Bajaj Finserv (BAJAJFINSV) Q2 25/26 earnings summary

Executive summary

• Consolidated total income for Q2 FY26 rose 11% year-over-year to ₹37,403 crore, with profit after tax up 8% to ₹2,244 crore; H1 FY26 profit after tax increased 19% to ₹5,033 crore year-over-year.

• Adjusted profit growth for Q2 FY26, excluding insurance MTM effects, was 12%.

• The group completed rebranding of insurance subsidiaries and is progressing on acquiring Allianz's stake, with regulatory approvals received and completion expected in tranches by October 2026.

• The group continues to expand emerging businesses, including asset management and alternate investments, while maintaining robust performance in core finance and insurance segments.

Financial highlights

• Bajaj Finance AUM grew 24% year-over-year to ₹462,261 crore; profit after tax up 22% to ₹4,876 crore.

• Bajaj General Insurance gross written premium grew 9% to ₹6,413 crore; profit after tax up 5% to ₹517 crore; solvency at 339%.

• Bajaj Life Insurance VNB surged 50% to ₹367 crore; new business margin at 17.1%; solvency at 346%.

• Bajaj Housing Finance AUM up 24% to ₹126,749 crore; profit after tax up 18% to ₹643 crore; GNPA at 0.26%, NNPA at 0.12%.

• Asset management AUM up 77% year-over-year to ₹28,814 crore as of 30 September 2025.

Outlook and guidance

• Management expects Bajaj Life's growth trajectory to accelerate above industry in H2, with GST reforms providing medium-term tailwinds.

• Margin expansion in Bajaj Life is expected to be sustainable, with further cost optimization and product mix improvements planned.

• MSME lending AUM growth expected at 12-13% for FY2026 due to reduced unsecured volumes.

• Cost of funds for Bajaj Finance expected at 7.55%-7.60% for FY2026.

• Continued focus on sustainable, profitable growth and digital transformation across businesses.