Bajaj Housing Finance profit rises, but sequential margin slips
Standalone revenue growth outpaced expenses year on year, while higher sequential costs pulled operating margin down from 92.39% to 91.96%.
Filed 16 Oct 2026, 15:53 IST · after market close · Bajaj Housing Finance Ltd (BAJAJHFL)
Key takeaways
- Standalone net profit rose 17.73% year on year as revenue grew 17.99% while expenses increased 3.43%.
- Operating margin fell 0.43 percentage points sequentially because expenses grew 12.18%, faster than revenue growth of 6.12%.
- Operating margin remained 31.39 percentage points above the 60.57% median for 12 Financial Services peers that have reported.
Price around the results
Revenue momentum continued, with profit growth below operating growth
Revenue increased 17.99% year on year, while operating profit grew 19.47%, lifting operating margin by 1.13 percentage points. Profit before tax rose 17.66% and net profit increased 17.73%, broadly tracking the 20.43% rise in interest expense. These are standalone results.
Sequential cost growth reversed part of the margin gain
Revenue grew 6.12% sequentially, but expenses rose 12.18%, so operating margin narrowed 0.43 percentage points. Interest expense increased 5.73%, adding pressure below operating profit. The tax rate declined 0.24 percentage points, while other income contributed only 0.05% of pre-tax profit, so neither materially changed profit quality.
Margin remains well above peers after a multi-quarter climb
Operating margin rose from 90.65% in Q1FY26 to 92.39% in Q1FY27 before easing to 91.96% this quarter, ending the recent upward run without reversing it. The margin was 31.39 percentage points above the 60.57% median among 12 Financial Services peers that have reported the quarter.
Results were filed after market close; past reactions are evenly split
The results were filed after market close, so there is no market reaction to assess yet. Across the last eight result reactions, the stock rose four times and fell four times, with a median absolute move of 1.53%.
Q2FY27 at a glance
Standalone figures as filed with NSE — filed ahead of third-party databases, not yet independently cross-checked.
| Line item | Q2FY27 | Q1FY27 | QoQ | YoY |
|---|---|---|---|---|
| Revenue | ₹3,251 cr | ₹3,063 cr | +6.12% | +17.99% |
| Other income | ₹1 cr | ₹0 cr | +1633.33% | +246.67% |
| Expenses | ₹261 cr | ₹233 cr | +12.18% | +3.43% |
| Operating profit | ₹2,989 cr | ₹2,830 cr | +5.62% | +19.47% |
| Operating margin (%) | 91.96% | 92.39% | — | — |
| Interest | ₹1,997 cr | ₹1,888 cr | +5.73% | +20.43% |
| Depreciation | ₹13 cr | ₹13 cr | +4.05% | +14.27% |
| Profit before tax | ₹980 cr | ₹929 cr | +5.49% | +17.66% |
| Tax | ₹223 cr | ₹213 cr | +4.36% | +17.43% |
| Net profit | ₹757 cr | ₹715 cr | +5.83% | +17.73% |
| EPS (₹) | ₹0.91 | ₹0.86 | +5.81% | +18.18% |
Operating margin of 91.96% compares with a Financial Services sector median of 60.57% across 12 peers that have reported Q2FY27.
What to watch
- Whether operating margin holds above 91.96% after the sequential decline.
- Whether expenses continue to grow faster than revenue after the 12.18% versus 6.12% increase this quarter.
- Whether interest expense growth moderates from 5.73% sequentially and 20.43% year on year.