Bajaj Finance Ltd reported a consolidated net profit of ₹4,546 crore in the fourth quarter of FY25, marking a 19% year-on-year (YoY) increase from ₹3,825 crore in the same period last year, according to a stock exchange filing on April 29. For the full year, consolidated profit stood at ₹16,779 crore, up 16% over FY24.
The growth in net profit came on the back of strong momentum in loan disbursements, customer additions, and higher interest income, as per the filing. In Q4, the company booked 10.7 million new loans, up 36% YoY. The customer franchise grew 22% YoY to 101.82 million, crossing the 100 million milestone.
Moreover, the financial services major has proposed issuing four bonus shares for every one share held, pending approval through a postal ballot. This marks the company’s first bonus share issuance in nine years, following its 2016 bonus issue of one share for every one share held.
Additionally, the company’s board has approved a 1:1 stock split, reducing the face value of each share from ₹2 to ₹1. This follows a similar split in 2016 when shares with a face value of ₹10 were divided into five shares of ₹2 each.
“The Board of Directors has approved, subject to shareholder approval, the sub-division of the face value of shares from ₹2 to ₹1 fully paid equity shares, and the issue of 4 fully paid bonus equity shares of face value Re 1 for every 1 fully paid equity share of face value ₹1. The bonus issue reflects the Company’s strong financial position, robust reserves, and positive growth outlook,” said the company in an exchange filing.
Further boosting investor returns, Bajaj Finance has declared a final dividend of ₹44 per share for FY25—its highest-ever—along with a special dividend of ₹12 per share. The special dividend stems from a one-time gain following the partial stake sale in subsidiary Bajaj Housing Finance during its IPO last year. Combined, shareholders will receive a total dividend of ₹56 per share, surpassing last year’s record final dividend of ₹36 per share.
Assets under management (AUM) rose 26% YoY to ₹4,16,661 crore as of March 31, 2025. Net interest income (NII) for the quarter increased 22% YoY to ₹9,807 crore, while net total income rose 23% to ₹11,917 crore.
Pre-provisioning operating profit (PPOP) was up 24% at ₹7,967 crore. However, provisions also rose sharply during the quarter. Loan losses and provisions stood at ₹2,329 crore, including an additional ₹359 crore provision related to the redevelopment of the Expected Credit Loss (ECL) model. Excluding this, provisions amounted to ₹1,970 crore.
Profit before tax (PBT) was ₹5,647 crore, up 11% YoY. The company also benefited from a ₹348 crore overall reduction in tax expenses during the quarter following reassessment of certain tax positions based on favourable court orders.
For the full year FY25, the company booked 43.42 million new loans, up 20% YoY. The consolidated NII rose 23% to ₹36,393 crore and PPOP increased 25% to ₹30,028 crore. Loan losses and provisions for the year stood at ₹7,966 crore, up from ₹4,631 crore in FY24.
The capital adequacy ratio (CRAR) as of March 31, 2025, stood at 21.93%, with Tier I capital at 21.09%. Gross and net NPAs were at 0.96% and 0.44%, respectively.
During the quarter, the company’s parent Bajaj Finserv Ltd exercised its option to convert warrants issued in November 2023, leading to the allotment of 1.55 million equity shares for ₹891.64 crore. Bajaj Finance also announced a special interim dividend of ₹12 per share and a final dividend of ₹44 per share. This would take the total dividend announced by the firm today to Rs 56 per share. The company said the special interim dividend was being paid after taking into account the exceptional gain resulting from the sale of investment in Bajaj Housing Finance Limited as part of IPO listing in September 2024.
Separately, the company announced the acquisition of a 12% stake in Protectt.ai Labs Pvt Ltd, a mobile cybersecurity firm, for ₹65 crore.
Among its subsidiaries, Bajaj Housing Finance Ltd reported a 54% jump in Q4 net profit to ₹587 crore, while Bajaj Financial Securities Ltd posted a 64% increase in profit at ₹36 crore.
