Bajaj Finserv (BFS) reported a 44 per cent increase in consolidated net profit to ₹1,215 crore in the first quarter of FY20-21 (April-June) as against ₹845 crore in the year-ago period.

BFS is the holding company for the various financial services businesses under the Bajaj Group.

The core investment company participates in financing business through its 52.82 per cent holding in Bajaj Finance Ltd (BFL) and in protection business through its 74 per cent holding in two unlisted subsidiaries — Bajaj Allianz General Insurance Company (BAGIC) and Bajaj Allianz Life Insurance Company (BALIC).

BFS’ consolidated total income rose 16 per cent to ₹14,192 crore (₹12,272 crore in the year-ago quarter). The total expense was up 16 per cent to ₹11,624 crore (₹10,017 crore).

Bajaj Finance

BFL’s consolidated net profit, including the results of wholly owned subsidiaries Bajaj Housing Finance and Bajaj Financial Securities, in the first quarter declined 19.5 per cent year-on-year to ₹962 crore (₹1,195 crore in the year-ago period).

Additional contingency provision of ₹1,450 crore for Covid-19 during the reporting quarter weighed on the non-banking financial company’s bottom-line.

BAGIC

The general insurer’s net profit was up 88 per cent to ₹395 crore in Q1FY21 against ₹210 crore in Q1 FY20.

The bottom-line was supported by a jump in underwriting profit at ₹175 crore (₹9 crore in Q1FY20) and an increase in investment and other income at ₹352 crore ( ₹310 crore).

The gross written premium was down 19.5 per cent at ₹2,289 crore (₹2,843 crore); claim ratio reduced to 68.1 per cent (72.8 per cent).

BALIC

The life insurer’s net profit soared 110 per cent to ₹130 crore in Q1FY21 against ₹62 crore in Q1FY20.

New business premium was down 27 per cent at ₹742 crore (₹1,014 crore); renewal premium increased 16 per cent to ₹958 crore (₹823 crore).

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