Bajaj Housing Finance Limited — Q1 FY26
Bajaj Housing Finance reported a balanced Q1 FY26 with AUM growth of 24% YoY and PAT growth of 21% YoY to INR 583 crore.
neutral
high
Financial stats pending filing verification
Claim Ledger
Did management answer the analysts?
Every material analyst question, graded on whether management actually answered it — with the verbatim exchange and quantitative claims checked against filed numbers.
86%Questions answered0Evaded / deflected11Questions audited
Answered
High priority
Confirms revised guidance: AUM growth down 300bps, margin compression 5bps more, ROA ~2.2%.
Asked by Dhaval Gada, DSP
Management confirmed the analyst's understanding with specific numbers.
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Question
Effectively, we have cut down our AUM expectation by approximately 300 basis points versus our previous assessment. In terms of margin, there is another 5 basis points of impact... Is the broad guidance understanding correct or is there any change?
Atul Jain, Managing Director
Broadly correct, Dhaval. 21%-23% against at medium term over 24%-26% is AUM growth trajectory is correct. Margins, we are likely to see a completion of 5 to 10 basis points, which is what is called out.
Answered
High priority
When will competitive dynamics normalize and growth return to medium-term trajectory?
Asked by Dhaval Gada, DSP
Management gave a specific timeline (Q3) for normalization.
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Question
Do you see this somewhere in the second half of this year and maybe early 2027, you see the catch-up happen from a competitive dynamics perspective?
Atul Jain, Managing Director
Our hope would be that by end of quarter three or so, we should be able to go back to, that's why we have not changed our medium-term guidance.
Partial answer
Medium priority
What is driving strong LAP growth? Is it expansion into new states or customer profiles?
Asked by Raghav Garg, Ambit Capital
Explained strategy but did not specify geographic or customer expansion details.
no specific states or profiles given
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Question
What are you doing to deliver this kind of growth in the LAP portfolio? Is it expansion into newer states or new customer profiles?
Atul Jain, Managing Director
We see an opportunity which is risk-return metrics being more positive in LAP versus LRD, we will increase that ratio. We are data-dependent and the market competitive activity dependent.
Answered
Medium priority
What is the disbursement yield on LAP vs home loan portfolio?
Asked by Raghav Garg, Ambit Capital
Management provided a specific range for the yield differential.
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Question
What would be your disbursement yield on the LAP portfolio and versus say whatever you're charging in the home loan portfolio? How much higher would it be?
Atul Jain, Managing Director
Approximately on a thumb rule basis, I think it will be higher by 100-120 basis points.
Partial answer
Medium priority
Why is employee OpEx growing at 30%? When will growth rate come down?
Asked by Raghav Garg, Ambit Capital
Management corrected the growth rate but did not give a timeline for moderation.
corrected analyst's number but did not fully address when growth will slow
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Question
When I just look at your employee OpEx and then divide that by the average number of employees, that number... has been growing at a rate of 30% for the last many quarters. What is driving such growth?
Gaurav Kalani, CFO
Employee cost has year-on-year grown 20%. From INR 113 crore to INR 135 crore.
Answered
High priority
Why is home loan growth slowing? Is it competition or demand?
Asked by Nischint Chawathe, Kotak
Management listed specific factors and gave disbursement growth data.
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Question
If I look at the growth rate in home loans, and that's kind of consistently sort of slowing down from 30%... I am curious, is this because of just heightened competition, or is it to do with the fact that demand has not yet picked up?
Atul Jain, Managing Director
The growth rate in HL has come down due to... three factors. One is a real estate market has been showing some moderation... Second part is the market being slower...
Answered
High priority
How much of the 45bps PLR cut has been passed on and when will it reflect?
Asked by Nischint Chawathe, Kotak
Management clarified the timing and amount of the rate cut passed on.
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Question
45 is fully passed on or 45 will be reflected from or how much will be reflected from the next quarter?
Atul Jain, Managing Director
45, 20 is passed on on 1st of July. What we are factoring in for the ROAs for the coming quarters or for the full year is factoring in what we have passed on on 1st of July.
Partial answer
Medium priority
What are the incremental yield and disbursement growth for HL and LAP?
Asked by Prithviraj Patil, Investec
Management gave HL yield but did not provide LAP disbursement growth or incremental yield.
disbursement growth for LAP not provided
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Question
If you could just spell out the incremental yield on the HL and LAP portfolio and the disbursement growth as well for the HL and LAP portfolio for this quarter.
Atul Jain, Managing Director
In HL, aggregate average yield is 8.76% for the quarter gone by. In terms of yield, it will remain between 9.6, 100-120 basis points higher than what it is in HL.
Answered
Medium priority
Why did stage 3 PCR decline QoQ? Is there a change in provisioning policy?
Asked by Abhijit Tibrewal, Motilal Oswal
Management explained the fluctuation is due to additional risk assessment, not policy change.
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Question
I saw it's declined... about 4% QOQ. I mean, what is happening there on the stage 3 PCR line?
Gaurav Kalani, CFO
There is no change between the provisioning policy of the company between March to June. It's a function of an outcome of... cases which is as per our policy, we go and provide extra than our ECL model if the risk assess is to be there.
Answered
High priority
Why has margin compression guidance increased from 10-15bps to 15-20bps?
Asked by Abhijit Tibrewal, Motilal Oswal
Management explained the reasons for the increased compression guidance.
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Question
In the last earnings call, you'd guided for margin compression of 10-15 basis points... This time around, we have guided for a 15-20 basis points margin compression this year. So now that mitigation through improvement in product mix will no longer hold this year, is it?
Atul Jain, Managing Director
When we are saying 15-20 basis points... it is largely due to what we are saying elevated from a 10-15 basis points to 15-20 basis points is because of a reduction in other income due to lower investment income...
Answered
High priority
Is the 5-10bps margin compression incremental to the earlier 10-15bps?
Asked by Viral Shah, IIFL Capital
Management gave a clear affirmative answer.
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Question
You mentioned 5-10 basis points kind of a margin compression or minimum compression. That is incremental, right, versus 10-15 you had mentioned earlier?
Atul Jain, Managing Director
Yes. Yes. Yes.
Partial answer
Low priority
What is the blended yield on the bulk of the HL portfolio?
Asked by Shubhranshu Mishra, PhillipCapital
Management gave overall portfolio yield but not the specific blended yield for the majority of the book.
did not provide a segmented yield for the bulk of the portfolio
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Question
A bulk of our portfolio, whatever that number is, 50%, 60%, what would be that blended yield? Not on the entire portfolio. What is basically our comfort yield or a mid 80% range for our portfolio, HL portfolio?
Gaurav Kalani, CFO
Overall portfolio, so HL yield is at a portfolio yield is around 9%.