Bajaj Finserv Q1FY24 net profit grows 24% to Rs 1,929 cr
Mumbai: NBFC Bajaj Finserv posted a consolidated net profit of Rs 1,929 crore, marking a 24% increase compared to the previous year's earnings of Rs 1,557 crore.
The company's revenue from operations also demonstrated substantial growth, surging by 25% to reach Rs 26,023 crore, as opposed to the previous year's Rs 20,803 crore.
In the second quarter, Bajaj Finance, wherein Bajaj Finserv holds a substantial 52.4% stake, delivered an impressive 28% growth in its consolidated net profit, amounting to Rs 3,551 crore.
This notable performance was attributed to robust growth in assets under management (AUM), increased net interest income, and improved asset performance. As of September 30, 2023, Bajaj Finance's AUM reached Rs 2.9 lakh crore, reflecting a substantial 33% increase, including an AUM of Rs 81,215 crore from BHFL.
Bajaj Allianz General Insurance, the general insurance subsidiary, reported a remarkable 39% growth in net profit for the September 2023 quarter, totalling Rs 468 crore. The gross written premium for the quarter witnessed a substantial 53% rise, reaching Rs 7,298 crore.
Excluding tender-driven crop and government health insurance premiums, Bajaj Allianz's gross written premium increased by 21%, amounting to Rs 3,747 crore. The net premium earned during this period was Rs 2,250 crore, a notable increase from Rs 1,852 crore the previous year.
The claim ratio experienced a slight increase to 78% in the second quarter, primarily due to a higher mix of crop and government health business and increased claims arising from heavy rains and cyclone-related incidents.
In a turnaround, the underwriting profit for the quarter amounted to Rs 37 crore, compared to a loss of Rs 18 crore in the second quarter.
Bajaj Allianz Life Insurance achieved a 21% growth in profit after tax during the second quarter, reaching Rs 193 crore. The gross written premium for the same period increased by 28% to Rs 5,338 crore.
The New Business Value (NBV), a key metric for measuring the profitability of the life insurance business, surged by 25% to Rs 237 crore in the second quarter.
Notably, the solvency ratio remained robust at 466% as of September 30, 2023, well above the minimum regulatory requirement of 150%. On Friday, Bajaj Finserv shares were trading at a 1.56% higher value of Rs 1,584.30 on NSE.
IBNS
Senior Staff Reporter at Northeast Herald, covering news from Tripura and Northeast India.
Related Articles
CRR cut, AI ethics push, and SORR benchmark: Experts hail RBI’s pragmatic policy moves
Mumbai: The Reserve Bank of India (RBI) has kept the repo rate unchanged at 6.5% while the cash reserve ratio (CRR) has been slashed by 50 basis points to 4 percent, media reports said.
JP Morgan gives 'overweight' rating to Adani Group bonds
Mumbai: US investment bank JP Morgan has assigned an 'overweight' rating to four bonds issued by the Adani Group, citing the group's capacity to scale and grow through internal cash flows, which reduces the likelihood of credit stress.
LG Electronics files DRPH with SEBI; IPO size expected to be over RS 15,000 cr
Mumbai: South Korean electronics giant LG Electronics has filed a draft red herring prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) on Friday for the proposed public listing of its Indian business, according to a notification on the Bombay Stock Exchange (BSE).
De-dollarisation not on India's agenda; derisking domestic trade is: RBI Governor Shaktikanta Das
Mumbai: India has not initiated any steps towards de-dollarisation and is solely focused on mitigating risks to domestic trade from geopolitical uncertainties, Reserve Bank of India (RBI) Governor Shaktikanta Das clarified on Friday, media reports said.
Latest News
Shoaib Akhtar slams PCB after Asia Cup 2025 final loss, calls it ‘senseless and headless chicken’
PM Modi releases ₹100 coin, says first-ever Bharat Mata image carved on currency
Six inmates escape Tripura jail after injuring guard with sharp weapons
Centre clears 3% DA hike for govt staff, pensioners ahead of festive season
