A growth of the excitonic peak in the absorption spectrum and an enhancement of the Faraday rotation band (approximately 50% of the linear effect value) were induced by intensive radiation of Nd3+-laser (hν = 1.17 eV) in ferromagnetic phase of magnetic semiconductor CdCr2Se4. The photoinduced effects increased during a pumping pulse and also with growth of pump intensity. In studies of the non-linear Faraday rotation a change of the spectral band shape was observed along with the growth of the rotation angle. The observed effects can be explained by the screening of internal electric fields existing in CdCr2Se4 crystals by photoexcited charge carriers. (© 2004 WILEY-VCH Verlag GmbH & Co. KGaA, Weinheim)