Kotak Mahindra Bank Profit Rises 24% To Rs 1,596 Crore In December Quarter

Kotak Mahindra Bank, the country's third largest private sector lender by market capitalisation, on Monday reported that its net profit rose 23.62 per cent to Rs 1,595.90 crore from Rs 1,290.93 crore, a year earlier.

Kotak Mahindra Bank's core income or the net interest income, the difference between interest earned and interest expended, came in at Rs 3,429.53 crore compared with Rs 2,926.26 crore, during the same period last year, a jump of 17.2 per cent.

The bank saw its asset quality deteriorate slightly in December quarter as its gross non-performing assets as a percentage of total advances came in at 2.46 per cent versus 2.32 per cent in the previous quarter. Its gross bad loans stood at Rs 5,413.20 crore in December quarter as against Rs 5,033.55 crore in the September quarter of current financial year.

Net performing assets as a percentage of total advances came in at 0.89 per cent versus 0.85 per cent in the previous quarter.

The provisioning for bad loans increased to Rs 444 crore in December quarter compared with Rs 407.93 crore in the previous quarter and write back of Rs 32.30 crore in the same quarter last year.

During the quarter, Kotak Mahindra Bank disbursed loans worth Rs 2,16,774 crore and had a total bank branch network of 1,539 branches, the bank said in an earnings release.

Kotak Mahindra Bank shares fell 4 per cent to hit an intraday low of Rs 1,630 after it reported December quarter earnings underperforming the Sensex which was down 0.7 per cent.