Bajaj Housing Finance has released the transcript of its earnings conference call pertaining to the financial results for the quarter ended September 30, 2025. The transcript, available on the company’s website, details discussions on the company’s financial performance, AUM growth of 24%, asset quality, and future strategies. Key highlights include stable profitability, healthy asset quality, and strategic initiatives amidst a competitive environment.
Financial Performance Highlights
In the Q2 FY2026 earnings conference call, Bajaj Housing Finance highlighted its key financial achievements:
- AUM grew by 24% year-on-year.
- PAT increased by 18%.
- Annualized ROA stood at 2.3%.
- Improved asset quality with GNPA at 0.26% and NNPA at 0.12%.
- Annualized credit cost at 18 bps.
AUM and Product Growth
The company reported substantial growth in its Assets Under Management (AUM) across various product segments:
- Home Loans: Increased by 19%.
- Loan Against Property (LAP): Increased by 29%.
- Lease Rental Discounting (LRD): Increased by 35%.
- Developer Finance: Increased by 25%.
- AUM for the quarter increased by INR6,329 crores, compared to INR5,497 crores in Q2 FY25.
Key Financial Metrics
Several key financial metrics were discussed during the earnings call:
- Cost of Funds: Improved to 7.4%, a 50 bps reduction year-on-year.
- Operating Efficiency: Improved, with opex to NTI at 19.6% compared to 20.5% in Q2 of the previous year.
- Capital Adequacy Ratio (CAR): Healthy at 26.12%.
Asset Quality and Portfolio Composition
The company maintained healthy asset quality and a well-diversified portfolio:
- Home Loans: 55% of the portfolio.
- LAP: 10% of the portfolio.
- LRD: Over 21% of the portfolio.
- Developer Finance: Sub 12% of the portfolio.
Disbursements for the quarter grew by 32%, reaching INR15,914 crores compared to INR12,000 crores in Q2 FY25.
Strategic Focus and Outlook
Bajaj Housing Finance is focused on:
- Deepening its presence in micro markets.
- Increasing the width of customer segmentation.
- Maintaining a diversified borrowing mix.
- Sustaining a balance between growth, profitability, and risk management.
The company aims to maintain a stable and competitive position in the housing finance market, leveraging digital initiatives and strategic partnerships.
Source: BSE
