If the quarterly earning of Bajaj Finserv is anything to go by, it seems the festive season has given a boost to the company?s fortunes.
Bajaj Finserv reported a 14% rise in net profits to Rs 316 crore and a 26% rise in income to Rs 1,648 crore for the quarter ended September 30. Gross revenues of the company rose 18% to Rs 4,774 crore.
Bajaj Finserv MD Sanjiv Bajaj said they see a strong year for the company ahead and have already seen a good growth in the consumer finance business. ?Consumer durables finance has grown since Navratri and it continues to grow. Consumer finance accounts for 40% of the lending business and is outgrowing the SME and commercial finance segment,? Bajaj said.
The company has seen an increase in the uptake in the digital and mobile products that has helped the consumer finance grow 35-40%.
The SME finance was stable and would increase once industry starts investing, he said.
?The general insurance business of the company has grown and the life insurance business is flat. We will see growth in the next few quarters,? said Bajaj.
Bajaj Finserv is the holding company representing Bajaj Group?s interests in the financial services, which includes 61.54% holding in Bajaj Finance and 74% holding each in the two insurance business ? Bajaj Allianz Life Insurance Company and Bajaj Allianz General Insurance Company.
On other hand, Bajaj Finance reported an 18% rise in the net profit to Rs 197 crore in the quarter, while the income rose 29% to Rs 1,242 crore. Bajaj Finance?s deployments rose 50% to Rs 7,816 crore. Assets under management stood at Rs 28,004 crore as of September 30, while the net NPA was at 0.48%. Bajaj Allianz General Insurance Company saw an 18% rise in the profits to Rs 145 crore, while life insurance company Bajaj Allianz Life Insurance Company saw a 3.7% drop in the profit to Rs 103 crore.