 "Bajaj Finance Q3 net profit up 58%")
Bajaj Finance posted a 58 per cent growth in its third-quarter net profit, backed by healthy demand during festive season. For the quarter ended December 2015, the Profit After Tax stood at Rs 408 crore as against Rs 258 crore posted in same quarter last financial year.
Rajeev Jain, managing director, Bajaj Finance, said this has been a strong year for the company.
"Growth was there across four segments of business, including in consumer, SME (small and medium-sized enterprises) commercial, as well as rural. Here, commercial grew the fastest, though the base is low."
Gross non-performing assets (NPAs) and net NPAs as of December 31, 2015, stood at 1.29 per cent and 0.26 per cent, respectively. Jain said that asset quality had been stable, with drops in both gross NPA and net NPA.
The provisioning coverage ratio stood at 80 per cent. The company said that it continues to provide for loan losses in excess of RBI (Reserve Bank of India) requirements. During the quarter, the company sold NPA receivables of Rs 82 crore worth in mortgage business on cash basis.
Net Interest Income was up by 48 per cent to Rs 1,320 crore in Q3 compared to same quarter last financial year.
The company's assets under management (AUM) as of December 31, 2015, was 41 per cent to Rs 43,452 crore from Rs 30,822 crore as of December 31, 2014. Jain said that their housing finance arm which has received the license will begin operations from April 2016.
