Kotak Mahindra Bank’s Q1 FY25 Results: Profit for the current quarter was Rs 6,249.82 crore, up from Rs 3,452.30 crore the previous year. The bank’s total income rose by 18.90% in Q1 FY25, reaching Rs 15,675.15 crore compared to Rs 13,183.26 crore in the same period the previous year.
Kotak Mahindra Bank Ltd, a private lender, reported an 81.03 percent increase in its year-on-year (YoY) standalone net profit during the first quarter of the current fiscal year 2024-25. Profit for the current quarter was Rs 6,249.82 crore, up from Rs 3,452.30 crore the previous year.
The bank’s overall income increased 18.90 percent to Rs 15,675.15 crore in Q1 FY25, up from Rs 13,183.26 Cr in the same period last year.
According to a press release, Kotak Bank’s profit after tax (PAT) for the first quarter of FY25 was Rs 3,520 crore, minus gains (net of tax) of Rs 2,730 crore (on the disposal of a holding in Kotak General Insurance).
“Net interest income (NII) for Q1 FY25 grew to Rs 6,842 crore from Rs 6,234 crore in Q1 FY24, representing a 10% rise YoY. In the first quarter of fiscal year 25, the net interest margin (NIM) was 5.02 percent. Fees and services grew to Rs 2,240 crore in Q1 FY25 from Rs 1,827 crore in Q1 FY24, a 23% rise year on year. Operating profit for Q1 FY25 climbed to Rs 5,254 crore from Rs 4,950 crore in Q1 FY24, a 6% rise year on year. Customers as of June 30, 2024, were 5.1 crore (4.3 crore as of June 30, 2023),” it added.
Net Interest Income (NII):
NII for Q1 FY25 grew to Rs 6,842 crore from Rs 6,234 crore in Q1 FY24, representing a 10% rise YoY. The net interest margin (NIM) for Q1 FY25 was 5.02%.
The consolidated PAT for Q1 FY25 reached Rs 7,448 crore, marking a 79 percent increase from Rs 4,150 crore in Q1 FY24. The consolidated PAT for Q1 FY25 excluding profits (net of tax) of Rs 3,013 crore (from the disposal of an interest in Kotak General Insurance) was Rs 4,435 crore,” it stated.
“In the first quarter of FY25, Zurich Insurance Group acquired a 70% share in Kotak General Insurance. The partnership combines Zurich’s global insurance leadership and scale with Kotak’s local knowledge and reach. Following this acquisition, Kotak Bank will retain a 30% ownership in KGI and will continue to serve as KGI’s corporate agent for the distribution of general insurance products,” it added.
The percentage of gross non-performing assets (NPAs) to gross advances fell to 1.39 percent in the June 2024 quarter, down from 1.77 percent in the first quarter of FY24. The net NPA to net advances percentage fell to 0.35 percent YoY from 0.4 percent in the same period last year.
Kotak Mahindra Bank shares closed at Rs 1,812 on Friday, down 0.81 percent ahead of quarterly earnings. At current pricing, the stock is down 5.09 percent in 2024.
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