Bajaj Finance MD Rajeev Jain seeks to stay involved in shaping strategy as term nears end

Mumbai: With his current term coming to an end in little over two months, Bajaj Finance Ltd's managing director Rajeev Jain plans to remain involved in shaping the strategy of the non-bank financier in his future role.

In March 2020, Jain was reappointed as the managing director for five years beginning 1 April. In January 2024, Bajaj Finance announced a clutch of changes in the leadership team. On Wednesday, Jain told analysts that the lender had laid down a comprehensive 15-month transition plan and it is 12 months into it. 

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Jain said that the plan will be reviewed by the nomination and remuneration committee of the board by March. 

“Subject to the board's decision, I intend to remain in Bajaj Finance and hopefully remain actively involved in shaping the strategy of BFL and its subsidiaries to drive short-term and medium-term goals,” he said. “This is how I would look at the future role, subject to how the board decides.”

Jain, who had joined Bajaj Finance as the chief executive officer in 2007, went on to become the managing director in 2015. Before joining Bajaj, he worked with GE, American Express and the American International Group (AIG).

Profit up

Meanwhile, Bajaj Finance on Wednesday posted a net profit of ₹4,308 crore in Q3, up 18% year-on-year (y-o-y).

“(It was a ) good quarter on volumes, assets under management and opex,” Jain told analysts. “Loan losses have rather stabilised; profit growth has begun to gain momentum, and RoA was steady.”  

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The company said in its presentation that booked the highest-ever new loans of 12.06 million and added 5.03 million new customers.

Its AUM was up 28% to ₹3.98 trillion in Q3 FY25 as against ₹3.1 trillion as of 31 December 2023. 

Its net interest income grew 23% to ₹9,382 crore in Q3 against ₹7,655 crore in Q3 of FY24. Bajaj Finance’s gross NPA (non-performing assets) and net NPA stood at 1.12% and 0.48% as of 31 December, respectively, as against 0.95% and 0.37% a year earlier.

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