Company Analysis and Business Evaluation

Business Scenario

You are a financial analyst working for an investment research firm. Your task is to analyse Bajaj Finance Ltd. using its financial statements and annual reports. You will evaluate the company’s business model, financial performance, EPS, asset quality and competitive position against Shriram Finance and Cholamandalam. The analysis will help you determine the company’s overall financial performance and identify the stronger company among the three.

 

Tools Required:

Pre-Lab Preparation

  • TradingView

  • NSE India / BSE India

  • Company Annual Report

  • ChatGPT or another AI tool

Topic : Fundamental & Ratio Analysis

1) Company analysis

2) Industry analysis

3) Macroeconomic analysis

4) Revenue and cost drivers

5) Liquidity ratios, Profitability ratios, Leverage ratios, Efficiency ratios

Task 1: Break Down the Business Model

Select an Indian Listed Company

1

Understand the Business

2

Open TradingView or Screener.in and search for the selected company.

Example:

Company: Bajaj Finance
Note: You can download the annual report for the recent year 2025-26 from the investor section of the Bajaj Finance website, or download it from BSE or NSE

https://cms-assets.bajajfinserv.in/is/content/bajajfinance/annual-report-fy-2026?scl=1&fmt=pdf

Using the company's Annual Report and Investor Presentation, identify:

  • What products and services does the company offer?

  • Who are its major customers?

  • What are its major business segments?

  • Which segment contributes the highest revenue?

  • How does the company generate revenue?

Enter a prompt such as:

Companies: Bajaj Finance and its competitors

"Analyse the business model of Bajaj Finance using its latest annual report and investor presentation. Explain its main financial products and services, major customer segments, business segments, revenue sources, key revenue drivers, major costs, competitive advantages and key business risks. Present the findings in a concise table."

 

Student Output:
Prepare a Business Model Snapshot showing:

  • What are the major factors driving revenue?

  • What are the company's major operating costs?

  • What are its key competitive advantages?

  • What are the major business risks?

Use AI for Business Analysis

3

AreaFindings
Main Products/Services
Major Customers
Business Segments
Main Revenue Sources
Revenue Drivers
Major Costs
Competitive Advantages
Key Risks

Review AI Output

4

Interpret AI Output

5

AreaKey Finding
Main Products/ServicesConsumer, SME, commercial, rural and auto loans; insurance, mutual funds and other financial products
Major CustomersRetail consumers, SMEs, professionals, rural customers and corporates
Business SegmentsConsumer Finance, SME Finance, Commercial & Rural Finance, Mortgages and Financial Product Distribution
Main Revenue SourcesInterest income from loans and fee/commission income
Revenue DriversGrowth in loans/AUM, customer base, cross-selling and expansion into new markets
Major CostsInterest on borrowings, credit losses/provisions and operating expenses
Competitive AdvantagesStrong customer base, digital platforms, distribution network and data-driven credit assessment
Key RisksCredit/default risk, interest-rate risk, regulatory changes and competition

Takeaway:
Bajaj Finance mainly earns interest by lending money to different customer segments. Its growth depends on expanding its loan book and customer base, while its major risks are credit losses, funding costs and regulation.

Task 2: Analyse Financial Performance

Open TradingView

1

Company: Bajaj Finance Ltd. | Period: Analyse the latest 3–5 financial years available.

1. Open TradingView: https://in.tradingview.com/

2. In the search bar, search for your company (e.g., Bajaj Finance Ltd. – NSE: BAJFINANCE)

3. Open the Overview page.

4. Click Financials.

5. Select “Statements” to view:

Income Statement

Balance Sheet

Cash Flow

6. Select “Annual” (Annual Reports) to view year-wise financial data

7. Understand the financial information for the latest years.

Income Statement Analysis 

2

Note for Finance Companies: Unlike manufacturing companies, an NBFC's primary cost is borrowing money. Pay close attention to the "Total interest expense (banks)" line item in TradingView to understand their cost of funds.

Revenue Growth Analysis

a

  • 2024 → ₹540.95B (+34.2%)

  • 2025 → ₹688.59B (+27.29%)

  • 2026 → ₹820.79B (+19.2%)

  • Find Out the Reason: Investigate why revenue increased using Google Search, Annual Reports, or AI tools.

  • Open AI Tool – ChatGPT / Gemini / Grok

👉 Enter Prompt:
“Analyze Bajaj Finance's revenue growth from 2024 to 2026. Explain why revenue increased each year and identify the major factors responsible for the strong growth, especially from 2024 to 2026. Consider AUM, new loans, customer growth, interest income, product diversification, digital expansion and geographic expansion.”

  • Review AI Output :​

Interpret AI Output

Revenue Growth Analysis – Bajaj Finance

Bajaj Finance’s revenue grew strongly from 2024 to 2026. The main reasons were:

1. Higher AUM – The company’s total loan portfolio increased significantly, generating more income.

2. More customers and loans – A growing customer base and higher number of new loans increased revenue.

new loans increased revenue.

3. Higher interest income – More loans resulted in higher interest earnings.

4. Product diversification – Growth in gold loans, car loans and mortgages helped increase business.

5. Digital expansion – Digital technology and AI helped the company reach customers and operate more efficiently.

Conclusion:
Bajaj Finance’s strong revenue growth was mainly driven by more loans, more customers, higher AUM, increased interest income and expansion into different loan products.

Operating Profit Growth Analysis

b

Calculate the growth for Operating Income. For Bajaj Finance:

  • 2024 → ₹335.63B

  • 2025 → ₹415.66B (+23.8%)

  • 2026 → ₹498.68B (+20.0%)​

Find Out the Reason: Investigate why operating profit increased using Google Search, Annual Reports, or AI tools.

AI Prompt:

“Analyze Bajaj Finance's operating profit growth from 2024 to 2026. Explain why operating profit increased each year. Consider revenue growth, AUM, interest income, operating expenses, customer growth and digital efficiency.”

Review AI Output

Interpret AI Output – Operating Profit Growth

Operating Profit Analysis – Bajaj Finance

Bajaj Finance’s operating profit increased strongly from ₹335.63 billion in FY24 to ₹498.68 billion in FY26.

Main reasons:

1. Higher revenue – Strong revenue growth increased operating profit.

2. Higher AUM – Growth in the loan portfolio generated more income.

3. More interest income – More loans resulted in higher interest earnings.

4. Customer and loan growth – A larger customer base and more loans supported business expansion.

5. Digital efficiency – Digital technology helped the company manage its growing business more efficiently.

Conclusion:
Bajaj Finance’s operating profit grew mainly because revenue and AUM increased strongly, while digital efficiency helped manage the rise in operating expenses.

Net Profit Growth Analysis

c

  • 2024 → ₹144.51B 

  • 2025 → ₹166.38B (+15.1%) 

  • 2026 → ₹190.17B (+14.3%) 

Find Out the Reason for Net Profit Growth

Prompt: “Analyze Bajaj Finance's net profit growth from 2024 to 2026. Explain why net profit increased each year. Consider revenue growth, AUM, interest income, operating expenses, credit costs and customer growth.”

Review AI Output

Interpret AI Output – Net Profit Growth

Net Profit Analysis – Bajaj Finance

Bajaj Finance’s net profit increased from ₹144.51 billion in FY24 to ₹190.17 billion in FY26.

Main reasons:

1. Higher revenue and interest income – More loans generated more interest income.

2. Higher AUM – Growth in the loan portfolio supported profit growth.

3. More customers and loans – A larger customer base increased business.

4. Higher expenses – Operating expenses and credit costs also increased, which limited the rate of profit growth.

5. Overall strong business growth – Despite higher costs, revenue growth was sufficient to increase net profit.

Conclusion:
Bajaj Finance’s net profit grew steadily because of higher AUM, more customers, increased lending and interest income, although rising operating and credit costs reduced the pace of profit growth.

EPS (Earnings Per Share) Growth Analysis

d

  • 2024 → ₹23.69 (+24.33%) 

  • 2025 → ₹26.89 (+13.53%) 

  • 2026 → ₹30.60 (+13.79%) 

Find Out the Reason for EPS Growth

Prompt:

“Analyze Bajaj Finance's EPS growth from 2024 to 2026. Explain in simple language why EPS increased each year. Consider net profit growth, number of shares outstanding and overall business performance.”

RevieSSw AI Output

 

Find Out the Reason for EPS Growth

Prompt:

“Analyze Bajaj Finance's EPS growth from 2024 to 2026. Explain in simple language why EPS increased each year. Consider net profit growth, number of shares outstanding and overall business performance.”

Review AI Output

Interpret AI Output – EPS Growth

EPS Growth Analysis – Bajaj Finance

Bajaj Finance’s EPS increased from ₹23.69 in FY24 to ₹30.60 in FY26.

Main reasons:

Interpret AI Output – EPS Growth

EPS Growth Analysis – Bajaj Finance

Bajaj Finance’s EPS increased from ₹23.69 in FY24 to ₹30.60 in FY26.

Main reasons:

1. Higher net profit – Rising profits increased earnings available to each shareholder.

2. Business growth – Higher AUM, more customers and increased lending supported profit growth.

3. More earnings per share – Net profit grew faster than the number of shares outstanding.

4. Slight increase in shares – The small rise in shares slightly reduced the rate of EPS growth, but EPS still increased strongly.

Conclusion:
Bajaj Finance’s EPS grew steadily because net profit increased strongly and outpaced the growth in shares outstanding, resulting in higher earnings for shareholders.

Asset Quality Analysis (Gross NPA & Net NPA)

e

Check the company's Investor Presentation to find the NPA percentages.

  • AI Prompt: "Analyze Bajaj Finance's Gross and Net NPA trends over the last 3 years. Explain what these metrics mean and indicate whether their loan default rates are improving or worsening."

Review AI Output:

Interpret AI Output:

NPA Analysis – Bajaj Finance

  • Gross NPA: Increased from 0.85% in FY24 to 1.01% in FY26, showing a slight increase in loan defaults.

  • Net NPA: Increased from 0.37% in FY24 to 0.44% in FY25, but improved to 0.41% in FY26.

  • Overall: Asset quality has slightly weakened, but the level of NPAs remains low.

  • Risk management: The improvement in Net NPA in FY26 indicates that the company has maintained adequate provisions against bad loans.

Conclusion:
Bajaj Finance’s loan defaults have increased slightly, but overall asset quality remains well controlled.

 

Interpret AI Output:

NPA Analysis – Bajaj Finance

  • Gross NPA: Increased from 0.85% in FY24 to 1.01% in FY26, showing a slight increase in loan defaults.

  • Net NPA: Increased from 0.37% in FY24 to 0.44% in FY25, but improved to 0.41% in FY26.

  • Overall: Asset quality has slightly weakened, but the level of NPAs remains low.

  • Risk management: The improvement in Net NPA in FY26 indicates that the company has maintained adequate provisions against bad loans.

Conclusion:
Bajaj Finance’s loan defaults have increased slightly, but overall asset quality remains well controlled.

Task 3: Competitor Comparison

AI Comparison Analysis 

1

Compare your primary company (e.g., Bajaj Finance) with two major competitors (e.g., Shriram Finance and Cholamandalam).

 

AI Prompt: 

"Compare Bajaj Finance with two major competitors (Shriram Finance and Cholamandalam) over the last 3 years. Compare their Revenue, Operating Profit, Net Profit and EPS. Explain the comparison in simple language and give a final verdict on which company performed better financially and why."

Review the AI output:

Task 1: Understanding BRD

Before you start building anything, you need to clearly understand what the client actually wants.So, let’s begin by understanding the BRD (Business Requirement Document) shared by the client.

BRD Full Form is Business Requirement Details.BRD like a plan for building a house. This plan helps the builder understand what to build.In the same way,BRD tells developers what the client wants to build

Click to download BRD : BiteBox_BRD.pdf

Activity

After going through BRD list down the Core Features and  Web Pages in the tabulated Format as shown Below.

Col 1Col 2Col 3
Row 1
Row 2
Row 3

Formula

Profit = Revenue - Cost

Task 2: Create WireFrame

Now that you understand the requirements, don’t jump into coding yet. Before development, we always visualize the layout.

Now lets  create a simple wireframe for the homepage.

A wireframe is like a layout plan of a house. Before building, you decide where rooms, doors, and windows will be placed.Similarly, a wireframe helps you plan where elements like headers, images, and buttons will appear on a webpage—before adding design or colours.

Task 3: Code Editor Installation

Good work on completing the planning phase.

Now we will start development. Before that, make sure your system is ready with the required tools.

In this step we will install the VS code editor that will help to Write code efficiently,Organize files , Run and test your application

Go to the visual studio code official website  

1

Click to download Homepage Wireframe : Homepage Wireframe

Link - https://code.visualstudio.com/download

Choose your operating system(windows / Mac) and download the installation file.

Double click on the download app and Accept the agreement and click next

2

It is a long established fact that a reader will be distracted

b

Sub Steps

a

 Double click on the download app and Accept the agreement and click next 

public class MathSample {
    public static void main(String[] args) {
        int x = 10;
        int y = 20;
        int sum = x + y;
        
        System.out.println("The sum is: " + sum);
    }
}
public class MathSample {
    public static void main(String[] args) {
        int x = 10;
        int y = 20;
        int sum = x + y;
        
        System.out.println("The sum is: " + sum);
    }
}

public class MathSample {
    public static void main(String[] args) {
        int x = 10;
        int y = 20;
        int sum = x + y;
        
        System.out.println("The sum is: " + sum);
    }
}

 

Great job!
You have successfully completed your first lab on BiteBox Project Onboarding.

In this lab, you have: Understood the BRD, Created a wireframe, Set up your development environment, Organised your project structure, Run your first program

You are now ready to move to the next stage of development

Checkpoint

Next-Lab Preparation

   Git Push

git push origin branchName

Topic : Working with a Text and Listin HTML

1) Power of HTML text tags
2) Customizing your style with CSS
3) Listing it right using HTML
4) HTML Link up , attributes of tag, block vs inline elements

Text box Width : 887
Business Scenario, Pre-lab Preparation, Next-lab Preparation, Task, Activity, Checkpoint : 90%.
Steps : 1,2,3 [Sub Steps - a,b,c]
Normal Text, Topic Name : 80%
Subtopic : 70%
Code Box font Size : 16px