Bajaj Housing Finance Reports Record Q1 FY27 Performance; AUM Grows 24% to ₹1.50 Lakh Crore
Bajaj Housing Finance Limited (BHFL) has reported a strong financial performance for the quarter ended June 30, 2026 (Q1 FY27), achieving record quarterly disbursements and robust growth in its Assets Under Management (AUM). The company also maintained excellent asset quality, strong capital adequacy, and reaffirmed its growth outlook for FY27.
Key Financial Highlights (Q1 FY27)
Bajaj Housing Finance continued its strong growth momentum during the quarter, driven by healthy demand across its mortgage portfolio.
- Assets Under Management (AUM): Increased 24% year-on-year (YoY) to ₹1,49,624 crore.
- Loan Disbursements: Rose 33% YoY to ₹19,509 crore, marking the company’s highest-ever quarterly disbursement.
- Profit After Tax (PAT): Grew 23% YoY to ₹715 crore.
- Return on Average Assets (RoA): Remained stable at 2.3%.
- Return on Average Equity (RoE): Improved to 12.5%.
The strong growth in lending and profitability reflects continued demand for housing finance and the company’s disciplined execution strategy.
Asset Quality Remains Among the Best in the Industry
BHFL continued to maintain a high-quality loan book with one of the lowest non-performing asset (NPA) ratios in the housing finance sector.
- Gross NPA (GNPA): 0.29%
- Net NPA (NNPA): 0.12%
- Annualized Credit Cost: Just 5 basis points (bps)
The company also maintained a Capital Adequacy Ratio (CRAR) of 21.59%, comfortably above the regulatory requirement of 15%, providing ample capital to support future business growth.
BHFL continues to hold the highest domestic credit rating of AAA, reflecting its strong financial profile and prudent risk management.
Well-Diversified Loan Portfolio
Bajaj Housing Finance offers a broad range of mortgage products, with a diversified loan portfolio that reduces concentration risk.
Portfolio Mix
- Home Loans: 54.1%
- Lease Rental Discounting: 23.1%
- Developer Finance: 11.4%
- Loan Against Property (LAP): 10.3%
- Others: Balance portfolio
The company’s diversified product mix supports stable earnings while catering to both retail and commercial borrowers.
Expanding Distribution Network
BHFL continues to strengthen its nationwide presence and customer reach.
- 224 branches across 20 States and Union Territories
- One of India’s largest non-deposit-taking housing finance companies
The expanding branch network is helping the company increase penetration across both urban and semi-urban markets.
Digital Transformation and AI Adoption
Bajaj Housing Finance continues to invest in digital technologies to improve customer experience and operational efficiency.
Strong Digital Adoption
- Around 95% of retail loan applications and agreements are processed through the company’s digital onboarding platform.
Artificial Intelligence Initiatives
The company is actively integrating Artificial Intelligence (AI) across multiple business functions, including:
- AI-powered voice agents for lead generation
- AI-driven customer interaction and credit discussion analysis
- Enhanced underwriting and customer service processes
These initiatives are expected to improve operational efficiency while delivering a faster and more seamless customer experience.
Management Outlook for FY27
The management remains optimistic about business growth while maintaining a cautious approach toward profitability and asset quality.
FY27 Guidance
- AUM Growth: Expected at 21–23%
- Net Interest Margin (NIM): Likely to moderate by 20–25 basis points due to competitive pricing and a stable interest rate environment.
- Gross NPA: Expected to remain between 0.30% and 0.35%
- Credit Cost: Estimated at 10–15 basis points
- Return on Assets (RoA): Expected in the range of 2.1–2.3%
- Return on Equity (RoE): Projected at 12–13%
Management believes the company is well positioned to sustain profitable growth while maintaining strong asset quality and disciplined risk management.