 "Bajaj Finserv")
Bajaj Finserv Ltd (BFL) on Wednesday reported over four-fold jump in its consolidated net profit to Rs 979 crore for the fourth quarter ended in March 2021, driven by its insurance business.
The company had posted a net profit of Rs 194 crore during the corresponding January-March period of 2019-20.
The total consolidated income during the March 2021 quarter increased to Rs 15,387 crore as against Rs 13,294 crore in the corresponding period of the previous financial year, BFL said in a regulatory filing.
The board has recommended a dividend of 3 per share or 60 per cent on the face value of Rs 5 per unit.
The profit after tax in 2020-21 rose to Rs 4,470 crore from Rs 3,369 crore in the year-ago period, it said.
The company's consolidated total income was at a record of Rs 60,591 crore in 2020-21 compared to Rs 54,351 crore in 2019-20.
The company's subsidiary Bajaj Allianz General Insurance Company recorded an all-time high annual profit and continued to deliver robust improvement in its underwriting result, it said.
During the year, the general insurance arm posted a profit of Rs 1,330 crore as against Rs 999 crore in the previous fiscal.
Similarly, life insurance arm registered an all-time high annual gross written premium in FY21 at Rs 12,025 crore. Its Assets Under Management reached an all-time high level of Rs 73,773 crore at year end, it said.
"As a result, Bajaj Finserv had satisfactory profit growth on a consolidated basis, in an extremely demanding year," it said.
It is difficult to predict how long this second wave will last and with what intensity; and when will it subside to manageable levels, it said, adding, risk of this is expected to remain elevated in Q1 and Q2 of FY22.
"With strong solvency, well above the required capital supported by healthy liquidity, continued focus on risk and collections, digitised processes and improved cost structures, we are in a better shape than we were last year to face any adverse event," it said.
BFL holds 52.82 per cent in Bajaj Finance Ltd. It also has 74 per cent holding in unlisted subsidiaries, Bajaj Allianz General Insurance Company Ltd and Bajaj Allianz Life Insurance Co Ltd.
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