Bajaj Finance (BAJFINANCE) Q3 24/25 earnings summary

Executive summary

• Achieved highest-ever year-on-year AUM growth of 28% to ₹398,043 crore, with 12.06 million new loans booked and 5.03 million new customers added in Q3 FY25.

• Customer franchise reached 97.12 million, on track to surpass 100 million by fiscal year-end; Bajaj Finserv App net users at 66.57 million.

• Profit after tax grew 18% year-over-year to ₹4,308 crore; ROA steady and loan losses stabilizing.

• Strategic partnership with Bharti Airtel launched to expand product distribution via digital and physical channels.

• Standalone profit after tax for Q3 FY25 was ₹3,706 crore, up 17% year-over-year; standalone AUM grew 26% to ₹293,370 crore.

Financial highlights

• Net interest income rose 23% year-over-year to ₹9,382 crore; net total income up 26% to ₹11,673 crore in Q3 FY25.

• Pre-provisioning operating profit up 27% to ₹7,805 crore; loan losses and provisions at ₹2,043 crore.

• OpEX to net total income improved to 33.1% from 33.9% a year ago; cost of funds at 7.96%.

• Deposits grew by 19% to ₹68,797 crore; liquidity buffer at ₹13,656 crore.

• Gross NPA at 1.12%, Net NPA at 0.48%; capital adequacy ratio at 21.57% (Tier 1: 20.79%).

Outlook and guidance

• FY25 credit cost expected at 2–2.05% in Q4, trending lower into FY26; full-year target is sub-2% if macro conditions remain stable.

• AUM growth guidance for next fiscal is 25%, with profit growth corridor of 22–23%.

• Long-term guidance: AUM growth 25–27%, profit growth 23–24%, GNPA 1.2–1.4%, NNPA 0.4–0.5%, ROA 4.6–4.8%, ROE 21–23%.

• LRS 2025-29 targets: customer franchise 190–210 million, cross-sell franchise 115–125 million, ROE 20–22%, AUM per cross-sell franchise ₹80–85K by FY29.

• Focus on digital transformation, AI adoption, and green finance (targeting ₹2,000 crore in FY26).