Bajaj Finserv Reports 10% Increase In Q1 FY25 Net Profit; Stock Trades 2.2% Down Post-Results

Bajaj Finserv Ltd. serves as the holding company for the diverse financial services businesses within the Bajaj group. Catering to millions of customers, Bajaj Finserv offers a comprehensive range of financial solutions, including asset acquisition through financing, asset protection via general insurance, and family and income protection through life and health insurance. Additionally, it provides retirement and savings solutions. This extensive portfolio positions Bajaj Finserv as a key player in the financial services sector, addressing various financial needs of its customers.

Bajaj Finserv Q1 FY 25 Results

In an exchange filing on July 24, Bajaj Finserv reported a 10 percent increase in net profit, amounting to Rs 2,137.7 crore for the first quarter of FY25. This is an increase from Rs 1,942.63 crore in the same period of the last financial year. The non-banking financial company (NBFC) highlighted these figures in its report, showcasing its financial performance for the beginning of the fiscal year.

General Insurance Business

In the General Insurance business, net earned premium increased by 15% year-on-year (YoY) but decreased by 5% quarter-on-quarter (QoQ). The combined ratio stood at 103.7%, up from 100.7% YoY and 101.6% QoQ, while the claim ratio was 77.1%, compared to 74.3% YoY and 70.3% QoQ. The solvency ratio was 311%, down from 388% YoY and 349% QoQ.

Life Insurance Business

In the Life Insurance business, the renewal premium rose by 30.4% YoY but fell by 41.4% QoQ. The solvency ratio was 399%, down from 475% YoY and 432% QoQ. Additionally, the new business value reached Rs 104 crore, marking a 10.6% increase YoY but a 78.3% decrease QoQ.

Conclusion: Following the release of its results, the stock of Bajaj Finserv Ltd. is now trading down by 2.2% from its previous day’s closing price and is currently trading at Rs 1582.45 per share.

Disclaimer: This blog has been written exclusively for educational purposes. The securities  mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.