Bajaj Finance Q4 FY26: PAT up 22%, ₹6 dividend

Key takeaway from the March 2026 quarter

Bajaj Finance reported a stronger March 2026 quarter, with year-on-year growth across profit, net interest income, and loan additions. Alongside the earnings announcement, the board recommended a final dividend for FY26, including a special component linked to gains from the sale of Bajaj Housing Finance Ltd (BHFL) shares. The results matter for investors tracking how large NBFCs are balancing growth and credit quality in a mixed lending environment. The company also disclosed updated asset quality indicators and its operating cost ratio for the quarter.

Q4 FY26 profit rises on a consolidated basis

For Q4 FY26, Bajaj Finance reported consolidated profit after tax (PAT) of ₹5,553 crore, up 22.15% year-on-year. In the same quarter last year (Q4 FY25), the company’s consolidated PAT stood at ₹4,546 crore, as stated in the results update. This profit growth was reported alongside higher net interest income (NII) during the quarter. While the company did not detail all line items in the provided update, it did share cost and asset-quality metrics that investors typically track closely.

Net interest income growth remains strong

Bajaj Finance said its net interest income (NII) rose 20% in Q4 FY26 to ₹11,781 crore, compared with ₹9,808 crore in Q4 FY25. NII is a key indicator for lenders as it reflects the spread between interest earned and interest paid. The reported increase suggests higher earning assets, improved spreads, or a combination of both. Investors often compare NII growth with loan growth and credit costs to gauge whether performance is broad-based.

Loan additions increase to 1.28 crore in the quarter

During Q4 FY26, Bajaj Finance booked 1.28 crore new loans, up from 1.07 crore in Q4 FY25. This translates to a 20% rise in new loan additions over the year-ago quarter, according to the company’s update. New loan volumes are an important operating metric for the firm, given its presence across consumer, personal, and other retail credit products. The quarterly loan growth also provides context for the NII expansion reported for the period.

Operating expense ratio ticks up slightly

Bajaj Finance reported that its operating expenses to net total income ratio for Q4 FY26 stood at 33.8%. This was marginally higher than 33.6% in Q4 FY25. Even small movements in this ratio can matter for lenders, especially when growth is being pursued through higher customer acquisition, servicing, and distribution costs. The disclosed ratio offers a direct view of operating efficiency in the quarter.

Asset quality: gross NPA at 1.01% as of March 31, 2026

On the asset quality front, Bajaj Finance reported gross non-performing assets (GNPA) of 1.01% and net NPA (NNPA) of 0.41% as of March 31, 2026. A year earlier, as of March 31, 2025, GNPA stood at 0.96% and NNPA at 0.44%. The update indicates GNPA rose slightly year-on-year, while NNPA improved. Asset quality numbers are closely monitored for NBFCs, particularly when loan growth remains strong.

Dividend announced: ₹6 per share for FY26, including special payout

Alongside results, the board recommended a final dividend of ₹6 per equity share (face value Re 1 each) for the financial year ended 2026, subject to shareholder approval. The company said this includes a special payout of ₹0.60 per share, arising from the exceptional gain on sale of BHFL shares. It also noted that the previous year’s overall dividend was ₹5.60 per equity share (face value Re 1 each), adjusted for split and bonus.

Record date and expected credit timeline

The record date for determining eligible shareholders for the FY26 final dividend has been fixed as June 30, 2026. If approved at the upcoming Annual General Meeting, the company said the dividend would be credited on or around August 3, 2026. For investors, these dates determine eligibility, because shareholders must hold the shares as per the applicable settlement cycle to be on the company’s register by the record date.

Stock performance mentioned in the update

Bajaj Finance stock has gained 16.37% over the past one month, as noted in the provided information. Short-period moves can be influenced by broader market risk appetite, interest-rate expectations, and earnings momentum. However, the company’s update focused mainly on operating and financial metrics, along with shareholder payout details.

Snapshot table: key numbers disclosed

Dividend dates table: what investors should track

Market impact: what the numbers indicate

The reported combination of 20% NII growth and 20% growth in new loans points to strong operating momentum in Q4 FY26. The slight increase in the operating expense ratio to 33.8% suggests costs moved broadly in line with activity, though investors will watch whether the ratio stabilises in coming quarters. On credit, the GNPA movement from 0.96% to 1.01% shows a modest uptick in gross stress, while NNPA improved from 0.44% to 0.41%, indicating net-level stability. The dividend recommendation, including a special component from BHFL stake-sale gains, adds a shareholder return element tied to a disclosed exceptional gain.

Analysis: why the dividend and asset quality details matter

For NBFC investors, dividend announcements carry added significance when they include special components, because these payouts may not recur unless similar exceptional gains arise. The company explicitly linked the ₹0.60 per share special payout to exceptional gains from the sale of BHFL shares, making the source of the distribution clear. Separately, the year-end asset quality numbers provide a check on whether loan growth is being maintained without a sharp rise in delinquencies. The reported GNPA and NNPA levels remain close to 1% and below 0.5%, respectively, based on the disclosed figures.

Conclusion

Bajaj Finance’s Q4 FY26 update showed higher consolidated PAT, higher NII, and increased loan additions, along with stable reported asset-quality metrics and a slightly higher cost ratio. The board has recommended a ₹6 final dividend for FY26, including a ₹0.60 special payout linked to BHFL share-sale gains, with June 30, 2026 set as the record date. Investors will next track shareholder approval at the Annual General Meeting and the expected dividend credit around August 3, 2026.