MUMBAI: Bajaj Finserv reported consolidated profit after tax at Rs 2,229 crore for the December quarter, flat compared to Rs 2,231 crore a year ago, as higher provisions and one-time charges offset underlying growth in its businesses. Excluding these exceptional items, consolidated profit after tax increased 32% year-on-year to Rs 2,936 crore.Bajaj Finance, the group’s largest business, reported a decline in profit after tax to Rs 3,978 crore from Rs 4,246 crore in the year-ago quarter, reflecting higher provisions. Excluding the impact of accelerated expected credit loss provisions and one-time labor code charge, profit after tax rose 23% to Rs 5,227 crore. Its mortgage arm, Bajaj Housing Finance, reported a 21% rise in profit after tax to Rs 665 crore.Bajaj General Insurance reported a profit after tax of Rs 399 crore, down slightly from Rs 400 crore a year ago. Excluding one-time labor code charge, profit after tax rose 8% to Rs 430 crore. Gross written premium rose 12% to Rs 7,389 crore, while the combined ratio increased to 97.9% from 101.1%.Bajaj Life Insurance reported a loss of Rs 31 crore during the quarter, compared to a profit of Rs 222 crore a year ago. Excluding the one-time labor code charge, profit after tax was Rs 12 crore. Operating metrics improved, value of new business grew 59% year-on-year to Rs 405 crore.During the quarter, the group took an accelerated ECL provision of Rs 1,406 crore and a one-time charge of Rs 379 crore for the implementation of the new labor code, leading to a decline in consolidated profit after tax by Rs 707 crore.In January, Bajaj Finserv completed the acquisition of Allianz SE’s 23% stake in its general and life insurance subsidiaries, increasing its stake in both the companies to 75.01%. The transaction will be reflected in the financial statements from the date of acquisition.
