Bajaj Finance on Tuesday reported a consolidated net profit of Rs 3,550.8 crore for the quarter ended September 30, marking a rise of 27.7 per cent compared with the corresponding period a year ago. 

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The non-banking financial company's consolidated net interest income (NII), or the difference between the interest earned and the interest paid, grew 26.3 per cent on a year-on-year basis to Rs 8,845 crore, according to a regulatory filing. 

According to Zee Business research, Bajaj Finance was estimated to report a consolidated net profit of Rs 3,604 crore and NII of Rs 7,227 crore for the second quarter of the current financial year.

The NBFC's management said it was a good quarter across all financial and portfolio metrics. The consolidated numbers included the businesses of Bajaj Finance subsidiaries Bajaj Housing Finance and Bajaj Financial Securities.

Bajaj Finance its quarterly net interest margin (NIM) saw a compression of 14 basis points compared with the June quarter. NIM is a key measure of profitability for financial institutions. 

The company's asset quality worsened, as reflected in its gross non-performing assets (GNPAs), or gross bad loans, as a percentage of total loans, which increased to 0.91 per cent from 0.87 per cent three months ago, according to the filing. Zee Business analysts had estimated Bajaj Finance's gross bad loans to remain at 0.87 per cent for the September quarter.  

Net non-performing assets (NNPAs), however, remained unchanged sequentially at 0.31 per cent for the quarter under review.

Bajaj Finance's loan losses and provisions increased 46.7 per cent on a year-on-year basis to Rs 1,077 crore. For the financial first quarter, the losses and provisions stood at Rs 995 crore.

In a business update this month, Bajaj Finance posted a 26 per cent jump in new loan bookings and a 39 per cent rise in its deposits book as it added 3.58 million new customers.

Bajaj Finance shares rose by Rs 58.6, or 0.7 per cent, to end at Rs 8,091.4 apiece on BSE ahead of the earnings announcement. 

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Bajaj Finance shares: Past performance

Bajaj Finance shares finished the July-September period 9.1 per cent stronger, outperforming a rise of 2.4 per cent in the headline Nifty index. 

As of October 16, the NBFC stock had risen 10.7 per cent in the past year, underperforming a 14 per cent rise in the blue-chip index.

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