You are here: Home » Opinion » Financial X-Ray
Business Standard

Lingering impact of note ban on Bajaj Finance

Loan loss provisioning in Q4 at Rs 290 cr is highest in last 5 quarters, signals 86% jump

Hamsini Karthik  |  Mumbai 

Bajaj Finance is often considered as a benchmark in the non-banking financial services space for its asset quality. But, of late, it is becoming tough for Bajaj Finance to keep pace with the expectations. This is why, despite March quarter (Q4) results being in-line with analysts' estimates, the rise in gross non-performing assets (NPA) ratio disappointed investors, and weighed on Bajaj Finance's stock price which fell by 1.6 per cent on Wednesday. Loan loss provisioning in Q4 at Rs 290 crore is the highest in the last five quarters and signals 86 per cent jump ...

TO READ THE FULL STORY, SUBSCRIBE NOW AT JUST Rs 149 A MONTH

Key stories on business-standard.com are available to premium subscribers only.

LOGIN

EMAIL / USER NAME
PASSWORD
REMEMBER ME Forgot password?

Not a member yet ? Resister Now

Connect using any below

  • Don't lose the opportunity of saving $26.77 per month
  • Don't lose the opportunity of saving $26.77 per month
Total Amount
Rs. 0.00
To proceed, kindly select a subscription package

WHAT YOU GET

On Business Standard Digital

  • Access your subscription from anywhere. Be it your computer, tablet or smartphone using a browser or the App, Your Choice.
  • Access to exclusive content, features, opinions and comment, hand-picked by our editors, just for you.
  • Pick your 5 favourite companies. Get all the news upates at the end of each day through E-Mail.
  • Pick the industry that you want to track. And get a daily news letter specific to that industry. Cut out the clutter.
  • And stay on top of your investments. Track stock prices in your portfolio
  • Access 18 years of archival data

On Digital

  • Seamless access to WSJ.com with your Business Standard digital account.
  • Experience the best of the Journal's reporting, video and interactive features.
  • Read about the people and events shaping business, finance, technology, politics, technology and culture.
  • Stay informed with newsletters - an easy way to get WSJ content straight to your inbox - making life easier on your busiest days.
  • More business executives read the Journal globally than any other publication.
*Note :
Our Partners are proud to be associated with this initiative and will contribute Rs 100 x 6 months thereafter, standard rate of Rs 149 will be charged.
Offer valid for Indian residents only
Requires you to share personal information like PAN, Date of Birth, and Income.
*Annual saving on WSJ subscription price of US$ 347.88 (12 months @ US$ 28.99 per month)
* 1US$ = 67.50 INR.
*Please note that this offer is not valid if you are/were a registered/existing user on WSJ Digital
RECOMMENDED FOR YOU

Lingering impact of note ban on Bajaj Finance

Loan loss provisioning in Q4 at Rs 290 cr is highest in last 5 quarters, signals 86% jump

Bajaj Finance is often considered as a benchmark in the non-banking financial services space for its asset quality. But, of late, it is becoming tough for Bajaj Finance to keep pace with the expectations. This is why, despite March quarter (Q4) results being in-line with analysts' estimates, the rise in gross non-performing assets (NPA) ratio disappointed investors, and weighed on Bajaj Finance's stock price which fell by 1.6 per cent on Wednesday.Loan loss provisioning in Q4 at Rs 290 crore is the highest in the last five quarters and signals 86 per cent jump year-on-year. However, provisions for the quarter were higher due to an additional charge of Rs 89 crore on account of demonetisation. "Post demonetisation we estimated the resultant impact on our book at Rs 100 - 120 crore. Of this, we have provided Rs 89 crore in Q4. So, there could be some spill over in the next quarter also," explains Rajeev Jain, managing director, Bajaj Finance. Jain attributes much of the incremental ... Bajaj Finance is often considered as a benchmark in the non-banking financial services space for its asset quality. But, of late, it is becoming tough for Bajaj Finance to keep pace with the expectations. This is why, despite March quarter (Q4) results being in-line with analysts' estimates, the rise in gross non-performing assets (NPA) ratio disappointed investors, and weighed on Bajaj Finance's stock price which fell by 1.6 per cent on Wednesday. Loan loss provisioning in Q4 at Rs 290 crore is the highest in the last five quarters and signals 86 per cent jump ... image
Business Standard
177 22

Lingering impact of note ban on Bajaj Finance

Loan loss provisioning in Q4 at Rs 290 cr is highest in last 5 quarters, signals 86% jump

Bajaj Finance is often considered as a benchmark in the non-banking financial services space for its asset quality. But, of late, it is becoming tough for Bajaj Finance to keep pace with the expectations. This is why, despite March quarter (Q4) results being in-line with analysts' estimates, the rise in gross non-performing assets (NPA) ratio disappointed investors, and weighed on Bajaj Finance's stock price which fell by 1.6 per cent on Wednesday. Loan loss provisioning in Q4 at Rs 290 crore is the highest in the last five quarters and signals 86 per cent jump ...

image
Business Standard
177 22