Bajaj Finance set to announce Q4 results today, expected profit increase of 15-20% and NII growth of 28-30%; earnings preview included

Bajaj Finance Ltd is gearing up to announce its financial results for the March quarter, with analysts predicting a strong performance despite challenges in the lending environment. The company is expected to see a 15-20 per cent increase in net profit year-on-year, driven by a robust 28-30 per cent growth in net interest income.

Despite facing restrictions from the RBI which led to lower new loan bookings, Bajaj Finance managed to achieve an impressive 34 per cent year-on-year growth in Assets Under Management (AUM) in Q4FY24. Analysts are eagerly awaiting the company’s commentary on its growth momentum and plans to introduce new products.

Axis Securities forecasts a 20.8 per cent year-on-year growth in net profit for Bajaj Finance, reaching Rs 3,813 crore. NII is expected to grow by 29.7 per cent to Rs 8,110 crore, with provisions increasing by 9 per cent sequentially. The company’s total customer base has also expanded to 8.36 crore, with 32 lakh new customers acquired during the quarter.

Nirmal Bang predicts a 16 per cent year-on-year increase in profit for Bajaj Finance, with NII expected to reach Rs 9,580 crore. However, NIM is anticipated to decline to 10 per cent, reflecting a slight decrease in margins. Kotak Institutional Equities highlights the company’s efforts to control expenses and manage credit costs, expecting a moderate increase in credit costs for the quarter.

Overall, analysts remain optimistic about Bajaj Finance’s performance in the March quarter, with expectations of steady growth and stable asset quality. Investors are advised to consult with a financial advisor before making any investment decisions based on this information.