Free tools Windows power users keep installed
One-click scans. No signup required.
Bajaj Finance and Shriram Finance are both large Indian non-bank lenders, but their businesses have different centres of gravity. Bajaj Finance describes a diversified, platform-led strategy across consumer, MSME, commercial and rural customers; Shriram Finance’s FY2024–25 assets under management (AUM) were led by commercial-vehicle lending. That distinction shapes which risks investors should examine—it does not, by itself, establish which company is safer.
The figures below are for the financial year ended 31 March 2025 unless otherwise dated. Bajaj’s figures are consolidated where stated; Shriram’s AUM figures are reported as of 31 March 2025. Definitions and reporting scope may differ, so treat the figures as context rather than a fully harmonised risk ranking.
How do Bajaj Finance and Shriram Finance differ?
The central contrast is portfolio breadth and business design. Bajaj Finance presents itself as a multi-product financial-services platform, using physical and digital channels to serve consumer, MSME, commercial and rural customers. Its offerings include loans, deposits, payments, insurance, investments and broking. Shriram Finance is more vehicle-led: commercial vehicles were its largest disclosed AUM segment in FY2024–25, alongside passenger vehicles, equipment finance and other retail-credit businesses.
Both descriptions come from company reporting, not an independent assessment of the quality of each franchise. A broad product range can diversify exposures, but it does not guarantee that losses will be lower; a vehicle-led book creates a distinct concentration to assess, but does not by itself prove weaker performance.
#1 Best Overall
- Ideal for Gifting
- Ideal for a bookworm
- Compact for travelling
What do their FY2024–25 figures show?
AUM measures the size of a managed lending book, not the return earned for each unit of risk. Read it with credit costs, asset quality, capital, funding and profitability, and keep each figure’s period and reporting basis visible.
| Measure | Bajaj Finance | Shriram Finance |
|---|---|---|
| AUM | ₹416,661 crore, consolidated; FY2024–25. AUM grew 26% year over year. Bajaj Finance FY2024–25 annual report. | ₹263,190.27 crore; as of 31 March 2025. Shriram Finance FY2024–25 annual report. |
| Profit and growth | PAT was ₹16,779 crore, consolidated, in FY2024–25, up 16% year over year. Pre-impairment operating profit was ₹30,028 crore for FY2024–25. Bajaj Finance FY2024–25 annual report. | Not stated in the cited FY2024–25 overview on a matched basis. See the company’s FY2024–25 annual report for reported financial statements. |
| Credit quality and credit cost | Consolidated gross NPA was 0.96% and net NPA 0.44% at 31 March 2025. Impairment on financial instruments was ₹7,966 crore for FY2024–25. Bajaj Finance FY2024–25 annual report. | Not stated in the cited FY2024–25 overview on a basis comparable to Bajaj’s consolidated NPA ratios and impairment figure. Check definitions and period values in the Shriram Finance FY2024–25 annual report. |
| Capital | Consolidated CRAR was 21.93%, including Tier I adequacy of 21.09%, at 31 March 2025. Bajaj Finance FY2024–25 annual report. | Not stated in the cited FY2024–25 overview on a matched scope and definition. Consult the Shriram Finance FY2024–25 annual report. |
| Profitability indicators | Consolidated ROAA was 4.57% and ROAE was 19.19% for FY2024–25. Bajaj Finance FY2024–25 annual report. | Net interest margin was 8.55% for FY2024–25. NIM is not directly equivalent to returns after operating expenses and credit losses. Shriram Finance FY2024–25 annual report. |
The measures are not interchangeable: PAT is an earnings figure, impairment reflects recognised credit costs, NPA ratios describe asset-quality classifications at a date, and capital adequacy measures regulatory capital against risk-weighted assets. Before calculating a head-to-head ratio, confirm each company’s accounting scope, definitions and denominator in its audited statements and notes.
Rank #2
What is Shriram Finance’s loan book made up of?
The FY2024–25 segment table shows why Shriram’s risks need to be read through more than its total AUM. Each amount below is Shriram Finance’s reported AUM as of 31 March 2025.
| Segment | AUM |
|---|---|
| Commercial vehicles | ₹118,560.50 crore |
| Passenger vehicles | ₹54,104.49 crore |
| MSME | ₹37,413.55 crore |
| Two-wheelers | ₹15,580.56 crore |
| Personal loans | ₹9,609.71 crore |
| Construction equipment | ₹17,878.16 crore |
| Farm equipment | ₹5,206.60 crore |
| Gold loans | ₹4,836.70 crore |
Commercial vehicles were the largest disclosed segment, but the company also reported growth driven by MSME, two-wheeler, farm-equipment and passenger-vehicle loans. For vehicle-linked lending, useful analytical questions include how borrowers’ cash flows respond to vehicle utilisation, how collateral resale values behave, and how collections perform under stress. The cited segment table does not quantify the answers.
Which risks should an investor compare?
A fair comparison uses the same period, accounting scope and definitions on both sides. Bajaj’s published FY2024–25 disclosures provide several consolidated measures; the cited Shriram overview does not supply matched values for every ratio. Avoid turning a partial set of indicators into a categorical safety verdict.
| Risk area | Why it matters | What to compare |
|---|---|---|
| Portfolio concentration | Different loan types rely on different borrower cash flows and collateral cycles. | Compare the share and performance of major segments. Shriram’s commercial-vehicle segment was its largest disclosed AUM segment at 31 March 2025; Bajaj describes a multi-product strategy. These facts show different business mixes, not relative loss rates. |
| Credit quality | Delinquencies can emerge before they appear in reported NPA measures; provisions and write-offs give additional context. | Compare gross and net NPAs, delinquencies, write-offs, provisions and impairment or credit costs for the same period. Bajaj reported consolidated NPA ratios and impairment for FY2024–25; use Shriram’s audited statements to establish equivalent definitions and values. |
| Capital | Capital absorbs losses and supports growth. | Compare regulatory capital ratios using the same solo or consolidated scope and regulatory definition. Bajaj reported consolidated CRAR of 21.93% at 31 March 2025; the cited Shriram overview does not give a matched figure. |
| Funding and liquidity | Market and institutional funding dependence, tenor mismatch, repricing and liquidity access can amplify stress. | Review funding costs, liability maturities, liquidity buffers, undrawn lines and use of securitisation or direct assignment. Shriram’s FY2024–25 report discusses liquidity planning and longer-tenor borrowings; equivalent detail should be checked in both companies’ full reports. |
| Profitability through a cycle | Growth or a high margin alone does not reveal earnings after operating costs and credit losses. | Compare net interest income, operating expenses, pre-impairment profit, credit costs and returns on a matched basis. Bajaj reported ₹30,028 crore of pre-impairment operating profit and ₹7,966 crore of impairment for FY2024–25; Shriram reported 8.55% NIM for that year, which is not a complete profitability measure. |
| Distribution and underwriting | Acquisition channels, collections and borrower selection affect costs and outcomes. | Assess how each lender sources, underwrites and collects across its segments, then compare realised outcomes. Bajaj highlights physical and digital platform channels; Shriram describes its retail and vehicle-finance reach. The cited material does not establish superior underwriting by either company. |
How should the funding and growth disclosures be read?
Shriram Finance reported an 8.55% net interest margin for FY2024–25 and said growth was driven by MSME, two-wheeler, farm-equipment and passenger-vehicle loans. Its annual-report overview also notes fresh longer-tenor borrowings and improved credit ratings. Those disclosures provide context, but they do not settle the funding-risk comparison: investors still need to examine funding costs, liability maturities, liquidity resources and the role of securitisation or direct assignment in both firms’ filings.
Rank #4
Bajaj Finance reported FY2024–25 AUM growth of 26% and PAT growth of 16%, alongside ₹7,966 crore of impairment on financial instruments. Its annual report says: “The Company’s business model continues to generate healthy pre-impairment operating profits enabling it to withstand higher credit losses in times of stress such as these.” This is management’s description in the FY2024–25 annual report, not independent validation of resilience.
Independent reader supportYour contribution helps us test, update, and keep practical guides available for everyone.Can later company figures be compared with FY2025?
Not as if they were from the same reporting date. Shriram Finance’s company profile reports AUM of ₹313,798.4 crore and 3,225 branches as of 30 June 2026. Those are a later company-reported snapshot, not a matched comparison with Bajaj Finance’s FY2024–25 audited AUM. Use results from the same reporting period and check whether the figures are audited, standalone or consolidated before drawing a trend or relative-scale conclusion.
The Tool Desk
Outbyte Driver Updater FREEFix the driver behind crashes, sound loss and screen glitchesFind Drivers →Outbyte PC Repair FREEClear out junk files and repair common Windows errorsFree Scan →Quick Recap
Best Value
- Comes with secure packaging
- Easy to read text
- It can be a gift option
Product prices and availability are accurate as of the date/time indicated and are subject to change. Any price and availability information displayed on Amazon at the time of purchase will apply.
