Q3 FY22 Earnings Report
Lead financial indicators
BAJAJ FINANCE LIMITED
10. Deposits book grew by 28% YOY to ₹30,481 crore as of 31 December 2021. Its contribution to consolidated borrowings was 20%.
Retail Corporate mix stood at 69 31 in Q3 FY22.
11. Opex to NII for Q3 FY22 was 34.7%. The Company estimates Opex to NII metric to normalise to 33-34% in Q4. The Company
continues to invest in teams and technology for business transformation.
12. Loan losses and provisions for the quarter were
from 832 crore as of 30 September 2021 to
1,051 crore. In Q3, the Company has increased management overlay provision
1,083 crore to protect itself from probable losses arising out of third wave.
13. Debt management efficiencies across products improved further in Q3. So far, in January 22, the bounce rates and debt
management efficiencies are in line with December'21.
14. Given continued uncertainty of Covid waves, the Company intends to exit FY22 with sufficient management overlay provisions. As
a result, the Company expects its loan loss and provision to be now in the range of ₹4,800 − 5,000 crore for FY22.
15. GNPA & NNPA as of 31 December 2021 stood at 1.73% and 0.78% compared to 2.45% and 1.10% as of 30 September 2021. The
Company's GNPA and NNPA ratios are now back to pre-Covid levels.
16. In Q3, the Company has changed its NPA classification criteria from number of EMI outstanding to Days Past Due approach in line
with the RBI circular dated 12 November 2021 - "Prudential norms on Income Recognition, Asset Classification and Provisioning
pertaining to Advances Clarifications". This change did not cause any negative impact on Company's GNPA.
17. Overall stage 2 assets as of 31 December 2021 reduced to ₹5,299 crore vs ₹5,962 crore as of 30 September 2021.
18. Overall stage 3 assets as of 31 December 2021 reduced to 3,108 crore vs 4,103 crore as of 30 September 2021.
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