Kotak Bank's net profit increases 47% in Q4

Kotak Mahindra Bank on Thursday said its standalone net profit for the quarter-ended March 31 increased 47 per cent from a year earlier to Rs 436 crore, aided by improved performance of treasury, retail and corporate banking businesses.

Consolidated profit after tax grew 19 per cent during the last financial year to Rs 2,188 crore. Consolidated net interest margin during the quarter remained unchanged from a year earlier at 4.8 per cent. On a standalone basis, the lender's full year net profit was up 25 per cent. Net interest income, or the difference between interest income and interest expense, was up 31 per cent from a year ago to Rs 903 crore.

The profit before tax of treasury and balance sheet management unit nearly trebled from a year ago to Rs 62 crore. Retail banking business' operating profit increased 66 per cent while corporate banking reported 19 per cent rise in profit before tax.

Advances were up 24 per cent at Rs 48,469 crore at the end of March. Standard restructured loans were 0.02 per cent of net advances. The provision coverage ratio of non-performing assets was at 68.2 per cent. Total assets managed by Kotak Mahindra Group were estimated at Rs 55,243 crore at the end of last financial year. Deposits grew 32 per cent to Rs 51,029 crore driven by 44 per cent rise in savings deposits. The bank had 437 full-fledged branches across 255 locations and 961 ATMs.

Capital adequacy ratio was 16 per cent while Tier-I ratio was 14.7 per cent.

The board has approved, post balance sheet date, preferential issue of 20 million equity shares at Rs 648 per share aggregating to Rs 1,296 crore to Heliconia Pte, an affiliate of the Government of Singapore Investment Corporation. The bank's shares ended on Thursday at Rs 715.60 on the National Stock Exchange, up 1.2 per cent from the previous close.