Bajaj Finance has showcased impressive financial results for the March quarter, indicating robust growth driven by strong demand for loans. The company’s standalone net profit surged by 16% to reach ₹3,940.4 crore compared to the same quarter last year. This growth reflects the dynamic nature of Bajaj Finance’s operations, which include its subsidiaries, Bajaj Housing Finance and Bajaj Financial Securities.

Strong Loan Growth Drives Profitability

In the latest financial report, Bajaj Finance revealed significant achievements in its operations. The company recorded a 26% increase in assets under management, totaling ₹4,16,661 crore. This impressive rise was fueled by an 36% boost in new loan bookings year-over-year.

• Standalone net profit: ₹3,940 crore (up 16% from ₹3,402 crore)
• Total income: ₹15,808 crore (up from ₹12,764 crore)
• Interest income: ₹13,824 crore (previously ₹11,201 crore)
• Consolidated net profit: ₹4,546 crore (up 19% from ₹3,825 crore)

Optimizing Tax Positions and Shareholder Returns

The company’s proactive approach to its tax strategy also played a role in enhancing its financial standing. Bajaj Finance reassessed its income tax obligations based on favorable legal rulings, leading to a reversal of tax expenses amounting to ₹249 crore. Additionally, the current year’s tax provisions were reduced by ₹99 crore, contributing to an overall tax savings of ₹348 crore for Q4 FY25.

Bajaj Finance’s board has also proposed a final dividend of ₹44 per equity share for the fiscal year 2024-25. Furthermore, they approved the subdivision of each equity share with a face value of ₹2 into two equity shares of Re 1 each. In an exciting move for shareholders, the board also sanctioned the issuance of bonus shares in a 4:1 ratio.

Asset Quality Remains Strong

Despite the rapid growth, Bajaj Finance has maintained a strong asset quality. As of March 31, 2025, the company reported gross non-performing assets (NPAs) at 0.96% and net NPAs at 0.44%. This indicates a stable financial health amidst expanding operations, reassuring investors and stakeholders alike.

In summary, Bajaj Finance’s Q4 results demonstrate not only its strong performance but also its commitment to maintaining a healthy balance sheet while rewarding its shareholders. The strategic maneuvers in tax management and the robust demand for credit affirm the company’s positive trajectory in the financial landscape.