Bajaj Finance witnessed a surge of 4.6%, reaching ₹7,723.95 per share in early trading on Thursday, driven by the positive outcomes of its December quarter update released the day before. The update showcased a robust 26% year-over-year (YoY) growth in loans booked during Q3 of FY24, pushing the total loans booked by the lender to 9.86 million, a substantial increase from 7.84 million in Q3 FY23.
The assets under management (AUM) experienced an impressive 35% YoY growth, surpassing the ₹3 lakh crore milestone and reaching approximately ₹3,11,000 crore in Q3 FY24. During the quarter alone, AUM increased by around ₹20,700 crore.
Motilal Oswal, a domestic brokerage firm, commented on the AUM growth, stating that it indicates strong performance during the festive period and successful utilization of traditional channels for newer customer acquisitions, despite the ban on new customer acquisitions and new loans booked.
In November of the previous year, the Reserve Bank of India (RBI) directed Bajaj Finance to halt sanctioning and disbursing loans under its ‘eCOM’ and ‘Insta EMI Card’ lending products. Nevertheless, the customer franchise for Bajaj Finance witnessed a substantial rise, with the number of customers increasing to 80.41 million in Q3 FY24 from 66.05 million in Q3 FY23. The customer franchise saw a growth of 3.85 million in the December quarter alone.
Bajaj Finance reported a consolidated net liquidity surplus of around ₹11,600 crore as of December 31, 2023, highlighting a robust liquidity position. The deposits book reached approximately ₹58,000 crore in Q3 FY24, reflecting a 35% YoY growth compared to ₹42,984 crore in Q3 FY23.
In the previous quarter ending in September, Bajaj Finance reported a standalone net profit jump of 27.68%, reaching ₹3,551 crore, compared to ₹2,781 crore in the same quarter the previous year. The total revenue from operations for Q2 FY24 amounted to ₹13,378 crore, marking a growth of 34.18% compared to ₹9,970 crore in the corresponding quarter of the previous year.
As of 10:15 AM, the stock was trading with a gain of 3.56% at ₹7,647.95 per share.
