Bajaj Housing Finance, a non-banking financial company (NBFC), reported a 21% year-on-year increase in net profit for the second quarter of FY25 (Q2FY25), reaching ₹546 crore, up from ₹451 crore in Q2FY24. This marks the company’s first quarterly earnings report since its equity capital market listing in September 2024.
Total income for the quarter grew by 18% year-on-year to ₹897 crore, while net interest income (NII) rose 13% to ₹713 crore. However, the net interest margin (NIM) decreased to 4.1% from 4.4% in the previous year.
Company expenses climbed 10% to ₹184 crore, and provisions significantly fell by 72% year-on-year to ₹5 crore, down from ₹18 crore last year. The cost of funds also increased to 7.92% from 7.64% in Q2FY24.
In Q2FY25, disbursements reached an all-time high of ₹12,014 crore, driven by several notable transactions in the commercial sector.
The company’s asset quality saw a slight decline, with gross non-performing assets (GNPA) increasing marginally to 0.29% in Q2FY25, up from 0.28% in Q1FY25. The net NPA rose to 0.12% from 0.11%.
As of September 30, 2024, the capital adequacy ratio for the NBFC was 28.98%, compared to 22.64% a year earlier. The Assets Under Management (AUM) stood at ₹1.03 trillion, reflecting a 26% increase from ₹70,954 crore the previous year.
