Kotak Mahindra Bank shares leapt 1.8% to ₹1,540 on the trading desk after the firm disclosed a Q2 net profit of ₹4,212 crore, a 29.5% jump from ₹3,253 crore in the same period last year.
The lift came as the bank’s net interest income climbed 15.7% sequentially to ₹8,459 crore, while operating profit swelled 21.1% to ₹6,382 crore from ₹5,268 crore.
Asset quality is tightening: gross non‑performing assets fell to 1.04% from 1.18%, and net NPAs dipped to 0.24% from 0.27%. Provisions grew 20.3% quarter‑on‑quarter to ₹804 crore, yet they remain 15.2% lower than the ₹947 crore recorded a year earlier.
In terms of margins, the bank’s operating margin held steady around 20–22%, aligning with its FY27 guidance. The bank’s earnings were met with a robust 1.8% rally, outpacing the 2.1% rise in the NIFTY Bank Index.
Looking ahead, Kotak is expected to release FY28 guidance next month; market watchers are watching for any upward revisions that could further buoy the stock amid a generally bullish banking sector.