Kotak Mahindra Bank Q3 net jumps 32% at Rs 945 cr

Kotak Mahindra Bank, the country’s fourth largest private sector bank by market capitalization, on Monday reported a growth of 31.89 per cent in its consolidated net profit after tax for the third quarter ended December 31, 2015 at Rs 945.16 crore, helped by surge in other income and operating profit. The bank had posted consolidated net profit after tax of Rs 716.61 crore in corresponding quarter of previous fiscal, said Kotak Mahindra Bank in a filing to BSE. Total income of the bank rose 30.56 per cent to Rs 6,950.41 crore in Q3 FY16 from Rs 5,323.46 crore in Q3 FY15. In the quarter, provisions and contingencies jumped significantly to Rs 261.02 crore from Rs 42.18 crore in corresponding quarter of last fiscal. NII, the difference between interest earned on loans and interest paid on deposits, grew 5.2 per cent q-o-q at Rs 1,766.20 crore in the quarter under review. During the quarter under review, the bank’s gross non-performing assets stood at 2.01 per cent of total loans, compared with 1.58 per cent in the year-ago quarter. Net NPA of the bank too rose to 0.85 per cent against 0.83 per cent in corresponding period last year. The other income of the bank increased 38.2 per cent to Rs 1,024.84 crore from Rs 741.56 crore in the year ago period. The merger of ING Vysya Bank with the Bank was effective from April 1, 2015 and accordingly the results for the quarter and nine months ended December 31, 2015 are for the merged entity and not comparable with previous periods, the bank said in the filing. Following the earnings result, shares of bank were trading at Rs 672.70 a piece, down 0.48 per cent, on BSE at 14:20 hours.