Kotak Mahindra Bank’s profit increase 5% in Q2 FY25

Kotak Mahindra Bank reported a slight increase of 5% in its standalone profit for the second quarter ended September, amounting to Rs 3,344 crore compared to Rs 3,191 crore in the corresponding quarter of the previous year.
The bank’s total income rose to Rs 15,900 crore during the quarter, up from Rs 13,507 crore in the same period last year, as per the regulatory filing.
The interest income earned by the bank during the quarter was Rs 13,216 crore, an increase from Rs 11,193 crore in the same quarter a year ago. The Net Interest Income (NII) grew by 11% to Rs 7,020 crore from Rs 6,297 crore in the second quarter of the previous year. However, the Net Interest Margin (NIM) decreased to 4.91% from 5.22% at the end of the second quarter of the last financial year.
Kotak Mahindra Bank successfully reduced its gross Non-Performing Assets (NPAs) to 1.49% of the gross loans by the end of September 2024, an improvement from 1.72% a year ago. Conversely, net NPAs or bad loans increased slightly to 0.43% from 0.37% at the end of the second quarter of the previous fiscal.
On a consolidated basis, the bank reported a 13% growth in net profit, reaching Rs 5,044 crore compared to Rs 4,461 crore in Q2FY24. The Return on Assets (ROA) for Q2FY25 at the consolidated level was 2.53%, a decrease from 2.68% for Q2FY24.