Bajaj Finance: Strong Q1 Business Update Drives Market Optimism:-
Some important companies and some important updates related to them, The name of the first company is Bajaj Finance LED. Disclaimer that all the company related news and updates that we will cover are only for educational purposes. So do not consider this as any kind of investment advice. You can also do your own research and analysis. Now the biggest reason to remain in focus is news.
Stock Reaction:-
Now the news that we are hearing is related to the company’s business. But are all those things exactly there ? About today, at one time you saw a rise of around 3% in Bajaj Finance. The reason was that yesterday the company had shown its Q1 business update and the market has liked that business update very much because whether we talk about the company’s new loan booking or assets under management, the company has reported very good growth in both in this quarter one. Now let us understand all the figures clearly.
Key Financial Highlights:-
So look, it has been mentioned here that we are about NBFC i.e. Bajaj Finance. This time, if we compare their assets under management on year on year basis, they have seen an increase of more than 25%. This time we have seen the asset under management of the company going up to 441000, sorry yes 441000 crores and if we compare this with quarter one of last year, it was 354000 crores there, which means the company has shown a growth of 25% on year on year basis. Now look, this growth of 25% has been shown by the company in the period when the repo rate was at 6.5%. Now the repo rate has been cut by 1% and if you look at the current time, it is around 5.5%. That is, the market expects that if the company is currently showing a growth of 25% in assets under management, then it is possible that the company may be seen reporting better growth than this in quarter two. Ok? So keep this thing in mind. Now apart from this, friends, if we talk about how much has the asset under management increased in this quarter? So if we look on a sequential basis, we have seen an increase of Rs 24,750 crore in the asset under management of the company. If we compare the assets under management of the previous quarter with this quarter. This time we have seen an increase of around 4.69 million in Q4 and the total has reached a little above 106 million. You can say that the total customer franchise of the company is 106.51 million. If we compare it with last year’s data, last year the number was 88 million and currently this number has crossed 100 million. This means the company has more than 10 crore customer franchisees. We can say this. About new loans, that how many loans the company has booked this time, then this time we are seeing a growth of 23% on year on year basis, the total loans booked by the company is around 13.49 million. If compared to last year, the company had booked 10.97 million. So we are seeing good growth in new loan booking as well and in fact, a growth of more than 20% is being seen. And friends, if we talk about deposits, then we have witnessed very healthy growth in that too. There is a jump of about 25% in the number of deposits. The company currently has deposits worth Rs 72 crore. If you look at last year’s record, it was Rs 62774 crore. Now the initial guidance of the company for the financial year 2026 was of a growth rate of 25 to 27%. Of the company’s assets under management. Then the company reduced it to 24 to 25%.
Business Outlook:-
Earlier the company had said that we will achieve a minimum growth of 25%. And now the company has said that maximum we will achieve 25% growth. And how much of the company’s assets under management was reported ? 25% means around the maximum number. Now, this growth rate shown by the company is based on the repo rate of 6.5%. Now the repo rate is around 5.5%. So it is possible that the company’s earlier guidance of 25 to 27% may be seen achieving this in the financial year 2026. Keep this thing in mind and if we about the net interest margins of the company, then if we look at it in the last some time, the company has lost it. If the company improves it, then this time not only the revenue of the company but also its profits will be seen growing in a better way. Which was not seen in the last 1 year. So the company will be seen paying attention to that too in the financial year 2026. And keep this thing in mind as an investor because we have covered everything related to business.
Jio Financial Services: Enters Stock Broking with SEBI Approval:-
Right now, Jio Finance service was also in a lot of focus. The reason was that SEBI had given it license to work as a stock broker. Now after receiving this license, we expected that we would see their revenue and profit increasing slightly in the upcoming quarters. Which is also necessary because now this company is also a part of Nifty 50, so the company must show growth. Only then you can say that Nifi’s movements will also look good. If non- growing companies remain a part of Nifty, then you will see slow movements of Nifty too. So this is why all these things are important. It is important to show good numbers. Now a lot of people were also questioning this thing, whether as a stock broker it can get growth or not? So recently we saw some data of NSC in which it was mentioned that if we talk about registered investors in India, then the total is 11.5 crore.
Market Context:-
If we compare it with the total population then the number is very small. If we compare the rest of the growing sorry not growing developed countries with this data. Now the population is more than 140 crores. Out of that only 11 crore people invest in the market. So, this clearly shows that if we look at the number as a percentage of the total population, it is coming out to be very small. So this market will no doubt grow in the future. Many more people will join the stock market. This is as far as it seems. Now because of this, if Jio finance services are working as a stock broker, then don’t think that the old companies of this field, whether we talk about Sher Khan’s Motilal Oswal or we can talk about discount broking companies, Zerodha or Jalen G, don’t think these companies are going to have any major problem because of Jio Finance services. Now, regarding Jio Financial Services, a statement came from the CEO of Zerodha that it can grow. But it is not like it will trouble the old players in the market. It can grow because its distribution network is strong. It will not be able to trouble the rest of the old players because this market is already big and it is a continuous growth opportunity in the market. About the FMCG market, we see limited growth there. Now if any player comes there and quickly gains a large market, then the old players will have a problem with it because there is limited growth there. But there is no growth like FMCG here. There is more growth than this. Because of this, the new player will definitely have his place but he will not be able to trouble the old players too much, as far as this data says. But many people may say that they will not agree with this because many people know that whenever Reliance enters any business, it troubles the old players of that business. Because we saw a new development in the communication industry due to the arrival of Jio. After that we saw dmar’s growth slowing down a bit. Because of the fame of Reliance Airtel.
MBIQuic Also Enters the Game: Receives Broking License:-
So there are a lot of things that we have seen before. But all those segments were limited growth segments and not massive growth ones. You can never deny this thing. Now this can be important news for all those people who were saying that Jio finance service will trouble other stock broking companies. So the news here is that friends, Motilal Oswal, sorry not Motilal Oswal, MBQic was seen performing well today. The reason was that SEBI has given them license to work as a stock broker. That is, we can say that if Jio Financial Service disturbs anyone then it will disturb the old players. If a new player is also coming in the market then due to this Jio financial service will get disturbed. SAt the growth that we are seeing in this market right now, then you will see many more new players getting introduced in this market. In this, Mikwic is also seen connecting with these markets. So if we look at this news overall in a little detail then it is mentioned here that mwick suryoj broking private limited which is a subsidiary company of mbiquic has received approval from SEBI to form a stock broking company or to work as a stock broking company. Now what will you do in this brother? So you will get to see all the details here. If you want, you can pause the screen and read. So, note down all these things. If seen, this is not any negative news for Jio finance service. But yes, this can be negative news for those who were saying that due to increasing competition, old players in this market will face problems.So you should keep all these things in mind. There is no other kind of recommendation. All things were for learning only. Now, whatever things we have seen till now related to the joint venture, we have seen them related to the joint venture. We haven’t heard any massive news related to their main subsidiaries like Jio Finance, Jio Insurance Broking, Payment Solutions etc. till now. So it is possible that in the future we may see some big updates related to these too. One of which is related to the insurance segment, which may be seen tying up with Jio Financial Services Alliance Group.
ZDS Wellness Announces 1:5 Stock Split:-
But till now all those things are being heard through reports and there is no official news. So you just take care of this. Now apart from this, let’s talk about the next company which has recently announced a split in the ratio of 1:5. The name of the company is ZDS Wellness. Now this company has announced a split in the ratio of 1:5. That means the company has decided to give five equity shares in exchange of one as a split. So if you are an investor in this company then you can take note of this news.