Bajaj Housing Finance Q3 Results: Strong Profit Growth and AUM Expansion
Bajaj Housing Finance Ltd. announced its financial results for the third quarter of fiscal year 2025 on January 27, 2025. The non-banking financial company (NBFC) reported an impressive 25.4% year-on-year increase in net profit, reaching ₹548 crore, compared to ₹437 crore in the same period last year.
Key Financial Highlights:
Net Interest Income (NII) grew 25.1%, reaching ₹933 crore, up from ₹745.8 crore in Q3 FY24. This increase was driven by robust loan disbursements.
Assets Under Management (AUM) surged 26% year-on-year to ₹5,745 crore, compared to ₹4,714 crore in Q3 FY24. Sequentially, AUM rose from ₹5,497 crore in Q2 FY25.
Profit Before Tax (PBT) and Profit After Tax (PAT) both registered a 25% year-on-year increase.
Strong Asset Quality and Liquidity Position:
Bajaj Housing Finance maintained a healthy asset quality, with its Gross Non-Performing Asset (GNPA) ratio remaining steady at 0.29%, and Net NPA (NNPA) ratio at 0.13%. Additionally, operating efficiency improved, as reflected in the declining OPEX to NIM ratio, which fell to 19.8% in Q3 FY25 from 23.2% in Q3 FY24.
The company’s liquidity buffer stood at ₹2,387 crore, ensuring financial stability. Its liquidity coverage ratio (LCR) was 179%, significantly above the regulatory requirement of 100%.
Capital Adequacy and Business Growth:
Bajaj Housing Finance reported a Capital Adequacy Ratio (CAR) of 27.86%, well above the regulatory minimum of 15%, with Tier-1 capital at 27.36%.
“To cater to mortgage needs of near-prime and affordable customers, a dedicated SBU has been set up. Business has started picking up momentum in line with our expectations,” the company stated.
Stock Market Performance:
Bajaj Housing Finance had a highly successful stock market debut in 2024, listing at over 100% premium to its issue price of ₹70. However, the stock has experienced corrections since its post-listing high of ₹188. On Monday, shares ended 3.4% lower at ₹105.40.
Conclusion:
Bajaj Housing Finance Ltd. has demonstrated strong financial performance, with solid profit growth, AUM expansion, and robust asset quality. Despite recent stock price corrections, the company’s strong capital position and liquidity buffer suggest continued stability and growth potential in the housing finance sector.
Reference from:-https://www.cnbctv18.com/market/bajaj-housing-finance-q3-results-aum-loan-growth-npa-profit-share-price-correction-ipo-19546689.htm