NEW DELHI: Bajaj Finserv Ltd on Wednesday reported an over 31 per cent decline in consolidated net profit at Rs 833 crore for the first quarter ended June 2021.
The company had reported a net profit of Rs 1,215 crore in the same quarter of the preceding fiscal.
The consolidated total income also fell to Rs 13,949 crore in Q1 FY22 as against Rs 14,192 crore in Q1 FY21, Bajaj Finserv said in a regulatory filing.
The consolidated figures of Bajaj Finserv include results of its wholly-owned subsidiaries Bajaj Finance Ltd (BFL), Bajaj Allianz General Insurance Company Ltd (BAGIC) and Bajaj Allianz Life Insurance Company Ltd (BALIC).
As per the break-up, Bajaj Finance witnessed 4.2 per cent rise in consolidated net profit at Rs 1,002 crore during the quarter. BAGIC reported 8.4 per cent decline in net profit at Rs 362 crore, while BALIC’s net profit declined by 35.4 per cent to Rs 84 crore.
Bajaj Finserv said its loan losses and provisions for the quarter, including expected credit loss, was raised to Rs 1,750 crore as against Rs 1,686 crore in the year-ago period.
“BFL holds a management overlay and macro provision of Rs 483 crore as of 30 June 2021,” it added.
BAGIC results include pre-tax impact of COVID-19 claims of Rs 283 crore in the reported quarter against Rs 14 crore in the year-ago period, it added.
The post-tax impact on BFS Q1 FY22 profit is Rs 157 crore. BALIC’s results include pre-tax impact of the pandemic claims of Rs 288 crore as against Rs 1 crore a year ago.
It also includes reversal of tax provision on the basis of favourable income tax orders for earlier years of Rs 161 crore. Net post-tax impact on BFS Q1 FY22 profit is Rs 70 crore, Bajaj Finserv said.
Separately, Bajaj Finserv said its board of directors has approved investment of Rs 342 crore in Bajaj Finserv Direct Limited, a wholly-owned subsidiary of the company.
Source: Press Trust of India