Kotak Mahindra Bank Q3 Financial Snapshot: NII Surpasses Estimates, PPOP Below Expectations, and Notable NPA Trends

• Kotak Mahindra Bank’s Q3 Net Interest Income (NII) reached ₹6,553 cr, slightly surpassing the estimated ₹6,465 cr.

• The Pre-Provision Operating Profit (PPOP) amounted to ₹4,566 cr, falling short of the expected ₹4,691 cr.

• Profit After Tax (PAT) for the quarter was ₹3,005 cr, below the estimated ₹3,250 cr.

• Gross Non-Performing Assets (NPA) marginally increased from 1.72% to 1.73% QoQ.

• Net NPA improved from 0.37% to 0.34% QoQ.

• In Q3FY24, the Net Interest Margin (NIM) stood at 5.22%.

• In Q3, Kotak Mahindra Bank witnessed slippages amounting to 11.8 billion, showing a decrease from the previous quarter’s 13 billion.

• Results include a provision of ₹143 crore (post-tax) related to applicable Alternate Investment Fund (AIF) investments as per RBI’s December 19, 2023, circular.

Kotak Mahindra Bank allocated Rs 190 crore for AIF investments and Rs 65 crore for security receipts.

The bank plans to raise Rs 10,000 crore through Non-Convertible Debentures (NCDs) in one or more phases throughout FY25.