Bajaj Finance and Bajaj Finserv: Revenue, Profit and Stock Performance Comparison

Bajaj Finance and Bajaj Finserv are two of the most recognised names in India’s financial services sector. Both companies operate under the Bajaj Group umbrella, yet their business models differ. Bajaj Finance is a leading Non-Banking Financial Company (NBFC), while Bajaj Finserv functions as a holding company with interests in lending, insurance, and wealth advisory. Investors and analysts often compare them to understand growth trends, profitability, and stock market performance. This blog offers a clear analysis of revenue, profit, and stock movements of Bajaj Finance and Bajaj Finserv to help readers grasp their current standing.

Company Overview

Bajaj Finance is known for its wide range of lending products. It caters to retail, SMEs, and commercial clients, and also accepts deposits. With its deep presence across urban and rural India, it has emerged as one of the country’s strongest NBFCs.

Bajaj Finserv, on the other hand, is a holding company. It controls Bajaj Finance and also operates insurance businesses through Bajaj Allianz Life Insurance and Bajaj Allianz General Insurance. Additionally, it runs advisory services and has investments in renewable energy through wind power.

While Bajaj Finance focuses primarily on lending, Bajaj Finserv derives strength from a diversified business portfolio. This difference plays a key role in how their revenues and profits are reported.

Revenue Comparison

Bajaj Finance has shown strong momentum in its income from operations. For the quarter ending June 2025, it reported ₹16,437.75 crore in net sales. Total income from operations stood at ₹16,696.54 crore, reflecting steady growth from the previous year. Over the last 12 months, Bajaj Finance generated ₹73,106.11 crore in revenue, showing an annual growth of 27%.

Bajaj Finserv’s revenues, by contrast, appear smaller on a standalone basis. For the June 2025 quarter, its income from operations was ₹434.37 crore. However, when considering consolidated revenue across lending, insurance, and advisory segments, Bajaj Finserv recorded ₹1,37,779.99 crore for the trailing twelve months. This highlights the broad base of Finserv compared to Finance, even though Bajaj Finance is the engine driving a major share of this revenue.

In short, Bajaj Finance demonstrates stronger standalone growth, while Bajaj Finserv’s consolidated numbers show the power of diversification across financial services.

Profit Comparison

When comparing profitability, Bajaj Finance again stands out with robust earnings. In June 2025, it posted a net profit of ₹4,133.08 crore, supported by rising demand for loans and consistent repayment trends. Its pre-tax margin stood at 32%, which is considered excellent for the NBFC sector. Return on Equity (ROE) at 17% also indicates efficient use of capital.

Bajaj Finserv’s profit figures are different because of its role as a holding company. For the same quarter, it reported a net profit of ₹329.92 crore. On a trailing twelve-month basis, its consolidated pre-tax margin was 18% with an ROE of 12%. The relatively lower profitability compared to Bajaj Finance is due to its diverse portfolio, which includes insurance segments that naturally carry lower margins.

Thus, Bajaj Finance appears more profitable on a per-unit basis, while Bajaj Finserv balances steady returns across multiple businesses.

Valuation Metrics

Looking at valuations, Bajaj Finance trades at a P/E ratio of 31.3 as of writing, while Bajaj Finserv trades at 32.1. The PEG ratio for Finance is 1.9, compared to 2.3 for Finserv, showing that Bajaj Finance may deliver slightly better growth relative to price.

Bajaj Finance has a P/B ratio of 5.6, higher than Bajaj Finserv’s 4.5. This indicates that investors pay a premium for Finance shares due to its consistent growth and strong profitability.

Dividend yields are modest for both. Bajaj Finance’s dividend yield is 0.6%, while Bajaj Finserv’s stands at 0.1%.

Business Structure Differences

The biggest distinction between Bajaj Finance and Bajaj Finserv lies in their structures. Bajaj Finance is the operating company that generates a significant portion of lending revenue. Bajaj Finserv, however, acts as the parent, pooling income from lending, life insurance, general insurance, and wealth advisory.

This structural difference influences how investors view them. Bajaj Finance is a pure NBFC play, while Bajaj Finserv provides exposure to multiple financial services under one umbrella.

Conclusion

Bajaj Finance and Bajaj Finserv, though closely linked, present different pictures in terms of revenue, profit, and stock performance. Bajaj Finance shows stronger standalone growth, higher profitability, and better stock returns over the past year. Bajaj Finserv, meanwhile, reflects the advantage of diversification with large consolidated revenue and stable long-term prospects.

For Indian investors and finance students, comparing these two companies highlights how structure and strategy shape financial outcomes. Bajaj Finance shines as a growth-driven NBFC, while Bajaj Finserv demonstrates the value of a multi-segment financial services group. Both remain important pillars of India’s financial sector, and their progress continues to attract attention from across the market.