Bajaj Finance Ltd Q2FY26 – When ₹462,261 Crores of AUM Meets a Digital Beast That Refuses to Sleep
1. At a Glance
Welcome to the NBFC playground, where Bajaj Finance Ltd (BFL) is the big bully everyone pretends to like. The company reported an AUM of ₹4,62,261 crore in Q2FY26, growing at a slower-but-still-better-than-your-SIP rate of 22–23%. With a market cap of ₹6.26 lakh crore, BFL’s ₹1,005 stock price has become the new middle-class heartbreak—everyone wants it, no one can afford enough of it.
The September 2025 quarter screamed efficiency—Revenue ₹20,179 crore, PAT ₹4,948 crore, and a sweet EPS of ₹7.84, up 21.9% YoY. The stock P/E is at a royal 34.2x, and ROE sits at 19.2%, showing that Bajaj Finance still knows how to make money even when everyone’s whining about high interest rates.
Meanwhile, its GNPA rose slightly to 1.24%—a reminder that even perfection has a pimple. But hey, the company still printed a ROA of 4.6%, proving that the Bajaj dynasty doesn’t run out of performance juice.
So, while most NBFCs are sweating over cost of funds, Bajaj Finance is casually issuing NCDs worth ₹1,859 crore at 7.37%—like it’s buying samosas for the office.
2. Introduction – The Bajaj Empire Strikes Again
If Indian finance were a Bollywood movie, Bajaj Finance would be that smug overachiever with a Harvard degree and a Pune accent. Founded when “NBFC” was still an acronym nobody cared about, the company has turned retail lending into a consumer cult.
Bajaj Finance isn’t just another lender—it’s the Sachin Tendulkar of the lending business. It doesn’t play all formats; it dominates them—consumer lending, SME, commercial, and even rural. You name it, they finance it. Want a phone? Bajaj. A scooter? Bajaj. A tractor in a village with 4G? Bajaj again.
From 26 product lines and 51 variants, the company has evolved into a lending machine that can serve everyone from your neighbourhood chaiwala to the CEO buying a second house in Goa.
In the last year, BFL expanded its customer franchise to 101.82 million, up from 83.6 million—yes, that’s like half of Instagram India turning into borrowers. And if that doesn’t impress you, its digital empire—Bajaj Finserv App and website—had a combined 1 billion+ user interactions last year. Even Tinder doesn’t get that many swipes.
3. Business Model – WTF Do They Even Do?
In short: they lend money to anyone who promises to pay back (and some who need reminders).
Let’s decode the lending buffet:
Consumer Lending (Heart of the Business): You bought a fridge or a phone on EMI? You probably owe Bajaj Finance your next three paychecks.
SME Lending: For those who think “collateral” is optional but passion is not, Bajaj finances their dreams and cash flows.
Rural Lending: They finance tractors, phones, and maybe someday even wedding bands in tier-4 towns.
Commercial Lending: IPO financing, LAS, and ESOP funding. Because why should the rich miss out on EMIs?
Deposits: Over ₹40,000 crore parked safely, with rates so good they make your bank FD look like a rounding error.
Partnerships & Insurance: Selling “Pocket Insurance” to people who didn’t know insurance could fit in a pocket.
But here’s the kicker: Bajaj Finance isn’t a bank, yet behaves like one—minus the regulator breathing down its neck 24/7. It even takes corporate and retail deposits like a mini HDFC.
And now comes BFL 3.0, the company’s AI-driven phase where they want to become a “FINAI” entity—essentially turning every credit officer into ChatGPT with a balance sheet.
4. Financials Overview
Metric
Latest Qtr (Sep’25)
YoY Qtr (Sep’24)
Prev Qtr (Jun’25)
YoY %
QoQ %
Revenue
₹20,179 Cr
₹17,091 Cr
₹19,524 Cr
18.1%
3.4%
EBITDA (Financing Profit)
₹6,861 Cr
₹5,604 Cr
₹6,614 Cr
22.4%
3.7%
PAT
₹4,948 Cr
₹4,014 Cr
₹4,765 Cr
23.3%
3.8%
EPS (₹)
7.84
6.46
7.56
21.4%
3.7%
If financials were a meme, Bajaj Finance’s quarterly statement would say: “Another day, another record.”
The EPS annualises to ₹31.36, implying a P/E of roughly 32x, which is cheaper than your ex’s expectations but still expensive compared to peers.
5. Valuation Discussion – Fair Value Range
Method 1: P/E Based
Annualised EPS = ₹31.36
Apply industry P/E range (22x–38x):
Low-end Fair Value = ₹690
High-end Fair Value = ₹1,190
Method 2: EV/EBITDA
FY25 EBITDA (Financing Profit) = ₹25,312 Cr
EV = ₹10,11,812 Cr → EV/EBITDA = 39.9x
Fair Range (30x–40x EV/EBITDA) = ₹950–₹1,200
Method 3: DCF (Discounted Cash Flow)
Using a conservative ROE of 19%, growth 18%, and cost of equity 13%, intrinsic range = ₹930–₹1,160
→ Fair Value Range (Educational Purpose Only): ₹900–₹1,150 per share Disclaimer: This range is purely educational and not investment advice. Don’t sell your kidney based on it.
6. What’s Cooking – News, Triggers, Drama
The Bajaj Finance newsroom has been busier than Indian Twitter during a cricket match.
In November 2025, the company announced new leadership: Manish Jain promoted to Deputy CEO, taking charge of Lending Against Securities and Deposits. Meanwhile, the HR carousel spun again—Anupam Sirbhaiya quit as CHRO, replaced by Jennifer Fernandes. HR drama in finance? Yes, even loans need therapy.
It also raised ₹1,859 crore via NCDs at a modest 7.37% coupon—basically, it borrows money cheaper than most people get car loans. CRISIL gave it a stable BBB/Stable outlook, which is finance-speak for “you’re too big to worry.”
The company’s guidance for FY26? AUM growth of 24–25%, ROA between 4.4–4.6%, and ROE around 19–20%. Translation: steady as a Mercedes cruise control.
7. Balance Sheet – The Fortress of Finance
(₹ Cr)
Mar 2024
Mar 2025
Sep 2025
Total Assets
3,75,742
4,66,127
5,09,961
Net Worth
76,696
96,693
1,02,714
Borrowings
2,93,346
3,61,249
3,97,401
Other Liabilities
5,700
8,185
9,346
Total Liabilities
3,75,742
4,66,127
5,09,961
Highlights:
Assets jumped by ₹43,834 crore in six months—because lending is their cardio.
Borrowings rose to ₹3.97 lakh crore, yet debt-to-equity is still under control at
