Bajaj Finance Q4 Results Preview: Net profit likely to jump 19%, NIM may remain in double digits
Bajaj Finance Q4 FY24 Results Preview: Bajaj Finance (BAJFINANCE) is expected to clock 18.8 per cent year-on-year growth in consolidated net profit to Rs 3,750 crore for the January-March period, according to Zee Business research. The Pune-based NBFC is scheduled to report its financial results on April 25.
Bajaj Finance Q4 FY24 Results Preview, Bajaj Finance (BAJFINANCE) Q4 Earnings Date: Pune-headquartered Bajaj Finance is all set to report its financial results for the quarter as well as the year ended March 31 on Thursday, April 25. Analysts expect the non-banking financial company (NBFC) to stage a strong quarterly performance with robust growth across segments.
According to Zee Business research, Bajaj Finance is likely to register a consolidated net profit of Rs 3,750 crore for the January-March period, which translates into an increase of 18.8 per cent compared with the corresponding quarter a year ago. The analysts expect the financier's quarterly net interest income (NII), or the difference between the interest earned and the interest paid, to grow 28 per cent to Rs 8,000 crore.
The NBFC's fourth-quarter net interest margin, a key measure of profitability for financial institutions, is estimated to be in the range of 10-10.2 per cent as against 10.15 per cent three months ago, according to the research.
The analysts also expect Bajaj Finance to stage a slight improvement in its asset quality.
Zee Business analysts peg Bajaj Finance's gross non-performing assets (GNPAs) as a percentage of total loans at 0.9 per cent in the March quarter as against 0.95 per cent in the previous three months. They estimate the NBFC's net non-performing assets (NNPAs) at 0.35 per cent in the March quarter, lower by two basis points (bps) sequentially.
According to the research, Bajaj Finance's cost of funds is estimated to increase by 10-15 bps on a year-on-year basis.
Bajaj Finance Q4 update
In a business update, Bajaj Finance said its deposits grew 35 per cent while assets under management (AUM) increased 34 per cent in the March quarter. ~ Good
The number of new loans went up four per cent, according to the NBFC.
How Bajaj Finance fared in Q3
For the quarter ended December 31, Bajaj Finance clocked a 22.4 per cent jump in net profit to Rs 3,639 crore with 29.3 per cent growth in NII to Rs 7,655.3 crore.
Its NIM third-quarter came in at 10.15 per cent as against 10.26 per cent three months ago, according to a regulatory filing.
Bajaj Finance shares: Past performance
As of April 22, Bajaj Finance shares have gained 22 per cent in a year, underperforming a 26 per cent rally in the headline Nifty50 index.
The stock finished the March quarter 1.2 per cent weaker, again underperforming a 2.7 per cent rise in the headline index.
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