Kotak Mahindra Bank Faces Profit Dip

MUMBAI: In a recent financial disclosure, Kotak Mahindra Bank reported a significant 14% year-on-year decline in its standalone net profit, amounting to Rs 3,552 crore for the quarter ended March 2025. This downturn is attributed to rising provisions and narrowing margins that have pressured the bank's earnings.

Annual Performance Highlights

Despite the quarterly slump, the bank's standalone profit after tax for the full year saw a 6% increase, reaching Rs 13,720 crore, excluding a one-time gain from the sale of a stake in its general insurance unit. Including this Rs 2,730 crore gain, the annual profit surged by 19% to Rs 16,450 crore. The board has proposed a dividend of Rs 2.5 per share.

Consolidated Financials

On a consolidated basis, the net profit for the March quarter experienced an 8% drop to Rs 4,933 crore. For the fiscal year 2025, consolidated profit after tax witnessed a 21% rise to Rs 22,126 crore, bolstered by a Rs 3,013 crore gain from the insurance divestment. Excluding this gain, the profit growth was a modest 5% to Rs 19,113 crore.