Bajaj Finance Limited Overview
Bajaj Finance, starting as a vehicle financing company in 1987, has evolved into one of India's largest and most diversified non-banking financial companies (NBFCs), with an AUM increase of 29% to Rs. 197,452 crores in FY22. The company's diverse portfolio includes consumer lending (32% of AUM), which significantly contributes through financing consumer electronics and digital products, and mortgages (31% of AUM), offering home loans and loans against properties among others. Its SME lending (13% of AUM) caters to small businesses across over 1,500 locations, while its rural lending initiative (10% of AUM) covers 2,136 locations. The commercial lending segment (6% of AUM) supports industries like auto components and light engineering. Additionally, Bajaj Finance is a significant player in housing finance through Bajaj Housing Finance Ltd., with an AUM of Rs. 53,322 crores, and in the depository business via Bajaj Financial Securities Ltd. It's also the largest financier for Bajaj Auto, financing a substantial portion of two and three-wheeler sales. With investments in BFS-Direct and a pan-India presence with 3,504 branches, Bajaj Finance is poised for further expansion, including financing two-wheelers from other brands. The company boasts a competitive cost of funds, a healthy deposit book growth, and one of the lowest NPAs among NBFCs, highlighting its financial health and expansive reach.