Bajaj Finserv Margin Trend — Quarter by Quarter

Bajaj Finserv's EBITDA margin moved from 40.0% in Q1 FY24 to 38.0% in Q4 FY26 across 11 quarters. Management commentary below explains the cost and pricing drivers mentioned on calls.

EBITDA Margin by Quarter

Quarter	EBITDA Margin (%)	YoY Change
Q4 FY26	38.0%	—
Q3 FY26	35.0%	—
Q2 FY26	38.0%	—
Q1 FY26	40.0%	—
Q4 FY25	35.0%	—
Q3 FY25	39.0%	—
Q1 FY25	38.0%	—
Q4 FY24	34.0%	—
Q3 FY24	36.0%	—
Q2 FY24	38.0%	—
Q1 FY24	40.0%	—

What management said about ebitda margin

Q3 FY26 · Life insurance VNB margin expansion to continue, but taper

Management expects margin expansion to continue but at a slower pace due to base effects; GST impact pushed back margin targets by 2-3 quarters.

Q2 FY26 · GST ITC impact to be mitigated in two quarters

Management expects to manage the GST input tax credit burden through product restructuring and distributor negotiations within the next two quarters.

Q2 FY26 · Life insurance margin expansion of 4-6% for FY26 (pre-GST)

Excluding GST impact, management expected NBM expansion of 4-6% for the full year, but GST noise may affect H2.

Q1 FY26 · BAGIC aims to maintain combined ratio close to 100%

Management reiterated its endeavor to keep combined ratio close to 100%, despite current elevated levels.

Q4 FY25 · BALIC VNB margin trajectory to steepen

Management expects VNB margin expansion to accelerate, with benefits from cost actions and product mix fully playing out by FY27, but visible from H2 FY26.

Q3 FY25 · BALIC VNB growth to outpace top-line growth

Management expects VNB to grow faster than top-line due to product structure changes and focus on profitability.

Q3 FY25 · BAGIC to maintain combined ratio better than market

Continued focus on profitable growth with combined ratio superior to industry average.

Q2 FY25 · BALIC VNB margin improvement in H2

Management expects VNB margins to improve in H2 as product mix rebalances away from ULIPs and commission deferrals take effect.

Q1 FY25 · BAGIC expects combined ratio to normalize in subsequent quarters

Management indicated that large commercial claims in Q1 are one-offs and not expected to recur, with combined ratio likely improving.

Q1 FY25 · BALIC margins may see a pause in expansion this year due to surrender regulations

New surrender value norms could temporarily impact margin expansion, but medium-term expansion expected through product filings and cost optimization.

Q4 FY24 · BAGIC to maintain above-market growth with balanced profitability

Management expects continued market share gains driven by distribution expansion and prudent underwriting, but no specific growth target given.

Q4 FY24 · BALIC to grow faster than industry with improving margins

Directionally, NBV margins expected to improve due to scale and cost efficiencies, though no specific numbers provided.