Bajaj Finance shares jump over 7% post Q4 earnings

Bajaj Finance Limited, a subsidiary of Bajaj Finserv, is an Indian non-banking financial company (NBFC). The company deals in consumer finance, SME (small and medium-sized enterprises) and commercial lending, and wealth management.

Shares of Bajaj Finance gained over 7 percent on Wednesday after the company reported a 42 percent. While the jump in consolidated net profit for the fourth quarter of the fiscal ended March 2021. It jumped 7 percent to Rs. 5,215.20 on the BSE. At the NSE, it gained 7.19 percent to Rs. 5,215.

Moreover, Bajaj Finance Ltd (BFL) on Tuesday reported a 42 percent jump in consolidated net profit at Rs. 1,347 crore for the fourth quarter of the fiscal ended March 2021. The company’s net profit stood at Rs. 948 crore in the January-March period of the preceding fiscal year 2019-20.

The centralized figures of BFL include results of wholly-owned subsidiaries Bajaj Housing Finance Ltd (BHFL) and Bajaj Financial Securities Ltd (BFinsec). While net interest income during the quarter also dipped 1 percent to Rs. 4,659 crore, from Rs. 4,684 crore in Q4 FY20, it said.

Total income fell by 5 percent to Rs. 6,855 crore, from Rs. 7,231 crore earlier. For the full year 2020-21, net profit dropped 16 percent to Rs. 4,420 crore, as against Rs. 5,264 crore in 2019-20. Total income during the year, however, rose 1 percent to Rs. 26,683 crore as against Rs. 26,385 crore.

While the non-bank lender’s net interest income in the quarter fell 4 percent on-year to Rs. 4,287 crore. Which was higher than analysts estimate of Rs. 4,182 crore. The non-bank finance company’s board also declared a dividend of Rs. 10 per share.

The NBFC’s assets under management in the quarter stood at Rs. 1.15 lakh crore as against Rs. 1.16 crore in the year-ago quarter. The non-bank lender’s loan-loss provisions in the quarter fell to Rs. 1,201 crore from Rs. 1,865 crore in the year-ago quarter.