Kotak Mahindra Bank disclosed on Saturday that its consolidated net profit for the September quarter of FY27 rose 26% to ₹5,645 cr, up from ₹4,468 cr a year earlier. The jump was driven by higher income and a drop in provisions. The bank’s standalone net profit climbed 29% to ₹4,212 cr from ₹3,253 cr.
Net interest income increased 16% to ₹8,459 cr, while operating profit grew 21% to ₹6,382 cr and fees and services income rose 21% to ₹2,926 cr.
Asset quality improved, with the gross NPA ratio falling to 1.04% from 1.39% and the net NPA ratio to 0.24% from 0.32%.
The bank’s net interest margin slipped to 4.31% from 4.54%, a hit attributed to a ₹55,344 cr influx of FCNR(B) deposits under RBI’s swap facility. A Jaipur textile entrepreneur who recently secured a ₹2 cr loan said the bank’s better loan appetite gave her hope.
CEO Ashok Vaswani said margins should remain stable for the rest of FY27, citing that 60% of the loan book is repo‑linked and should benefit from RBI rate hikes.
The next board meeting on June 15 will assess the FCNR(B) inflows’ impact on profitability and outline a strategy to preserve margins.