Bajaj Finance posted good growth in its loan and deposit books in Q1FY26. Compared to the corresponding quarter in the financial year 2025, the company recorded a 23 percent growth in loans and a 15 percent increase in deposits in the first quarter of the financial year 2026.

In its quarterly business report, released on Thursday, Bajaj Finance stated that about 1.34 crore new loans were booked by the company in Q1FY25, in contrast to 1.09 crore in QFY25.

Additionally, the company said its deposits grew from Rs 62,774 crore in the fourth quarter of FY 25 to Rs 72,100 crore in Q4FY26. Furthermore, Bajaj Finance’s customer franchise also increased by 4.69 million in the quarter. The company’s customer franchise stood at 106.51 million by the end of Q1FY26. 

Analysing Bajaj Finance’s Q1 performance, Jefferies in its report, highlighted that the Assets Under Management (AUM) grew by 25 percent in the quarter, on a year-on-year basis. The company said that its AUM stood at Rs 354,192 crore as of June 30,  2024 which increased to Rs 441,400 crore by June 30, 2025. 

Jefferies said that Bajaj Finance’s AUM growth is encouraging, as it comes in a quarter when sales of consumer durables were down. Further, Jefferies added that the company’s AUM growth may have been aided by better trends in other segments, including cross-selling of personal loans and SME loans. 

Maintaining its ‘Buy’ call on Bajaj Finance, Jefferies said that the company’s healthy asset growth and easing fund costs can help its earnings and valuation. It has set a target price of Rs xx per share, implying upside of xx% from current levels.