Bajaj Finance (BAJFINANCE) Q4 23/24 earnings summary

Executive summary

• FY2024 consolidated AUM grew 34% to ₹330,615 crore; PAT rose 26% to ₹14,451 crore, with customer franchise up 21% to 83.64 million.

• 36.2 million loans were booked, and the omnichannel footprint reached 4,145 locations and 198,250+ active distribution points.

• FY2024 also included RBI restrictions on new eCom and Insta EMI Card sanctions and disbursals; corrections were made and a review requested.

Financial highlights

• Consolidated NII increased 29% to ₹29,582 crore; net total income rose 26% to ₹36,258 crore and pre-impairment operating profit grew 28% to ₹23,933 crore.

• Consolidated PBT increased 24% to ₹19,310 crore and PAT 26% to ₹14,451 crore; basic EPS rose 24% to ₹236.89.

• Impairment on financial instruments rose 45% to ₹4,631 crore; operating expenses grew 22% to ₹12,325 crore, with opex/NTI at 34%.

• Standalone PAT increased 23% to ₹12,644 crore; standalone NII grew 29% to ₹26,940 crore and PBT rose 23% to ₹17,053 crore.

Outlook and guidance

• FY2025 outlook was positive, supported by strong FY2024 exit momentum, capital, liquidity and portfolio quality; management expected FY2025 to be at least as good as FY2024.

• Long-range ambition: customer franchise above 150 million, 3% share of payments GMV, 3%-4% of total credit and 4%-5% of retail credit in India.

• Plans include expanding physical presence to 4,400 locations and targeting digital platforms to deliver 25% of business volumes.

• Nine product initiatives include commercial vehicle, affordable mortgages, auto leasing, industrial equipment finance, postpaid, co-lending and EV financing, with launches scheduled across FY2025.