Bajaj Finance Q3FY26 Results
Net profit falls 5.6% to Rs 4,066 crore; NII surges to Rs 11,318 crore
Bajaj Finance reported its quarterly results today. The stock closed 6.65% higher at Rs 664 per share.
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Q3 FY26 Result - Consolidated
«before accelerated ECL provision & one-time charge of New Labour Codes»
Core performance remained robust across volume, AUM, opex, credit cost and profitability. PBT grew by 23% to Rs 7,102 crore. ROA and ROE have improved. Delivered AUM growth of Rs 23,622 crore to Rs 485,883 crore. Booked 13.90 MM new loans and added 4.76 MM new customers. Customer franchise stood at 115.40 million.
Accelerated ECL provision: To enhance balance sheet resilience amidst a volatile global economic environment; the Company has further strengthened its provisioning framework by implementing a minimum Loss Given Default (LGD) floor across all businesses. Accordingly, an accelerated ECL provision of Rs 1,406 crore was made in Q3 across stages.
One-time charge of New Labour Codes: The Company took a one-time exceptional charge of Rs 265 crore towards increase in gratuity liabilities arising from past service cost on account of the New Labour Codes released on 21 November 2025.
Q3 FY26 Result - Key Updates
AUM was up 22% to Rs 484,477 crore as of 31 December 2025. AUM before the accelerated ECL provision grew by 22% to Rs 485,883 crore as of 31 December 2025 from Rs 398,043 crore as of 31 December 2024.
AUM increase in Q3 FY26 was Rs 23,622 crore. New loans booked were at 13.90 MM in Q3 FY26 as against 12.06 MM in Q3 FY25, recording a growth of 15%.
Customer franchise and geographic footprint
In Q3, the Company added 4.76 MM customers to its franchise. The Company expects to add 17-18 MM new customers to its franchise in FY26.
Customer franchise stood at 115.40 MM as of 31 December 2025. Cross sell franchise stood at 73.84 MM. 5. Geographic presence stood at 4,052 locations. 6
Active distribution points stood at 241K as of 31 December 2025.
Liquidity and cost of funds
Liquidity buffer stood at Rs 15,081 crore as of 31 December 2025.
In Q3, cost of funds was 7.45%, an improvement of 7bps over Q2 FY26. Cost of funds is expected to be 7.55%-7.60% in FY26.
Deposits book stood at Rs 71,037 crore as of 31 December 2025. Deposits contributed to 17% of consolidated borrowings as of 31 December 2025.
Operating efficiencies
Net interest income grew by 21% to Rs 11,317 crore as against Rs 9,382 crore in Q3 FY25. NIM remained steady.
Net total income (NTI) grew by 19% to Rs 13,875 crore as against Rs 11,673 crore in Q3 FY25.
Opex to NTI improved to 32.8% as against 33.1% in Q3 FY25. AI implementation across businesses is accelerating and should continue to result in improvement in operating efficiencies.
Full-time employee count stood at 69,824 (BFL, BHFL & BFSL) as of 31 December 2025. The Company added 2,363 employees in Q3 FY26. Annualised employee attrition as of 31 December 2025 was 18.2%.
Fixed Term Contract (FTC) resource count stood at 78,093 as of 31 December 2025.
Credit cost
Loan losses and provisions in Q3 FY26 was Rs 3,625 crore.
Loan losses and provisions before accelerated ECL provision of Rs 1,406 crore was ₹ 2,219 crore in Q3 FY26 as against Rs 2,043 crore in Q3 FY25, an increase of 9%.
Annualised loan loss to average AUF before accelerated ECL provision was 1.91% in Q3 FY26 vs 2.16% in Q3 FY25.
In Q3, net decrease in stage 2 & 3 assets was Rs 93 crore. Stage 2 assets decreased by ₹ 287 crore and stage 3 assets increased by ₹ 194 crore reflecting significant improvement in portfolio quality and outlook on credit cost.
Vintage credit performance across 3MOB, 6MOB and 9MOB has improved significantly. We are optimistic about credit cost outlook for FY27.
Asset Quality
GNPA & NNPA stood at 1.21% & 0.47%, respectively, as of 31 December 2025 as against 1.12% & 0.48% as of 31 December 2024. The provisioning coverage ratio on stage 3 assets was 61%.
Profitability and capital
Consolidated pre-provisioning operating profit grew by 19% to Rs 9,319 crore in Q3 FY26. 21. Consolidated profit before tax (PBT) in Q3 FY26 was Rs 5,431 crore.
Consolidated PBT before accelerated ECL provision and one-time charge of New Labour Codes grew by 23% to Rs 7,102 crore in Q3 FY26 from Rs 5,765 crore in Q3 FY25.
Consolidated profit after tax (PAT) in Q3 FY26 was Rs 4,066 crore.
Consolidated PAT before accelerated ECL provision, one-time charge of New Labour Codes and tax thereon grew by 23% to Rs 5,317 crore in Q3 FY26 from Rs 4,308 crore in Q3 FY25. 23. In Q3, the Company delivered annualized ROA of 4.6% (before accelerated ECL provision and one-time charge of New Labour Codes) as against 4.5% in Q3 FY25.
In Q3, the Company delivered annualized ROE of 19.6% (before accelerated ECL provision and one-time charge of New Labour Codes) as against 19.1% in Q3 FY25.
Capital adequacy remained strong at 21.45% as of 31 December 2025. Tier-1 capital was 20.60%.
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