Standalone PAT for Q1FY25 Rs 6,250 crore, up 81% YoY
FinTech BizNews Service
Mumbai, 20th July, 2024: As per Kotak Mahindra Bank’ Q1FY25 results, announced today, its Consolidated PAT for Q1FY25 stands at Rs7,448 crore, up 79% YoY and Standalone PAT for Q1FY25 is Rs6,250 crore, up 81% YoY.
The Board of Directors of Kotak Mahindra Bank approved the unaudited standalone and consolidated results for the quarter ended June 30, 2024, at the Board meeting held in Mumbai, today. Divestment of stake in Kotak General Insurance to Zurich Insurance Group Q1FY25 saw the completion of a landmark deal in General Insurance sector with Zurich Insurance Group taking a 70% stake in Kotak General Insurance. The alliance brings together Zurich’s global insurance leadership and scale with Kotak’s local expertise and reach. Post this transaction, KMBL holds 30% stake in KGI and will continue to act as corporate agent of KGI for distribution of general insurance products. The above transaction has resulted in an increase in the consolidated PAT by Rs3,013 crore and standalone PAT by Rs2,730 crore.
Implementation of RBI’s Master Direction (Classification, Valuation and Operation of Investment Portfolio of Commercial Banks), 2023 Bank has implemented above directions w.e.f. April 1, 2024, resulting in fair value gain of Rs 3,414 crore (post tax) accounted in reserves at June 30, 2024.
Consolidated results at a glance
Consolidated PAT for Q1FY25 was Rs 7,448 crore, up 79% YoY from Rs 4,150 crore in Q1FY24. Consolidated PAT for Q1FY25 excluding gains (net of tax) of Rs 3,013 crore (on divestment of stake in Kotak General Insurance) stood at Rs 4,435 crore.
At the consolidated level, Return on Assets (ROA) for Q1FY25 (annualized) was 3.87% (2.63% for Q1FY24). ROA for Q1FY25 (annualized) excluding gains on divestment of stake in Kotak General Insurance stood at 2.30%. At the consolidated level, Return on Equity (ROE) for Q1FY25 (annualized) was 22.04% (14.62% for Q1FY24). ROE for Q1FY25 (annualized) excluding gains on divestment of stake in Kotak General Insurance stood at 13.12%. Consolidated Capital Adequacy Ratio as per Basel III as at June 30, 2024 was 22.8% and CET I ratio was 21.9% (including unaudited profits). Consolidated Networth as at June 30, 2024 was Rs 141,165 crore (including impact of Rs 3,414 crore increase in reserves on implementation of RBI Directions). The Book Value per Share was Rs710. Consolidated Customer Assets which comprise Advances (incl. IBPC & BRDS) and Credit Substitutes grew to Rs 494,105 crore as at June 30, 2024 from Rs 405,775 crore as at June 30, 2023, up 22% YoY.
Total Assets Under Management as at June 30, 2024 were Rs 636,311 crore up 36% YoY over Rs 466,878 crore as at June 30, 2023. The Domestic MF Equity AUM increased by 64% YoY to Rs 293,167 crore as at June 30, 2024.
Kotak Mahindra Bank standalone results
The Bank’s PAT for Q1FY25 stood at Rs 6,250 crore, up 81% YoY from Rs 3,452 crore in Q1FY24. Bank’s PAT for Q1FY25 excluding gains (net of tax) of Rs 2,730 crore (on divestment of stake in Kotak General Insurance) stood at Rs 3,520 crore. Net Interest Income (NII) for Q1FY25 increased to Rs 6,842 crore, from Rs 6,234 crore in Q1FY24, up 10% YoY. Net Interest Margin (NIM) was 5.02% for Q1FY25. Fees and services for Q1FY25 increased to Rs 2,240 crore from Rs 1,827 crore in Q1FY24, up 23% YoY. Operating profit for Q1FY25 increased to Rs 5,254 crore from Rs 4,950 crore in Q1FY24, up 6% YoY.
Customers as at June 30, 2024 were 5.1 cr (4.3 cr as at June 30, 2023). Advances (incl. IBPC & BRDS) increased 20% YoY to Rs 405,957 crore as at June 30, 2024 from Rs 337,031 crore as at June 30, 2023. Customer Assets, which comprises Advances (incl. IBPC & BRDS) and Credit Substitutes, increased by 20% YoY to Rs 435,827 crore as at June 30, 2024 from Rs 362,204 crore as at June 30, 2023.
Unsecured retail advances (incl. retail microcredit) as a % of net advances stood at 11.6% as at June 30, 2024. Average Total Deposits grew to Rs 435,603 crore for Q1FY25 compared to Rs 361,295 crore for Q1FY24 up 21% YoY. Average Current Deposits grew to Rs 62,200 crore for Q1FY25 compared to Rs 59,431 crore for Q1FY24 up 5% YoY. Average Savings Deposits grew to Rs 122,105 crore for Q1FY25 compared to Rs 119,817 crore for Q1FY24 up 2% YoY. Average Term Deposits grew to Rs 251,298 crore for Q1FY25 compared to Rs 182,047 crore for Q1FY24 up 38% YoY. CASA ratio as at June 30, 2024 stood at 43.4%. TD sweep balance grew 66% YoY to Rs 48,179 crore.
As at June 30, 2024, GNPA was 1.39% & NNPA was 0.35% (GNPA was 1.77% & NNPA was 0.40% at June 30, 2023). Capital Adequacy Ratio of the Bank, as per Basel III, as at June 30, 2024 was 22.4% and CET1 ratio of 21.3% (including unaudited profits). Standalone Return on Assets (ROA) for Q1FY25 (annualized) was 4.22% (2.81% for Q1FY24). ROA for Q1FY25 (annualized) excluding gains on divestment of stake in Kotak General Insurance stood at 2.38%.
