 12,571 crore rupees, up 23 per cent from the corresponding year-earlier quarter. The CNBC-TV18 poll had projected 13,102 crore rupees. June-quarter net profit was 5,986 crore rupees. These figures describe the first quarter, preceding the September operating disclosure, rather than a newly announced September-quarter profit result.[1]
June bad-loan ratios declined from March
The gross non-performing asset ratio fell from 1.03 per cent in March to 0.96 per cent in June. The net ratio declined from 0.50 per cent to 0.39 per cent over the same comparison. These measures concern loans classified as non-performing, with the gross and net ratios reported separately.[1]
Loan-loss provisions and reserves in June totalled 1,993 crore rupees. That included 296 crore rupees in prudent management and economic provisions; excluding them, the adjusted amount was 1,697 crore rupees. The September filing supplies the later operating totals for assets, customers, new loans and deposits.[1]
The shares had lost 9.60 per cent, or 100.70 rupees, over the preceding 30 days. They stood 19.38 per cent below their 52-week high of 1,176.40 rupees and 20.36 per cent above their 52-week low of 787.90 rupees.[1]
