Bajaj Finance disclosed a 5.6% decrease in its consolidated net profit for the December quarter of FY26. The non-banking financial company’s net profit stood at Rs 4,066 crore, down from Rs 4,308 crore in the same quarter of FY25, as per its stock exchange filing. Sequentially, the profit dropped by 18% from Rs 4,947 crore reported in the September quarter of FY26, according to regulatory filings.
The company attributed the decline in profitability to higher provisions, which included an accelerated expected credit loss (ECL) charge of Rs 1,406 crore and a one-time gratuity-related expense of Rs 265 crore due to the implementation of new labor codes. Adjusted for these factors, the net profit would have shown a 23% year-on-year growth, reaching Rs 5,317 crore. Despite the profit decrease, Bajaj Finance experienced robust growth in its core lending operations.
Bajaj Finance’s net interest income (NII) surged to Rs 11,318 crore in the December quarter, up from Rs 9,383 crore in the corresponding period last year, as per regulatory filings. The company maintained steady loan growth during the quarter, issuing 13.90 million new loans in Q3 FY26, marking a 15% increase from the previous year. This contributed to a 22% year-on-year growth in assets under management (AUM), reaching Rs 4.84 lakh crore compared to Rs 3.98 lakh crore a year ago.
During the quarter, loan losses and provisions totaled Rs 3,625 crore. Excluding the accelerated ECL provision of Rs 1,406 crore, loan losses and provisions amounted to Rs 2,219 crore, up 9% from the corresponding period last year. As of December 31, 2025, gross non-performing assets (GNPA) were at 1.56%, slightly higher than the previous year’s 1.41%. The company noted that net NPAs remained stable at 0.61% compared to the same level in the previous financial year.
