Bajaj Finance jumps 6% after highest loan growth in 11 quarters

Shares of Bajaj Finance rallied 6 percent intraday on July 9 after the company reported the highest loan growth in the last 11 quarters. The stock had fallen 8 percent on July 8.

The stock was quoting at Rs 3,614.25, up Rs 199.50, or 5.84 percent on the BSE at 1210 hours IST.

As per the provisional data, the non-banking finance company said it booked 7.3 million new loans during the quarter ended June 2019 against 5.6 million in same period last year. In Q1, the company acquired 2.5 million new customers, it added.

Bajaj Finance further said its assets under management (AUM) stood at approximately Rs 1.29 lakh crore as of June 2019, increasing significantly by 41.3 percent compared to Rs 91,287 crore as of June 2018 and 11.3 percent compared to Rs 1,15,888 crore at the end of March 2019.

Customer franchise as of June 2019 stood at approximately 36.9 million, which was quite higher compared to 28.3 million in the same period last year.

Bajaj Finserv was also trading higher at Rs 7,911.20, up 4.27 percent. It had shed 10 percent in the previous session after Sanjiv Bajaj, Managing Director told CNBC-TV18 that as the economy is slowing down, Bajaj Finance has seen slower growth in Q1FY20.

“For the first time, TV sales are lower than last year, and SME and rural lending are also seeing a slowdown,” he said.

[“source=moneycontrol”]