Bajaj Housing Finance Limited (BHFL) has reported a robust performance for the second quarter of fiscal year 2026, with significant growth in key financial metrics.

Financial Highlights

• Profit After Tax (PAT): BHFL's profit after tax increased by 18% year-over-year to ₹643.00 crore in Q2 FY26, up from ₹546.00 crore in Q2 FY25.
• Net Interest Income (NII): The company saw a substantial 34% growth in NII, reaching ₹956.00 crore compared to ₹713.00 crore in the same quarter last year.
• Assets Under Management (AUM): AUM grew by 24% to ₹1,26,749.00 crore as of September 30, 2025, from ₹1,02,569.00 crore a year ago.
• Loan Assets: The company's loan assets expanded by 26% to ₹1,13,059.00 crore, up from ₹89,878.00 crore in the previous year.

Key Performance Indicators

Asset Quality and Capital Adequacy

BHFL maintained a strong asset quality with Gross NPA and Net NPA ratios at 0.26% and 0.12% respectively as of September 30, 2025. The provisioning coverage ratio on stage 3 assets stood at approximately 56%.

The company's capital position remained robust, with a capital adequacy ratio (including Tier-II capital) of 26.12% as of September 30, 2025, well above the regulatory requirement.

Operational Efficiency

The company improved its operational efficiency, with the Operating Expenses to Net Total Income ratio decreasing to 19.6% in Q2 FY26 from 20.5% in Q2 FY25.

Credit Ratings

Bajaj Housing Finance continues to enjoy the highest credit ratings, with AAA/Stable for its long-term debt programme and A1+ for its short-term debt programme from CRISIL and India Ratings.

Management Commentary

Atul Jain, Managing Director of Bajaj Housing Finance Limited, stated, "Our strong performance in Q2 FY26 reflects the resilience of our business model and the growing demand in the housing finance sector. The significant growth in our loan assets and profitability underscores our commitment to delivering value to our stakeholders while maintaining robust asset quality."

The company's board of directors approved these unaudited financial results at a meeting held on November 6, 2025. As Bajaj Housing Finance continues to expand its loan portfolio and maintain strong financial metrics, it remains well-positioned in the competitive housing finance market.

Bajaj Housing Finance Limited (BHFL) has successfully raised ₹1,000.09 crore through a private placement of Non-Convertible Debentures (NCDs), as announced on October 13, 2025. This strategic move highlights the company's efforts to strengthen its financial position and support its lending operations.

NCD Issuance Details

The company allotted 100,000 secured redeemable NCDs, each with a face value of ₹100,000. Here are the key details of the issuance:

Interest Payment Schedule

The NCDs offer annual interest payments, structured as follows:

• First interest payment: January 28, 2026
• Second interest payment: January 28, 2027
• Third interest payment and principal repayment: January 28, 2028

Security and Charge

To secure the debentures, BHFL has created a first pari-passu charge on its book debts and loan receivables. The security cover is set to be equivalent to 1.00 times the aggregate outstanding value of the debentures issued under this placement.

Market Impact

This successful NCD issuance demonstrates Bajaj Housing Finance's strong standing in the debt market and its ability to attract institutional investors. The funds raised are likely to bolster the company's lending capabilities and support its growth strategies in the competitive housing finance sector.

The allotment of these NCDs was approved by the Debenture Allotment Committee of Bajaj Housing Finance Limited in a meeting held on October 13, 2025, which lasted from 11:30 AM to 11:45 AM.

Investors and market watchers will be keen to observe how BHFL utilizes these funds to drive its business operations and maintain its competitive edge in the housing finance industry.