Kotak Mahindra Bank delivered robust business growth in the September quarter, with net advances rising 24.7% year-on-year to ₹5.77 lakh crore as of September 30, according to its provisional business update filed with stock exchanges on Monday, October 5. Total deposits increased 23.2% YoY to ₹6.51 lakh crore, demonstrating strong momentum across both lending and deposit segments. The bank's CASA deposits grew 11.3% YoY to ₹2.49 lakh crore, indicating healthy retail deposit mobilization. On a sequential basis, net advances increased 12.7% while total deposits rose 13.7%, showing continued growth momentum. The latest data also shows CASA deposits grew 7.8% from the previous quarter, indicating sustained retail deposit mobilization.
The bank's average performance metrics showed sustained growth trajectory, with average net advances at ₹5.47 lakh crore, up 22.1% YoY and 10.5% QoQ. Average total deposits stood at ₹6.06 lakh crore, rising 18.8% YoY and 8.5% QoQ. Average CASA deposits reached ₹2.26 lakh crore, increasing 14.2% YoY and 4.4% QoQ, indicating strong retail deposit mobilization. The bank noted that end-of-period balances include foreign currency non-resident (FCNR(B)) deposits of $5.78 billion, or around ₹55,344 crore, under the Reserve Bank of India's swap facility, along with advances of $1.68 billion, or around ₹16,110 crore, against these deposits through international branches. The figures are provisional and subject to limited review by the bank's statutory auditors.
In the previous quarter, Kotak Mahindra Bank reported strong financial results with net profit rising 25.6% YoY to ₹4,123 crore in Q1FY27, ahead of the CNBC-TV18 poll estimate of ₹3,910 crore. Net interest income (NII) increased 9.2% YoY to ₹7,928 crore, though slightly below the poll estimate of ₹8,058 crore. The bank's asset quality remained broadly stable with gross non-performing assets (GNPA) at 1.18%, compared with 1.2% in March, while net NPA stood at 0.27%. Net interest margin (NIM) declined to 4.53% from 4.67% in the March quarter.
Shares of Kotak Mahindra Bank ended 0.83% lower at ₹416.30 on Monday's trading session, according to latest market data from The Economic Times. The stock traded in the range of ₹413.80 to ₹424.45 during the session. The lender's shares have declined 6.16% year-to-date, according to BSE analytics. The figures are provisional and subject to limited review by the bank's statutory auditors.
