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Bajaj Finserv's consolidated net profit jumped 16.44% to Rs 4756.32 crore on 14.21% increase in total income to Rs 36,596.43 crore in Q4 FY25 over Q4 FY24.

Bajaj Finserv PAT climbs 16% YoY to Rs 4,756 cr in Q4 FY25

30-Apr-2025, 12:07
Profit before tax (PBT) rose 8.61% to Rs 6,002.32 crore in Q4 FY25 as compared with Rs 5,526.54 crore in Q4 FY24.

Bajaj Finserv is the holding company for the various financial services businesses under the Bajaj group. It participates in the financing business through its 51.39% holding in Bajaj Finance (BFL) and in the life, general and health insurance businesses through its 74% holding in two unlisted subsidiaries, Bajaj Allianz General Insurance Company (BAGIC) and Bajaj Allianz Life Insurance Company (BALIC). BFL holds 88.75% stake in Bajaj Housing Finance (BHFL).

Bajaj Finance (BFL) recorded 17% increase in consolidated net profit to Rs 4,480 crore in Q4 FY25 as against Rs 3,825 crore in Q4 FY24. Loan losses and provisions stood to Rs 2,329 crore in the Q4 FY25, up 77.79% YoY. In Q4 FY25, the company made an additional provision of Rs 359 crore on account of the redevelopment of its expected credit loss (ECL) model.

Net total income for the March 2025 quarter rose 23% to Rs 11,917 crore from Rs 9,714 crore posted in corresponding quarter previous quarter.

Gross NPA and Net NPA as on 31 March 2025 stood at 0.96% and 0.44% respectively as against 0.85% and 0.37% as on 31 March 2024. Provisioning coverage ratio on stage 3 assets is 54%.

Assets under Management (AUM) grew 26% to Rs 4,16,661 crore as on 31 March 2025 as against Rs 3,30,615 crore as on 31 March 2024.

Capital adequacy ratio (CRAR) (including Tier-II capital) as on 31 March 2025 stood at 21.93%. The Tier-I capital was at 21.09%.

Bajaj Allianz General Insurance Company Limited (BAGIC) stated that effective from 1 October 2024, as mandated by IRDAI, Gross premium on long-term products are measured on 1/n basis (where 'n' is contract duration) prospectively, hence Q4 and FY2025 are not comparable with prior years.

BAGIC's gross written premium declined 13% to Rs 4,326 crore in Q4 FY25 as compared with Rs 4,962 crore in Q4 FY24. Excluding tender-driven crop and government health insurance premium, BAGIC's gross written premium rose 0.42% to 3,796 crore in Q4 FY25 from 3,780 crore in Q4 FY24. Excluding the change in measurement of gross premium (1/n basis), gross written premium increased 8% to Rs 4,063 crore.

Claim ratio decreased to 62.9% in Q4 FY25 as against 70.3% in Q4 FY24 due to better claims experience.

Profit after tax for Q4 FY25 stood at 363 crore, down 4.47% as compared with Rs 380 crore in Q4 FY24. As on 31 March 2025, solvency ratio was 325%, which is well above the minimum regulatory requirement of 150%.

Assets under Management (AUM), represented by cash and investments as on 31 March 2025 stood at Rs 33,115 crore as compared with Rs 31,196 crore as on 31 March 2024 - an increase of 6%.

Bajaj Allianz Life Insurance Company Limited (BALIC) new business premium for Q4 FY25 stood at Rs 3,789 crore, registering the de-growth of 4.15% as compared with Rs 3,953 crore in Q4 FY24. Renewal premium jumped 29% to Rs 5,448 crore in Q4 FY25 as compared with Rs 4,230 crore in Q4 FY24.

Consequently, gross written premium for Q4 FY25 increased by 13% to Rs 9,237 crore as compared with Rs 8,183 crore in Q4 FY24.

Shareholders' profit after tax tumbled 61.32% to Rs 41 crore during Q4 FY25 as compared with Rs 106 crore in Q4 FY24.

Net value of new business (VNB) jumped 14% YoY to Rs 549 crore in Q4 FY25. Solvency ratio stood at a healthy 359% as on 31 March 2025 as against the minimum regulatory requirement of 150%.

Assets under Management (AUM), represented by total investments stood at 123,734 crore as on 31 March 2025, recording growth of 13% as against Rs 109,829 crore as on 31 March 2024.

Meanwhile, the company's board recommended a dividend of Re 1 per equity share on the Re 1 face value for FY25. The record date has been fixed as Friday, 27 June 2025. The said dividend, if declared, by the shareholders at the ensuing Annual General Meeting, will be credited/dispatched on or before Tuesday, 29 July 2025.

The scrip declined 5.93% to Rs 1,942.45 on the BSE.