BackKotak Mahindra Bank earns net profit of nearly ₹3,496 crore in Q4 up by 26% YoY, declares dividend of ₹1.5 per share
Kotak Mahindra Bank garnered a stable March 2023 quarter with double-digit growth in profitability. The bank's provisions were steady sequentially, while asset quality continued to improve.
PremiumBillionaire Uday Kotak-backed lender has registered double-digit growth in net profit for the fourth quarter of FY23. Kotak Mahindra Bank's Q4 PAT jumped by 26.31% YoY and 25.20% QoQ to ₹3,495.59 crore. The lender also declared a dividend of ₹1.5 per equity share for its shareholders.
Kotak's net profit was at ₹2,767.4 crore in Q4FY22 and ₹2,791.88 crore in Q3FY23.
Meanwhile, in Q4 of FY23, net interest income (NII) which is the difference between interest earned and expended, recorded 34.97% growth to ₹6,102.55 crore as against NII of ₹4,521.4 crore in Q4FY22. However, NII posted a single-digit growth of 7.95% from ₹5,652.92 crore in Q3FY23.
Provisions were broadly subdued sequentially to ₹147.57 crore in Q4FY23 versus ₹148.83 crore in the preceding quarter. Notably, in Q4FY22, the bank's provisions were negative for ₹306.21 crore.
Gross non-performing assets (GNPA) declined sharply to 1.78% in Q4FY23 versus 2.34% in Q4FY22 and 1.90% in Q3FY23.
Net NPA dipped to 0.37% in Q4FY23 as against 0.64% in Q4FY22 and 0.43% in Q3FY23.
Further, in Q4FY23, the bank's net customer additions was at 2.2 million. Total customers as at March 31, 2023 were 41.2 million versus 32.7 million as at March 31, 2022.
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Also, customer assets, which comprises Advances (including IBPC & BRDS) and credit substitutes, increased by 19% YoY to ₹ 3,52,652 crore as at March 31, 2023 from ₹ 2,95,273 crore as at March 31, 2022. Net Advances increased by over 18% to ₹ 3,19,861 crore as at March 31, 2023 from ₹ 2,71,254 crore as at March 31, 2022.
For full year, the bank's PAT increased to 10,939 crore from ₹ 8,573 crore in FY22, up 28% YoY. Also, for FY23 jumped to ₹ 21,552 crore, from ₹ 16,818 crore in FY22, up 28% YoY.
The lender's Capital Adequacy Ratio of the Bank, as at March 31, 2023 was 21.8% and CET I ratio of 20.6%.
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On a consolidated basis, the total assets managed / advised by the Group as at March 31, 2023 were ₹ 4,20,880 crore up 10% YoY over ₹ 3,82,709 crore as at March 31, 2022.
Kotak declared a dividend of Rs. 1.50 per equity share having a face value of ₹5 each, out of the net profits for the financial year ending March 31, 2023.
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