Kotak Mahindra Bank Declares Dividend of Rs 1.50/Share, Reports 28% Jump In PAT YOY

Kotak Mahindra posted a strong performance for the quarter ended March 31, 2023, above the estimates of the industry. The bank's profit after tax (PAT) for FY23 increased to Rs 10,939 crore from Rs 8,573 crore in FY22, up 28 per cent YoY and for Q4FY23 stood at Rs 3,496 crore, up 26 per cent YoY from Rs 2,767 crore in Q4FY22.

On saturday, April 29, Kotak Mahindra Bank announces its quarterly and full year results after the board of directors meeting held, through subsequent securities filings. The board even has recommended to give out a dividend as per the press release statement.

Net Interest Income (NII) for FY23 increased to Rs 21,552 crore, from Rs 16,818 crore in FY22, up 28 per cent YoY and for Q4FY23 increased to Rs 6,103 crore, from Rs4,521 crore in Q4FY22, up 35 per cent YoY.

Further, there was expansion seen in the company's interest margin (NIM) by5.33 per cent for FY23 and 5.75 per cent for Q4FY23. While the operating profit increased to Rs 14,848 crore from Rs 12,051 crore, up 23 per cent YoY and for Q4FY23 was Rs 4,647 crore, up 39 per cent YoY (Q4FY22: Rs 3,340 crore).

In terms of customer base, the Kotak Mahindra Bank added 2.2 million new customers in Q4FY23. Taking the customer count to 41.2 million for full year as against 32.7 million last year March 31, 2022).

Customer Assets, which includes advances (incl. IBPC & BRDS) and credit substitutes, increased
by 19 per cent YoY to Rs3,52,652 crore as at March 31, 2023 from Rs2,95,273 crore as at March 31, 2022.
Net Advances increased by over 18 per cent to Rs3,19,861 crore as at March 31, 2023 from Rs2,71,254 crore as at March 31, 2022.

Further the current account savings account (CASA) ratio stood at 52.8 per cent at March 31, 2023. Meanwhile the bank's gross non performing assets (GNPA) was recorded at 1.78 per cent and net non performing assets (NNPA) was at 0.37 per cent, higher than last year's GNPA at 2.34 per cent and NNPA at 0.64 per cent. The provision coverage ratio stood at 79.3 per cent and capital adequacy ratio of the Bank, as on March 31, 2023 was 21.8 per cent and CET I ratio of 20.6 per cent.

Koak Bank's consolidated PAT for FY23 increased to Rs14,925 crore from Rs12,089 crore in FY22, up 23 per cent YoY and for Q4FY23 was Rs4,566 crore, up 17 per cent YoY from Rs3,892 crore in Q4FY22.

the Return on Assets (ROA) was 2.62 per cent for FY23 (2.36 per cent for FY22) and for Q4FY23 (annualized) was 3.06 per cent (2.94 per cent for Q4FY22). Return on Equity (ROE) was 14.4 per cent for FY23 (13.4 per cent for FY22) and for Q4FY23 (annualized) was 16.9 per cent (16.6 per cent for Q4FY22).

Total assets managed / advised by the Group as at March 31, 2023 were Rs4,20,880 crore up 10 per cent YoY over Rs3,82,709 crore as at March 31, 2022.

Lastly, the board of directors of the bank has recommended dividend of Rs1.50 per equity share having face value of Rs5, for the year ended March 31, 2023, subject to approval of shareholders.

The latest market price of Kotak Mahindra Bank stock is Rs 1937.70 per share, it is up by 1.48 per cent over previous day's closing. Its 52-week high is at Rs 1,997 per share and 52-week low is at Rs 1,630 per share. In last one year the share price has gone up by 8.31 per cent while in three years it has surged by 42.8 per cent.