Kotak Mahindra Bank posts 23% jump in Q1 net profit
Private sector lender Kotak Mahidnra bank posted a 23 per cent jump in Q1 net profit buoyed by higher interest and fee income.
- Jul 20, 2017,
- Updated Jul 20, 2017 1:17 PM IST
Private sector lender Kotak Mahidnra bank posted a 23 per cent jump in Q1 net profit buoyed by higher interest and fee income.
The bank's June quarterly results rose from a year-ago period to Rs 912.73 crore, from Rs 741.97 crore in 2016.
Its Net Interest Income (NII), which is the difference between interest earned by the bank from lending activities and the interest paid by it to its depositors, rose 17 per cent to Rs 2,246 crore from Rs 1,919 crore in Q1 last year.
However, Net Interest Margin (NIM), difference between interest income generated by banks or other financial institutions and the amount of interest paid out to their lenders, dipped to 4.5 per cent from 4.6 per cent in the March quarter.
The bank reported that its Gross Non-Performing Assets (NPAs) rose to 4.1 per cent in its June quarter while, on a year-on-year basis, it jumped 21.8 per cent.
As a percentage of total loans, gross NPAs stood at 2.58 per cent as compared to 2.59 per cent in the previous quarter and 2.5 per cent in the year-ago quarter.
Net NPAs dipped to 1.25 per cent in the June quarter from 1.26 per cent in the previous quarter.
The bank has total exposure of Rs 236 crore to four of 12 accounts identified by Reserve Bank of India (RBI) for insolvency proceedings. All the four accounts are inherited from ING Vysya Bank at merger on April 1, 2015, said the bank.
Shares of the bank were up 0.49 per cent on the BSE Sensex at 12.52 PM today.
Private sector lender Kotak Mahidnra bank posted a 23 per cent jump in Q1 net profit buoyed by higher interest and fee income.
The bank's June quarterly results rose from a year-ago period to Rs 912.73 crore, from Rs 741.97 crore in 2016.
Its Net Interest Income (NII), which is the difference between interest earned by the bank from lending activities and the interest paid by it to its depositors, rose 17 per cent to Rs 2,246 crore from Rs 1,919 crore in Q1 last year.
However, Net Interest Margin (NIM), difference between interest income generated by banks or other financial institutions and the amount of interest paid out to their lenders, dipped to 4.5 per cent from 4.6 per cent in the March quarter.
The bank reported that its Gross Non-Performing Assets (NPAs) rose to 4.1 per cent in its June quarter while, on a year-on-year basis, it jumped 21.8 per cent.
As a percentage of total loans, gross NPAs stood at 2.58 per cent as compared to 2.59 per cent in the previous quarter and 2.5 per cent in the year-ago quarter.
Net NPAs dipped to 1.25 per cent in the June quarter from 1.26 per cent in the previous quarter.
The bank has total exposure of Rs 236 crore to four of 12 accounts identified by Reserve Bank of India (RBI) for insolvency proceedings. All the four accounts are inherited from ING Vysya Bank at merger on April 1, 2015, said the bank.
Shares of the bank were up 0.49 per cent on the BSE Sensex at 12.52 PM today.