The broking firm Jefferies sees Jio Financial Services as taking a balanced approach towards growth. The brokerage house also believes that the initial concerns about Jio Financial increasing competitiveness have “limited risk for BAF (Bajaj Finance) and banks.”
On Monday, Jio Financial Services reported the third quarter results. The company reported a net profit of Rs 293 crore, down 56% from the previous quarter of Rs 668 crore. The company posted a net interest income of Rs 269 crore in the third quarter.
Further, the brokerage house said that the company’s management is focused on consumer
loans (secured & unsecured) and supply chain finance. The company has expanded its client base in insurance broking and is also ramping up its payments bank & payments platforms.
According to the brokerage house the company has tied up with three more insurers in the quarter. Also, the company has “revamped the digital savings bank account (within Payments Bank) and undertaken a soft launch of debit card” in the payments bank segment.
Furthermore, Jio FS has applied to SEBI for an asset management license in
partnership with Blackrock and has put a management team in place, said Jefferies.