Money & Banking

Bajaj Finserv profit zooms 71% at ₹1,204 crore in Q2

Our Bureau Mumbai | Updated on October 22, 2019

Bajaj Finance posts the highest-ever quarterly net profit of ₹1,506 crore

Bajaj Finserv Limited (BFS), the holding company for the various financial services businesses under the Bajaj Group, reported a 71 per cent jump in consolidated net profit at ₹1,204 crore in the second quarter ended September 30, 2019, against ₹704 crore in the year-ago quarter. BFS participates in the financing business through its 54.81 per cent holding in Bajaj Finance Ltd (BFL) and in the protection business through its 74 per cent holding in two unlisted subsidiaries, Bajaj Allianz General Insurance Company Ltd (BAGIC) and Bajaj Allianz Life Insurance Company Ltd (BALIC). BFS’ consolidated total income rose 47 per cent to ₹14,224 crore (₹9,698 crore in the year-ago quarter). Total expenses were up 47 per cent to ₹11,597 crore (₹7,888 crore).

Bajaj Finance

BFL recorded its highest-ever quarterly consolidated net profit of ₹1,506 crore, against ₹923 crore in the year-ago period, recording a 63 per cent jump.

The non-banking finance company’s assets under management (AUM), including Bajaj Housing Finance Ltd’s ₹25,714-crore AUM, were up 38 per cent year-on-year (y-o-y) to stand at ₹1,35,533 crore as on September 30, 2019.

To support the growth of the business over the next few years, the board of directors of BFL approved, subject to shareholders’ approval, the raising of capital through a Qualified Institutional Placement (QIP) for an amount up to ₹8,500 crore by issue of equity shares and/or eligible securities in accordance with applicable SEBI regulations and other laws.

BAGIC’s net profit soared 62 per cent to ₹294 crore, against ₹192 crore in the year-ago period. Gross written premium in the reporting quarter increased by 57 per cent to ₹4,279 crore, against ₹2,718 crore.

Life insurance

BALIC shareholders’ profit after tax was up 57 per cent to ₹207 crore, against ₹132 crore in the year-ago period. Gross written premium increased by 7 per cent to ₹2,235 crore in Q2 FY20 versus ₹2,083 crore in Q2 FY19.

Published on October 22, 2019

Follow us on Telegram, Facebook, Twitter, Instagram, YouTube and Linkedin. You can also download our Android App or IOS App.

This article is closed for comments.
Please Email the Editor