Kotak Mahindra Bank Q4: Net Profit Climbs 18 Per Cent YoY, Lender Announces Dividend For FY24

The Gross NPA ratio stood at 1.39 per cent for Q4FY24, against 1.78 per cent in the same period a year earlier, while the Net NPA ratio stood at 0.34 per cent than 0.37 per cent a year earlier

Kotak Mahindra Bank posted a 18 per cent increase in its standalone net profit after tax on a year-on-year (YoY) basis in its fourth quarter (Q4) earnings on Saturday. It logged a net profit of Rs 4,133.30 crore for the March quarter in the 2023-24 financial year (FY24) against a net profit of Rs 3,495.59 crore in the last quarter of the previous fiscal year (FY23).

The bank reported it's Gross Non-Performing Assets (GNPAs) at Rs 5,274.78 crore for Q4FY24, down from Rs 5,768.32 crore in the January-March quarter in FY23. The lender’s Net Non-Performing Assets (NNPAs) inched up to Rs 1,270.57 crore in the reported quarter from about Rs 1,193.30 crore on a YoY basis.

The Gross NPA ratio stood at 1.39 per cent for the quarter under review, against 1.78 per cent in the same period a year earlier, while the Net NPA ratio stood at 0.34 per cent in Q4FY24, in comparison to 0.37 per cent a year earlier.  NPAs are loans or advances issued by the bank which are subject to late repayment or unlikely to be repaid by the borrower in full. 

The Net Interest Income (NII) of the bank climbed a little over 13 per cent from Rs 6,103 crore in Q4FY23 to Rs 6,909 crore in the last quarter of FY24. NII is a reflector of interest earned by the bank after measuring the difference between the interest borrowers pay to the bank and the interest paid by the bank to its depositors.

The lender recommended a dividend of Rs 2 per equity share of the face value of Rs 5 apiece, for the 2023-24 fiscal year, subject to shareholders’ approval.

The bank reported a 20 per cent jump in advances to Rs 3.91 lakh crore in Q4FY24, against Rs 3.25 lakh crore in the corresponding quarter a year earlier.