<p>Indian shadow lender Bajaj Finance posted a bigger-than-expected rise in third-quarter profit on Friday, helped by a drop in provisions for bad loans and an increase in interest income.</p>.<p>The company's consolidated net profit rose 39.9 per cent to Rs 29.73 billion rupees ($364.8 million) in the quarter ended Dec. 31. Analysts on average were expecting a profit of 29.24 billion rupees, according to Refinitiv IBES.</p>.<p>Credit off-take has risen in India in recent months, even as lending costs increased with the pick up in economic activity from pandemic lows, which has driven robust earnings for lenders.</p>.<p>Bajaj Finance said its loan losses and provision fell to 8.41 billion rupees in the latest quarter from Rs 10.51 billion a year earlier.</p>.<p>The non-bank lender's asset quality improved slightly, with gross non-performing assets as a percentage of total loans slipping to 1.14 per cent as on end-December from 1.17% at end-September.</p>.<p>Net interest income, the difference between interest earned and paid, rose 24 per cent to Rs 74.35 billion .</p>.<p>Earlier this month, the company said it added 3.1 million customers in the quarter, while its new loans booked rose 5 per cent year-on-year.</p>.<p>The company's assets under management as of end-December was 33 per cent higher than a year ago.</p>
<p>Indian shadow lender Bajaj Finance posted a bigger-than-expected rise in third-quarter profit on Friday, helped by a drop in provisions for bad loans and an increase in interest income.</p>.<p>The company's consolidated net profit rose 39.9 per cent to Rs 29.73 billion rupees ($364.8 million) in the quarter ended Dec. 31. Analysts on average were expecting a profit of 29.24 billion rupees, according to Refinitiv IBES.</p>.<p>Credit off-take has risen in India in recent months, even as lending costs increased with the pick up in economic activity from pandemic lows, which has driven robust earnings for lenders.</p>.<p>Bajaj Finance said its loan losses and provision fell to 8.41 billion rupees in the latest quarter from Rs 10.51 billion a year earlier.</p>.<p>The non-bank lender's asset quality improved slightly, with gross non-performing assets as a percentage of total loans slipping to 1.14 per cent as on end-December from 1.17% at end-September.</p>.<p>Net interest income, the difference between interest earned and paid, rose 24 per cent to Rs 74.35 billion .</p>.<p>Earlier this month, the company said it added 3.1 million customers in the quarter, while its new loans booked rose 5 per cent year-on-year.</p>.<p>The company's assets under management as of end-December was 33 per cent higher than a year ago.</p>