Private lender Kotak Mahindra Bank on Saturday reported strong earnings for the second quarter of fiscal 2022-23 (Q2FY23), with double-digit growth in earnings and net interest income (NII), as well as a improvement in asset quality during the quarter.
Profit After Tax (PAT) of Kotak Mahindra Bank increased by 27% year-on-year (YoY) to Rs 2,581 crore in the July-September quarter of FY23 from Rs 2,032 crore in the same quarter a year ago.
While the big bank’s NII also rose nearly 27% year-on-year to Rs 5,099 crore in Q2FY23 from Rs 4,021 crore in the July-September quarter of the prior year.
Image Source: Kotak Mahindra Bank Exchange Repository
The bank’s asset quality improved during the quarter, with gross non-performing assets (NPA) falling to 2.08% in Q2FY23 from 2.24% QoQ, similarly, its net NPA slightly fell to 0.55% from 0.62% sequentially in the quarter.
The bank’s net interest margin as of September 30, 2022 was 5.17% compared to 4.45% in Q2FY22, Kotak Mahindra Bank said in its earnings filing.
The CASA (current account and savings account) ratio as of September 30, 2022 stood at 56.2%, the bank also said in the statement.
Shares of Kotak Bank closed more than 2% higher on Friday at Rs 1,902.9 per share on BSE, compared to a rise of 0.18% in the S&P BSE Sensex at the close.
Kotak Mahindra Group (the Group) offers a wide range of financial services that encompass all spheres of life.
From commercial banking and equity brokerage, to mutual funds, life/general insurance and investment banking, the Group serves the diverse financial needs of individuals and the corporate sector.