One of India’s leading non-banking financial companies (NBFCs), Bajaj Housing Finance Limited, has delivered consistent quarterly growth in scale in the past few years. For the quarter ended March 2025 or Q4, the company clocked a 25.6% rise in revenue, while its annual revenue grew 25.7%.
Additionally, the profits of the company also showed strong growth during the period. Following the announcement of the quarterly results, Bajaj Housing Finance’s share price jumped 4% in the first trading session on April 24, 2025. Let’s decode the financial performance of the company in detail.
Bajaj Housing Finance Q4 Revenue Crosses ₹2,500 Cr
Bajaj Housing Finance’s revenue surged 25.6% to ₹2,508 crore during the fourth quarter of FY25 in comparison to ₹1,997 crore recorded in the same quarter of the previous fiscal year.
| Financials | Q4 FY25 (₹ Cr) | Q4 FY24 (₹ Cr) | YoY Change |
| Total revenue | 2,508 | 1,997 | 25.6% |
| Profit after tax | 587 | 381 | 53.8% |
Source: Company filings
The quarterly profit of the company also spiked significantly (53.8%) to ₹587 crore in Q4 against ₹381 crore booked a year ago.
Coming to the spending, the company’s largest expense was the finance cost, which formed 86.7% of the total expenditure. The cost went up 21.2% YoY to ₹1,551 crore from ₹1,279 crore in Q4 FY24. The second largest cost for the company was employee benefits, which was reported at ₹133 crore during the period.
Moving to the annual performance of the company, its revenue was recorded at ₹9,576 crore during FY25, with a 25.7% rise from ₹7,618 crore in FY24. Similarly, the profits of the company saw a rise of 24.9% to ₹2,163 crore in FY25 as compared to ₹1,731 crore a year ago. Following the healthy financial growth, Bajaj Housing Finance’s share price closed at ₹131.8, 0.06% on April 24, 2025.
Though the company gave a strong quarterly growth, analysts are concerned about its future outlook due to the rising competition and which leading to lower yields, impacting the company’s Net Interest Margins (NIMs) and profitability. As per reports, 5 out of 9 analysts have given a ‘Sell’ rating, while 2 recommended a ‘buy’.
How Does Bajaj Housing Finance Make Money?
Founded in 2008, Bajaj Housing Finance is a housing finance company and operates as a subsidiary of Bajaj Finance Limited, with a focus on providing mortgage lending services. As of March 2025, it has ₹1,14,684 crore assets under management (AUM).
Based in Pune, the company makes money by offering mortgage lending services to individuals and businesses for home purchases, renovation, and commercial spaces. Along with that, it provides working capital financing and offers credit to developers engaged in the construction of residential and commercial properties, as well as lease rental discounting to developers and high-net-worth individuals.
Bajaj made 94.65% of the total revenue from interest income. Collection from this vertical grew 24.4% YoY to ₹2,373.7 crore in Q4 FY25. It made ₹51.5 crore via fees and commission income during the period, while the remaining sum came from gains on fair value changes, sale of services, and other operating activities.
| Segment Revenue | Q4 FY25 (₹ Cr) | Q4 FY24 (₹ Cr) | YoY Change |
| Interest income | 2,373.7 | 1,907.6 | 24.4% |
| Fees and commission income | 51.5 | 43.0 | 19.9% |
| Net gain on fair value changes | 27.1 | 35.2 | -23.1% |
| Sale of services | 0.2 | 0.4 | -36.8% |
| Income on derecognised (assigned) loans | 46.1 | 0 | 12702.8% |
| Other operating income | 9.3 | 10 | -5.6% |
| Total | 2,508.0 | 1,996.4 | 25.6% |
Source: Company filings
Loan Portfolio and Asset Quality Overview
During FY25, Bajaj Housing Finance’s assets under management (AUM) and loan growth remained robust with 26% and 25% YoY increase, respectively, which reflects healthy credit demand. The company’s net Interest Income (NII) grew by 31% in Q4 and 20% annually.
| Metric | Q4 FY25 (₹ Cr) | Q4 FY24 (₹ Cr) | YoY (%) |
| Assets under Management | 114684 | 91,370 | 26% |
| Loan Assets | 99,513 | 79,301 | 25% |
| Interest Income | 2,374 | 1,907 | 24% |
| Interest Expenses | 1,551 | 1,278 | 21% |
| Net Interest Income (NII) | 823 | 629 | 31% |
Source: Company filings
Bajaj Housing Finance’s loan book shows strong asset quality across key lending segments as of March 31, 2025. Home Loans made up the largest share with over 56% of the total AUM and a GNPA of 0.32% and NNPA of 0.13%. Loans Against Property (LAP) seems to be in slightly higher stress, with a GNPA of 0.46% and NNPA of 0.22%.
| Loan Category | AUM (₹ Cr) | GNPA (₹ Cr) | NNPA (₹ Cr) |
| Home Loans | 64,447 | 206 | 82 |
| Loans Against Property | 12,262 | 57 | 27 |
| Lease Rental Discounting | 21,913 | - | - |
| Developer Financing | 14,346 | 7 | 1 |
| Other loans | 1,716 | 17 | 4 |
| Total | 114,684 | 287 | 114 |
Source: Company filings
Conclusion
Bajaj Housing Finance has continued its growth story in Q4 FY25 with 25.6% growth in revenue and 53.8% rise in profits. The company’s AUM and loan book size also grew at a similar pace on the back of a healthy credit demand. Bajaj Housing Finance share went up 8.35% in the past one month, with a market cap of ₹1.1 trillion. The company largely competes with LIC Housing Finance, Aavas Financiers, Aptus Value, and PNB Housing Finance.
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