Bajaj Finance Q2FY23 net profit up 88% YoY on higher Net Interest Income; AUM grows by 31%

Bajaj Finance reported highest ever consolidated quarterly profit after tax of (PAT) of 2,781 cr in for the quarter ended 30 September 2022 which was up 88 per cent Year-on-Year against 1,481 cr during the corresponding period in FY22. Consolidated assets under management stood at Rs 218,366 cr for the reporting quarter, which was up 31 per cent versus Rs 166,937 cr resported in Q2FY22.

Consolidated Performace Highlights

1) New loans booked during Q2 FY23 grew by 7 per cent to 6.76 million as against 6.33 million in Q2 FY22.

2)  Customer franchise stood at 62.91 million as of 30 September 2022 as compared to 52.80 million as of 30 September 2021, up 19 per cent.

3) The Company's customer franchise grew by 2.61 million in 02 FY23.

4) Assets under management (AUM) grew by 31 per cent to Rs 218,366 per cent as of 30 September 2022 from Rs 166,937 per cent as of 30 September 2021. AUM in 02 FY23 grew by Rs 14,348  cr.

6) Net interest income for Q2 FY23 increased by 31 per cent to Rs 7,001 per cent from Rs 5,337 cr in 02 FY22.

7)  Total operating expenses to net interest income for Q2 FY23 was 35.9 per cent as against 38.1 per cent in Q2 FY22.

8) Loan losses and provisions for Q2 FY23 was Rs 734 cr as against Rs 1,300 cr in Q2 FY22. .The Company holds a management and macro- economic overlay of Rs 1,000 cr as of 30 September 2022.

9) Profit before tax for Q2 FY23 increased by 87 per cent to Rs 3,752 cr from Rs 2,004  cr in Q2 FY22. Profit after tax for Q2 FY23 increased by 88 per cent to Rs 2,781 cr from Rs 1,481 cr in Q2 FY22.

10) Gross NPA and Net NPA as of 30 September 2022 stood at 1.17 per cent and 0.44 per cent respectively, as against 2.45 per cent and 1.10 per cent as of 30 September 2021. The Company has provisioning coverage ratio of 62 per cent on stage 3 assets and 120 bps on stage 1 and 2 assets as of 30 September 2022.    

11) Capital Adequacy Ratio stood at 25.13 per cent as of 30 September 2022. 

Bajaj FInance shares tody ended at Rs 7,404, up by Rs 23.60 or 0.32 per cent from the previous closing price on Wednesday.