Bajaj Finserv Q2 results: Net profit rises 7.5% to ₹2,244 crore; AUM advances 24%

Bajaj Finserv Ltd, the diversified financial services company, reported a consolidated net profit of ₹2,244 crore for the quarter ended September 30, 2025, up 7.5% from ₹2,087 crore in the corresponding period last year.

The company’s interest income grew 18% year-on-year to ₹19,599 crore, driven by strong loan growth and continued traction in consumer finance.

The company said it witnessed robust momentum across its portfolio during the festive season, aided by GST reforms and changes in personal income tax. Bajaj Finserv’s overall assets under management (AUM) rose 24% year-on-year to ₹4.62 lakh crore as of September 30, 2025, while it booked 1.22 crore new loans and added 41 lakh new customers during the quarter.

Credit costs remained elevated in the 2- and 3-wheeler and MSME segments. The company said it has reduced unsecured MSME volumes by 25% and expects MSME loan growth of 12–13% in FY26.

Bajaj Housing Finance posted a steady performance with AUM up 24% year-on-year to ₹1.27 lakh crore. Net profit rose 18% to ₹643 crore, while asset quality remained robust, with gross NPAs at 0.26% and net NPAs at 0.12%. Annualized credit cost stood at just 0.18%, the lowest in the industry, the company said.

The broking arm reported AUM growth of 40% to ₹7,597 crore and a 27% jump in net profit to ₹47 crore. The total retail and HNI customer base rose 38% year-on-year to 12 lakh as of September 2025. The life insurance subsidiary, rebranded as Bajaj Life Insurance Limited (Bajaj Life), initiated its “Bajaj Life 2.0” strategy in H2 FY25, focusing on sustainable and profitable growth.

For Q2 FY26, Value of New Business (VNB) surged 50% to ₹367 crore from ₹245 crore a year ago, while New Business Margin (NBM) expanded sharply to 17.1% (19.3% excluding GST) from 10.8% in the previous year. Retail protection business grew 71%, and renewal premiums rose 30%.

However, due to the ₹112 crore GST impact, Bajaj Life’s net profit declined to ₹13 crore, compared with ₹148 crore in the year-ago quarter. The company maintained a healthy solvency ratio of 346%, among the highest in the sector.

Bajaj Finserv shares traded 6.3% lower at ₹1,985 after its earnings announcement.