Bajaj Finserv Reports 24% Q3 Revenue Growth With Flat Profit
**MARKET BRIEF: Bajaj Finserv Q3 FY26 Results & Performance**
**Overview**
Bajaj Finserv Limited reported a resilient set of numbers for **Q3 FY26**, characterized by strong top-line expansion despite one-time operational headwinds weighing on the bottom line. The conglomerate witnessed robust business momentum across its lending and insurance arms, maintaining healthy asset quality and customer acquisition rates.
**Financial Highlights**
* **Consolidated Revenue:** Surged **24%** year-on-year (YoY) to **Rs 39,708 crore**, driven by broad-based growth in interest income and insurance premiums.
* **Net Profit:** Remained flat at **Rs 2,229 crore**, virtually unchanged from the previous year.
* **Adjusted Performance:** Profitability was impacted by two significant one-off items: an accelerated Expected Credit Loss (ECL) provision of **Rs 1,406 crore** to strengthen balance sheet resilience, and a **Rs 379 crore** charge related to new labour codes. Excluding these, consolidated profit would have reflected a healthy **32%** growth.
**Subsidiary Performance**
**1. Bajaj Finance (Lending)**
* **AUM Growth:** Assets Under Management (AUM) crossed **Rs 4.84 lakh crore**, registering a solid **22%** YoY increase.
* **Asset Quality:** Remains stable with Gross NPA at **1.21%** and Net NPA at **0.47%**.
* **Profitability:** Reported PAT stood at **Rs 3,978 crore**. The lender added **4.76 million** new customers during the quarter, signaling continued traction in the retail franchise.
**2. Insurance Business**
* **General Insurance:** Gross Written Premium (GWP) rose **12%** to **Rs 7,389 crore**, supported by a strong combined ratio of **97.9%**, indicating efficient underwriting.
* **Life Insurance:** Delivered impressive growth with New Business Premium climbing **27%** to **Rs 3,501 crore**. The Value of New Business (VNB), a key profitability metric, jumped **59%**, driven by a favorable product mix.
**Strategic Developments**
A key highlight of the quarter was the completion of the acquisition of Allianz SE’s **23%** stake in both insurance subsidiaries. Bajaj Finserv now holds **75.01%** in both Bajaj Allianz General Insurance and Bajaj Allianz Life Insurance, cementing its control and strategic flexibility over these core businesses.
**Market Reaction & Technical Analysis**
* **Price Action:** The stock traded with a positive bias following the results, hovering around **Rs 2,019–Rs 2,030**, outperforming the broader Nifty50 index marginally.
* **Trend:** The stock is currently consolidating within a sideways range. It recently bounced from support levels near **Rs 1,985**, showing buying interest at lower valuations.
* **Indicators:**
* **RSI (Relative Strength Index):** Hovering near **40–42** (Neutral), suggesting the stock is neither overbought nor oversold.
* **Moving Averages:** The price remains slightly below its **50-day** and **200-day** moving averages, indicating a broader cautious trend, though immediate short-term momentum is stabilizing.
**Summary**
Bajaj Finserv’s Q3 FY26 performance underscores the underlying strength of its diversified financial services model. While reported profit was flat due to prudent provisioning and regulatory costs, the **24%** revenue growth and strong subsidiary metrics (AUM and Premium growth) point to steady operational health. The successful stake consolidation in the insurance ventures further strengthens the long-term structural story.