Bajaj Finance Limited has reported a robust financial performance for the second quarter of fiscal year 2026 (Q2 FY26), with significant growth in key metrics and ambitious growth targets.

Financial Highlights

• Consolidated profit after tax increased by 23% year-over-year to ₹4,948.00 crore in Q2 FY26.
• Assets under management (AUM) grew by 24% to ₹462,261.00 crore as of September 30, 2025.
• Net interest income rose by 22% to ₹10,785.00 crore.
• Net total income increased by 20% to ₹13,170.00 crore.

Operational Performance

• The company booked 12.17 million new loans during the quarter, up 26% from Q2 FY25.
• Customer franchise expanded to 110.64 million, a 20% increase year-over-year.
• Loan losses and provisions increased by 19% to ₹2,269.00 crore.

Asset Quality and Capital Adequacy

• Gross NPA ratio stood at 1.24% as of September 30, 2025, compared to 1.06% a year ago.
• Net NPA ratio was 0.60%, up from 0.46% in the previous year.
• Capital adequacy ratio (including Tier-II capital) remained strong at 21.23%, with Tier-I capital at 20.54%.

Segment Performance

Subsidiary Performance

Bajaj Housing Finance Limited

• AUM grew by 24% to ₹126,749.00 crore.
• Profit after tax increased by 18% to ₹643.00 crore in Q2 FY26.

Bajaj Financial Securities Limited

• Assets under finance grew by 40% to ₹7,597.00 crore.
• Profit after tax rose by 27% to ₹47.00 crore.

Future Outlook and Strategy

• Bajaj Finance has provided guidance for sustained 26-28% Assets Under Management (AUM) growth.
• The company is focusing on consumer, SME, and commercial segments for growth.
• Expansion of digital ecosystem through Bajaj Pay, app marketplace, and AI-based credit engines.
• Targets maintaining Return on Assets (RoA) of 3.6-3.8% and Return on Equity (RoE) above 20%.
• Plans a ₹20,000 crore capital infusion over three years.

Management Commentary

Rajeev Jain, Vice Chairman and Managing Director, stated, "We have delivered a good quarter on volume, AUM, Opex, profitability, ROA and ROE. Credit cost remained elevated."

The company's performance reflects its continued focus on growth across various business segments while maintaining asset quality. The significant increase in new loans booked and customer franchise growth indicates strong market demand and effective customer acquisition strategies.

Bajaj Finance's robust capital position, diversified product portfolio, and strategic growth initiatives position it well for sustained growth in the evolving financial services landscape.

Bajaj Finance , one of India's leading non-banking financial companies, has reported robust financial results for the second quarter of the fiscal year. The company's performance showcases significant growth across key financial metrics, reflecting its strong market position and operational efficiency.

Financial Highlights

Strong Growth in Core Metrics

Bajaj Finance demonstrated impressive growth in its core financial metrics during the quarter. The company's net interest income rose to 10,785.00 crore rupees, marking a substantial increase of 22.03% compared to the same period last year. This growth in net interest income indicates the company's ability to effectively manage its interest-earning assets and liabilities.

Profit Surge

The consolidated net profit for the quarter reached 4,875.00 crore rupees, representing a robust year-over-year growth of 21.88%. This significant increase in profitability underscores Bajaj Finance's operational efficiency and its capacity to translate revenue growth into bottom-line results.

Revenue Expansion

Bajaj Finance's revenue for the quarter grew to 20,180.00 crore rupees, up 18.08% from the previous year. This expansion in revenue reflects the company's strong market presence and its ability to capitalize on growth opportunities in the financial services sector.

Operational Performance

The company's operational performance remains strong, with the latest quarterly data showing an EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) of 13,268.10 crore rupees. This represents a 22.88% increase compared to the same quarter in the previous year, indicating improved operational efficiency and profitability.

Asset Quality and Expenses Management

Bajaj Finance has maintained a focus on asset quality while managing its expenses effectively. The company's expenses for the quarter stood at 5,991.70 crore rupees, showing a moderate increase of 20.90% year-over-year. This controlled growth in expenses, coupled with the higher revenue growth, has contributed to the improved profitability.

Conclusion

With its strong financial performance and robust growth across key metrics, Bajaj Finance continues to solidify its position in the Indian financial services sector. The company's ability to grow its net interest income, manage expenses, and increase profitability demonstrates its operational strength in the current fiscal quarter.