Private sector Kotak Mahindra Bank on Tuesday reported about 7 per centꦓ🅘 decline in its net profit to Rs 2,032 crore in second quarter ended September 2021.
The bank had posted net profit of Rs 2,184 crore in the same quarter of th♓e previous fiscal year.
Total income during July-September period of 2021-22, however, grew to Rs 8,408.87 crore, as against Rs 8,252.71 crore in same🎶 period of 2020-21, Kotak Mahindra Bank said 💯in a regulatory filing.
Net interest income for Q2FY22 increased to Rs 4,021 crore from Rs 3,897 crore in Q2FY21, up 3 per cent. Net interest margin for the quarꦛter was at 4.45 per cent.
On the asset front, bank's gross non-performing assets (or bad loans) stood at 3.19 per cent by end of September 2021 quarter, up from 2.55 per cent by end of yeaꩲr ago period.
🌱Net NPAs 🔥were at 1.06 per cent, up from 0.64 per cent
The bank's provisions for bad loans and contingencies for September qu𓂃arter were increased to Rs 423.99 crore from Rs 333.22 c💟rore parked aside in year ago quarter.
On a consolidated basis, the bank rep𓄧orted marginal rise in its net profit at Rs 2,989 crore in Q2FY22, from Rs 2,947 crore in same quarter of previous fiscal. Total income rose to Rs 15,341.65 crore for the quarter from Rs 13,548.33 crore🦋.
“For Q2FY22, the bank's contribution to the consolidated PAT (profit after tax or net profit) was Rs 2,032 crore. The subsidiaries and associates net contribution was 32 𝕴per cent of the consolidated PAT," the bank said in a release.
Stock of Kotak M♋ahindra Bank traded at Rs 2,220.40 apiece on BSE, up 2💟.93 per cent from previous close.
Check what brokerage houses are saying, as per The Economic Timꦓes.
Prabhudas Lilladher
The brokerage house said Kotak Bank is likely to be worst impacted from the private bank lot, given conservative approach in lending and high slippages than usu꧙al, similar to the last two quarters.
Nomura India
The firm expects a muted loan growth of 7.2 per cent YoY. We factor in margin contraction of 18 bps sequentially, leadi𒉰ng to NII growth of 0.2 per cent YoY. We expect a 2.8 per cent YoY decﷺline in PPoP. We factor in slippages of Rs 1,000 crore compared with Rs 1,500 crore in the June quarter.
The firm sees profit fall♐ing 💙3.2 per cent YoY at Rs 2,184.50 crore.
Motilal Oswal
The gross NPA as a percentage of gross advances may come in at 3.5 per cent compared with 3.6 per cent in June quarter and 2.6 per cent in the year-ago quarter. It sees profiꦯt falling 16.9 per cent to Rs 1,🐼815 crore.
(With PTI Inputs)
