This Article is From Oct 27, 2016

Bajaj Finserv Q2 Profit Jumps 31% To Rs 576 Crore

Bajaj Finserv Q2 Profit Jumps 31% To Rs 576 Crore
Mumbai: Bajaj Finserv Ltd on Thursday reported a 31 per cent jump in consolidated net profit at Rs 576 crore for the quarter ended September 30, 2016, led by growth in the financing and general insurance businesses.

The financial services firm had posted a consolidated profit after tax (PAT) of Rs 441 crore for the corresponding period a year ago.

"There was a strong profitability growth in Bajaj Finance where PAT grew by 46 per cent and general insurance profit by 66 per cent," the company's chief financial officer S Sreenivasan, said.

Consolidated gross revenue shot up 33 per cent to Rs 6,912 crore in the quarter under review, from Rs 5,185 crore in the corresponding quarter last year. 

Its NBFC arm - Bajaj Finance - reported a 46 per cent jump in net profit at Rs 408 crore in the July-September period, helped by higher loan growth across all segments.

"The growth was broad-based. Consumer business grew by 52 per cent, SME 14 per cent, commercial 61 per cent and rural expanded by at 195 per cent," the company's managing director Rajeev Jain said.

Its assets under management grew 38 per cent to Rs 52,332 crore from Rs 37,964 crore a year ago.

Another Group firm, Bajaj Allianz General Insurance, saw its PAT zoom 66 per cent to Rs 234 crore from Rs 141 crore a year ago.

Underwriting profit was Rs 57 crore as against an underwriting loss of Rs 8 crore in the year-ago period.

Gross written premium grew 45 per cent to Rs 2,179 crore from Rs 1,500 crore last year.

The company has written a crop insurance of Rs 737 crore, as against Rs 159 crore a year ago.

Bajaj Allianz Life Insurance's PAT in the quarter dropped to Rs 202 crore from Rs 216 crore in the year-ago period.

Gross written premium expanded 23 per cent to Rs 1,447 crore, compared with Rs 1,172 crore earlier.

New business premium was up 70 per cent at Rs 782 crore.