Private sector lender Kotak Mahindra Bank on May 4 reported a net profit of Rs 4133 crore for the January-March quarter of financial year 2023-24. The profit jumped 18 percent from Rs 3496 crore reported in the corresponding quarter of last year.
The lender reported healthy asset quality with GNPA at 1.39 percent versus 1.78 percent last year and NNPA was at 0.34 percent compared to 0.37 percent last year.
Here are some key highlights from the bank's earnings report:
Also read: Kotak Mahindra Bank Q4 results: Net Profit soars 18% to Rs 4133 crore; NII up 13.2% YoY
Robust Profit
Kotak Mahindra Bank announced a significant surge in net profit for the January-March quarter of financial year 2023-24, marking an 18 percent increase from the corresponding quarter of the previous year. The bank reported a net profit of Rs 4133 crore.
Healthy asset quality
The bank reported a net profit of Rs 4133 crore for the January-March quarter of the financial year 2023-24, up by 18 percent from Rs 3496 crore reported in the corresponding quarter of last year.
The lender's net interest income came at Rs 6,909 crore, up by 13 percent YoY from Rs 6,103 crore last year. The net interest margin (NIM) of the lender was at 5.28 percent for Q4FY24.
For the full year FY24, the lender's profit increased to Rs 13,782 crore from Rs 10,939 crore in FY23, up 26 percent YoY.
Bank declares dividend
The Board of the bank declared a dividend of Rs 2 per share for fiscal 2024, the bank informed the stock exchanges on May 4.
This would be subject to shareholders's approval in the next annual general meeting, the bank stated.
Impact of RBI's action
The bank, in the investor presentation, said that it has assessed impact of the restrictions by the Reserve Bank of India (RBI) on its digital and other business.
The impact would be on: "Franchise and customers, directly impacted businesses, primarily new credit cards and customer acquisition through 811, potential financial impact," the bank said.
The bank is looking to redeploy resources to minimize the business impact and believes that these directions will not materially impact its overall business, it added.
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