Mumbai: Kotak Mahindra Bank Ltd’s net profit jumped 15.11% in the quarter ended 31 March, boosted by higher net interest income and other income.
Net profit for the quarter stood at Rs1124.05 crore against Rs976.48 crore a year ago, the bank said on Monday. A Bloomberg poll 11 analyst predicted that the bank to post a net profit of Rs1,170.20 crore.
Net interest income (NII), or the core income a bank earns by giving loans, increased 19.4% to Rs2,579.75 crore versus Rs2,161.37 crore last year. Other income stood at Rs1,151.63 crore, up 14.86% from Rs1,002.65 crore a year ago.
Provisions and contingencies rose 14.8% to Rs306.91 crore in the quarter from Rs267.37 crore a year ago. On a quarter-on-quarter basis, they added 44.24% from Rs212.77 crore.
Gross non-performing assets (NPAs) advanced 6.9% to Rs3,825.38 crore at the end of the March quarter from Rs3,578.61 crore in the same quarter last year.
Asset quality improved marginally in the quarter. As a percentage of total loans, gross NPAs stood at 2.22% as compared to 2.31% in the previous quarter and 2.59% in the year-ago quarter. Net NPAs were at 0.98% in the March quarter compared to 1.09% in the previous quarter and 1.26% in the same quarter last year.
Advances for the quarter rose 24.72% from a year ago to Rs1.70 trillion, while deposits gained 22.4% to Rs1.93 trillion.
At 2.43pm, Kotak Mahindra Bank shares were trading at Rs1,207.50 on BSE, up 1.6% from previous close, while the Sensex gained 0.47% to 35134.29 points.