Kotak Mahindra Bank net up 15%
30 April 2018
Kotak Mahindra Bank today reported a 15.11 per cent increase in its net profit at Rs1,124.05 crore for the quarter ended 31 March 2018. The bank had recorded a net profit of Rs976.48 crore in the fourth quarter of the previous fiscal.
Net profit for 2017-18 rose even more sharply by 19.72 per cent to Rs4,084.30 crore compared with Rs3,411.50 crore in 2016-17.
The Kotak Mahindra Bank stock hit a new 52-week high of Rs1,218.30 in intra-day trade today. At about 2.45 pm, the stock was trading at Rs1,207.50, up 1.59 per cent or Rs18.95, on the BSE.
“The board of directors has re-designated Uday Kotak as managing director and CEO with effect from May 1, 2018, in line with good governance practice,” it said in a regulatory filing. Till now, he was designated executive vice-chairman and MD, Kotak Mahindra Bank.
As of 31 March 2018, the bank’s gross non-performing assets as a percentage of gross advances eased to 2.22 per cent, against 2.31 per cent in the third quarter and 2.59 per cent in the fourth quarter of 2016-17.
Net NPAs as percentage of advances also improved to 0.98 per cent (1.26 per cent) in the fourth quarter of 2017-18.
However, in absolute terms, gross NPAs rose to Rs3,825.38 crore by 31 March 2018 to Rs3,578.61 crore.
Provisioning for the quarter rose to Rs307 crore (Rs267 crore).
The board of directors of the bank has proposed a dividend of Rs0.70 per share for the year 2017-18.
The board of Kotak Mahindra Bank also approved the appointment of Prakash Apte as the new part-time chairman as the current part-time chairman Shankar Acharya is set to retire on 19 July.
Apte is a non-executive independent director of the bank since March 2011 and also independent director on the board of Kotak Mahindra Life Insurance Company