India's Bajaj Housing Finance posts higher profit on loan growth (updated)

Bajaj Housing Finance

29/07/2026 13:52

Adds segment's AUM in bullet 4, margins in bullet 8
July 29 (Reuters) - India's Bajaj Housing Finance BAJO.NS on Wednesday reported a 23% rise in its first-quarter profit, helped by higher loan growth. 
Bajaj Housing, the largest housing finance firm by market capitalisation in the country, reported a profit of 7.15 billion rupees ($74.75 million) for the quarter ended June 30, up from 5.83 billion rupees a year earlier.
The company, which posted an assets under management (AUM) growth of 24% year-on-year and a rise in disbursements of 33%, benefitted from the strong credit demand in the country.
Bajaj Housing has also been expanding its reach into near-prime and affordable home loan segments to diversify its loan portfolio and increase penetration nationwide, aiding its growth.
AUM of its largest home loan segment rose 20%, while the lease rental discounting segment, which finances commercial properties against future rental income, grew the fastest, at 41%.
However, analysts expected the strong competition in the prime housing segment from large banks to impact margins for the home loan financier.
The company's portfolio yield — the weighted average return on the loan book — stood at 8.9% in the June quarter, down from 9.5% a year earlier.
Net interest income — the difference between interest earned on credit and paid on borrowing — rose 9% year-on-year to 9.68 billion rupees.
Net interest margin stood at 3.7%, down from 3.8% in the previous quarter and 3.9% a year earlier
Shares of the company ended 2.3% higher ahead of the results.
     
($1 = 95.6475 Indian rupees)

 (Reporting by Nishit Navin; Editing by Shreya Biswas)
 ((Nishit.Navin@thomsonreuters.com;))