Bajaj Finance Earnings Summary — Q2 FY2027
Bajaj Finance Delivers Strong Q2 FY2027 with 28.7% YoY Consolidated PAT Growth to ₹6,367 Cr and Announces ₹17,500 Cr Capital Raise
Quarterly Business Intelligence
AI Quarterly Scorecard™
Computed deterministically from the last 10 reported quarters.
Quarterly Business Momentum
- Revenue has increased for 10 consecutive quarters.
- Revenue of ₹24,546 Cr is 22.8% higher year-on-year.
- Revenue has compounded at 20.6% annualised over the last 10 quarters.
- Revenue is at its highest level in 10 quarters.
- Net profit has reached its highest level in 10 quarters.
- Net profit of ₹6,266 Cr is 28.5% above the same quarter last year.
- Profit growth is outpacing revenue growth, pointing to positive operating leverage.
- Net profit has compounded at 23.3% annualised across the period.
- Operating margin stands at 71.0% in Q2 FY2027.
- Operating margin expanded by 161 bps year-on-year.
- Over the last two years operating margin has expanded by 223 bps.
- PBT margin is 34.8%.
- Expense growth of 16.4% remained below revenue growth of 22.8%.
- Operating profit of ₹17,427 Cr is 25.6% higher year-on-year.
- Operating leverage continues to improve.
- 6 of the last 6 measured quarters delivered year-on-year revenue growth.
- Overall quarterly business momentum scores 83/100 (Strong) on the latest 10 quarters.
- Business momentum remains positive heading into the next quarter.
Quarterly Financials
Last 10 Reported Quarters • All figures in ₹ Crore • Margins in %
| Metric | Trend | Latest Q2 FY2027 | Q1 FY2027 | Q4 FY2026 | Q3 FY2026 | Q2 FY2026 | Q1 FY2026 | Q4 FY2025 | Q3 FY2025 | Q2 FY2025 | Q1 FY2025 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | Improving | 24,546 | 23,165 | 21,606 | 21,013 | 19,990 | 19,524 | 18,294 | 18,035 | 17,091 | 16,100 |
| Expenses | Improving | 7,120 | 6,793 | 6,553 | 7,737 | 6,119 | 5,992 | 5,865 | 5,691 | 5,338 | 4,956 |
| Operating Profit | Improving | 17,427 | 16,373 | 15,053 | 13,276 | 13,872 | 13,532 | 12,430 | 12,344 | 11,753 | 11,144 |
| Operating Margin | Stable | 71.0% | 70.7% | 69.7% | 63.2% | 69.4% | 69.3% | 67.9% | 68.4% | 68.8% | 69.2% |
| Other Income | Volatile | 33 | 6 | 11 | -262 | 5 | 5 | 21 | 26 | 7 | 5 |
| Interest | Improving | 8,602 | 7,942 | 7,398 | 7,339 | 7,011 | 6,918 | 6,551 | 6,386 | 6,149 | 5,684 |
| Depreciation | Improving | 321 | 288 | 256 | 244 | 258 | 251 | 252 | 219 | 210 | 200 |
| Profit Before Tax | Accelerating | 8,537 | 8,149 | 7,410 | 5,431 | 6,608 | 6,368 | 5,647 | 5,765 | 5,401 | 5,265 |
| Tax | Accelerating | 2,171 | 2,068 | 1,857 | 1,365 | 1,660 | 1,602 | 1,102 | 1,457 | 1,388 | 1,353 |
| Net Profit | Accelerating | 6,266 | 5,986 | 5,465 | 3,978 | 4,875 | 4,700 | 4,480 | 4,247 | 4,000 | 3,912 |
| Net Margin | Accelerating | 25.5% | 25.8% | 25.3% | 18.9% | 24.4% | 24.1% | 24.5% | 23.6% | 23.4% | 24.3% |
Key Takeaways
- Consolidated Profit After Tax grew 28.7% YoY to ₹6,366.57 crore, driven by robust loan growth and steady margins.
- Total revenue from operations rose 22.8% YoY to ₹24,546.37 crore, with interest income expanding 23.3% YoY to ₹21,936.39 crore.
- Asset quality improved meaningfully with Standalone Gross NPA declining to 1.33% (from 1.59% in Q2 FY26) and Net NPA dropping to 0.53% (from 0.77%).
- Board approved a significant capital raise of up to ₹17,500 crore, comprising up to ₹11,700 crore via QIP and up to ₹5,800 crore through preferential warrants to promoter Bajaj Finserv Ltd.
- Subsidiary performance remained strong, with subsidiaries contributing ₹3,618.54 crore in quarterly revenue and ₹821.28 crore in net profit.
- Capital adequacy remained comfortable with standalone CRAR at 20.33% and healthy liquidity coverage ratio of 214.08%.
Management Guidance
Management is strengthening the balance sheet for the next growth leg via an aggregate ₹17,500 crore capital raise (QIP and promoter warrants) subject to shareholder and regulatory approvals, while maintaining prudent risk underwriting and comfortable liquidity buffers.
Sentiment Shift
Improving
Acceleration in net profit growth to ~29% YoY coupled with notable sequential and annual improvement in gross/net NPA ratios and proactive capital raising reinforces strong operational momentum.
Outlook
Bajaj Finance continues to demonstrate superior compounding capability, supported by expanding customer franchise, robust asset quality improvements, and strategic capital infusion to support multi-year loan growth across consumer and commercial lines.
From the Annual Report (Key Quotes)
“The Board of Directors... has approved raising of capital through a Qualified Institutions Placement (QIP) for an aggregate amount not exceeding ₹11,700 crore... and Preferential Issue of warrants... not exceeding ₹5,800 crore.”
“Gross NPA (stage 3 asset, gross) ratio stood at 1.33% as at 30 September 2026 compared to 1.59% as at 30 September 2025.”
Official Quarterly Documents
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This summary is AI-generated from Bajaj Finance's latest quarterly filing and earnings call. For informational purposes only — not investment advice.
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