Kotak Mahindra Bank Q4 net up 47%, beats estimates

Moneycontrol Bureau

Private sector lender Kotak Mahindra Bank's fourth quarter (Jan-March) standalone net profit grew to a forecast beating 47 percent year-on-year to Rs 436 crore, aided by robust net interest income which shot up 31 percent to Rs 903 crore. NII is the difference between interest earned and paid out.

The bank declared a dividend of dividend of  Rs 0.70 per share (face value Rs 5) for the year ended March 31, 2013 as against Rs 0.60 per share a year back.

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Analysts on an average had expected the lender to report a standalone (pure banking business) net profit at Rs 364, a growth of 23 percent Y-o-Y.

The consolidated net profit rose 19 percent Y-o-Y to about Rs 2,190 crore.

The bank expanded its loan book by 24 percent to about Rs 48,500 crore as on March 31, 2013. Its loan book is almost evenly distributed between corporate (Rs 24,041 crore) and retail loans (Rs 24,428 crore).

Gross non-performing ratio rose to 1.30 percent as compared with 1.20 percent. Net NPA ratio remains unchanged at 0.60 percent. During the year, provisions against loans and other receivables increased to Rs 206 crore as against Rs 73 crore a year ago.

Deposits grew 32 percent Y-o-Y to Rs 51,030 crore. Savings deposits shot up 44 percent to Rs 7,268 crore. The lender has been running a campaign to promote its savings bank product offering 6-7 percent rate of interest. However, the share of low cost current and savings account deposits (CASA) stood at 29 percent as against 32% a year back.

At 14:41 hrs Kotak Bank shares were trading at around Rs 716, up more than 1 percent after hitting 52-week high at Rs 725 on NSE.

saikat.das@network18online.com