Bajaj Finserv Q2 net up 37%

MUMBAI: Aided by good performance of subsidiaries, Bajaj Finserv reported a growth of 37% in consolidated net profit during the second quarter ended September 2012.

The result includes performance of non-banking finance company- Bajaj Finance, insurance business -Bajaj Allianz General Insurance and Bajaj Allianz Life Insurance, Bajaj Financial Solutions Ltd and Bajaj Allianz Financial Distributors.

The non-baking finance company posted profit after tax of 48 % to Rs 129 crore due to uptick in credit growth, mainly from small and medium enterprises. Loan disbursements for the company rose 29% to Rs 4,334 crore. The consumer book grew 33% to Rs 2,112 crore.

The NBFC continued to shrink its exposure to commercial segment for the second quarter in row as loans to this segment dropped 12% to Rs 811 crore.

The life insurance arm reported a 62% increase in net profit to Rs 88 crore against Rs 54 crore, a year ago. But income policy sales were affected as the gross premium written fell 5% to Rs 1,592 crore.

The general insurance segment continued to report profit with 22% jump to Rs 78 crore from Rs 64 crore. Also, gross premium written or income by selling policies grew 20% to Rs 976 crore in the quarter despite increase in provisions towards the third party motor pool.

The shares of Bajaj Finserv closed at Rs 868.85, down 0.38% on the Bombay Stock Exchange.