Kotak Mahindra Bank's Second-Quarter Net Profit Climbed on Retail-Banking Strength

By Kosaku Narioka

Kotak Mahindra Bank's second-quarter net profit climbed, thanks partly to improvement in its retail-banking business.

The Indian bank said Saturday that net profit for the quarter ended Sept. 30 increased 24% from a year earlier to 44.61 billion Indian rupees ($536.4 million).

Second-quarter revenue rose 24% to INR215.60 billion, thanks to gains in interest earned and income on investments.

Profit from its retail banking more than doubled to INR13.54 billion and that of its corporate and wholesale banking increased 5.0% to INR18.62 billion. Profit from its asset management business grew 69% to INR2.46 billion.

The bank booked provisions of INR4.55 billion in its second quarter, up from INR1.34 billion a year earlier as interest rates have risen in recent months.

Customer assets, primarily advances, grew 19% from a year earlier to INR4.284 trillion as of the end of September. The ratio of gross nonperforming assets to gross advances declined to 1.69% in the second quarter from 2.09% a year earlier.

Write to Kosaku Narioka at kosaku.narioka@wsj.com

(END) Dow Jones Newswires

October 22, 2023 21:26 ET (01:26 GMT)

Copyright (c) 2023 Dow Jones & Company, Inc.