In short: Kotak Mahindra Bank's Q2 FY27 net interest income rose 15.7% to ₹8,459 crore from a year earlier, and net profit rose 29.5% to ₹4,212 crore. Net interest margin was 4.31%, down 22 bps from the previous quarter. Standalone profit rose 29% from a year earlier, but raising ₹55,344 crore of FCNR(B) deposits pulled the net interest margin down to 4.31% from 4.53%.
What changed in Kotak Mahindra Bank's Q2 FY27 results
- Net interest income was ₹8,459 crore, up 15.7% from a year earlier and up 6.7% from the previous quarter.
- Net profit was ₹4,212 crore, up 29.5% from a year earlier and up 2.2% from the previous quarter.
- Operating profit before provisions was ₹6,382 crore, up 21.1% from a year earlier and up 4.1% from the previous quarter; provisions were ₹804 crore, against ₹947 crore a year earlier.
- Net interest margin was 4.31%, down 22 bps from the previous quarter and down 23 bps from a year earlier.
- Net advances were ₹5,77,295 crore, up 24.8% from a year earlier and up 12.7% from the previous quarter.
- Deposits were ₹6,51,491 crore, up 23.2% from a year earlier and up 13.7% from the previous quarter.
- CASA ratio (period-end) was 38.2%, against 40.3% in the previous quarter and 42.3% a year earlier.
- Gross NPA ratio was 1.04%, against 1.18% in the previous quarter and 1.39% a year earlier; net NPA ratio was 0.24%, against 0.27% in the previous quarter and 0.32% a year earlier. Provision coverage was 78%.
- Credit cost for the quarter was 35 bps, as the bank reports it.
- Capital adequacy ratio was 21.86%, against 22.78% a quarter earlier and 22.05% a year earlier.
Kotak Mahindra Bank Q2 FY27 results at a glance
| Metric | Q2 FY27 | Q1 FY27 | Q2 FY26 | QoQ | YoY |
|---|---|---|---|---|---|
| Net interest income (₹ crore) | 8,459 | 7,928 | 7,311 | +6.7% | +15.7% |
| Operating profit (₹ crore) | 6,382 | 6,131 | 5,268 | +4.1% | +21.1% |
| Provisions (₹ crore) | 804 | 668 | 947 | +20.3% | −15.2% |
| Net profit (₹ crore) | 4,212 | 4,123 | 3,253 | +2.2% | +29.5% |
| Net advances (₹ crore) | 5,77,295 | 5,12,249 | 4,62,688 | +12.7% | +24.8% |
| Deposits (₹ crore) | 6,51,491 | 5,72,820 | 5,28,776 | +13.7% | +23.2% |
| Net interest margin | 4.31% | 4.53% | 4.54% | −22 bps | −23 bps |
| CASA ratio (period-end) | 38.2% | 40.3% | 42.3% | −210 bps | −410 bps |
| Gross NPA ratio | 1.04% | 1.18% | 1.39% | −14 bps | −35 bps |
| Net NPA ratio | 0.24% | 0.27% | 0.32% | −3 bps | −8 bps |
| Capital adequacy ratio | 21.86% | 22.78% | 22.05% | −92 bps | −19 bps |
Genvest analysis
Standalone net profit was ₹4,212 crore, up 29.5% from ₹3,253 crore a year earlier and 2.2% from the June quarter. Net interest income rose 15.7% from a year earlier to ₹8,459 crore, fees and services rose 21% to ₹2,926 crore, and provisions fell 15% to ₹804 crore. Operating expenses rose 14%, more slowly than income, and the bank puts its cost to assets at 2.40%, against 2.67% a year earlier.
The net interest margin fell to 4.31% from 4.53% in June and 4.54% a year earlier. The bank attributes the drop largely to FCNR(B) deposits, the foreign-currency term deposits of non-resident Indians: it raised about ₹55,344 crore of them in the quarter and lent about ₹16,110 crore through its international branches. Its cost of funds was 4.52%, against 4.46% in June and 4.70% a year earlier.
Net advances rose 25% from a year earlier and 12.7% in the quarter to ₹5,77,295 crore. Excluding loans against FCNR(B) deposits and about ₹9,588 crore of loans bought from its subsidiary Kotak Mahindra Investments, the bank puts growth at 19%. Deposits rose 23% to ₹6,51,491 crore, or 13% excluding FCNR(B). The term-deposit inflow pushed the CASA ratio down to 38.2% from 40.3% in June and 42.3% a year earlier; excluding FCNR(B) deposits it was 41.8%.
Gross NPAs fell to 1.04% of advances from 1.18% in June and 1.39% a year earlier, and net NPAs to 0.24% from 0.27%. Slippages fell 24% from a year earlier to ₹1,230 crore, annualised credit cost on specific provisions was 0.35%, against 0.46% in June and 0.79% a year earlier, and the provision coverage ratio was 78%. Capital adequacy was 21.86%, against 22.78% in June.
On a consolidated basis, net profit was ₹5,645 crore, up 26% from a year earlier and 3% from June. Kotak Securities earned ₹348 crore, against ₹533 crore in June, and Kotak Mahindra Life Insurance ₹198 crore, against ₹49 crore a year earlier. The board also appointed Anup Kumar Saha, an executive director, as managing director and CEO for three years from 1 January 2027, subject to shareholder approval; the RBI approved the appointment on 30 September.
What Kotak Mahindra Bank's results mean for fund investors
- Banking funds. Banks are the largest holdings of banking and financial services funds, and each bank moves these funds in proportion to its weight in them. The largest banks carry far more weight than mid-sized ones.
- Index funds. Financial services is the largest sector in the Nifty 50, so results from the biggest banks also reach Nifty 50 index funds.
- Overlap. If you hold several banking funds, or bank shares alongside them, check how concentrated you are with the portfolio analyzer.
Kotak Mahindra Bank Q2 FY27 results: questions
When did Kotak Mahindra Bank announce Q2 FY27 results?
Kotak Mahindra Bank announced its Q2 FY27 results on 24 October 2026.
What was Kotak Mahindra Bank's Q2 FY27 net profit?
Net profit was ₹4,212 crore, up 29.5% from a year earlier and up 2.2% from the previous quarter.
What was Kotak Mahindra Bank's Q2 FY27 net interest income?
Net interest income was ₹8,459 crore, up 15.7% from a year earlier and up 6.7% from the previous quarter.
What was Kotak Mahindra Bank's gross NPA in Q2 FY27?
Gross NPA ratio was 1.04%, against 1.18% in the previous quarter and 1.39% a year earlier; net NPA ratio was 0.24%, against 0.27% in the previous quarter and 0.32% a year earlier. Provision coverage was 78%.
What was Kotak Mahindra Bank's net interest margin in Q2 FY27?
Net interest margin was 4.31%, down 22 bps from the previous quarter and down 23 bps from a year earlier.
Other bank Q2 FY27 results
- RBL Bank Q2 FY27 results · 12 October 2026 · net profit +169.9% YoY
- HDFC Bank Q2 FY27 results · 17 October 2026 · net profit +4.7% YoY
- ICICI Bank Q2 FY27 results · 17 October 2026 · net profit +20.1% YoY
- Axis Bank Q2 FY27 results · 17 October 2026 · net profit +37.6% YoY
- IndusInd Bank Q2 FY27 results · 23 October 2026 · net profit against a ₹445 crore loss a year earlier
- Kotak Mahindra Bank Q2 FY27 results · 24 October 2026 · net profit +29.5% YoY
- IDFC First Bank Q2 FY27 results · 24 October 2026 · net profit +196.5% YoY
All bank Q2 FY27 results in one place
Sources
- Kotak Mahindra Bank: Q2 FY27 standalone and consolidated results, 24 October 2026
- Kotak Mahindra Bank: Q2 FY27 media release, 24 October 2026
- Kotak Mahindra Bank: Q2 FY27 investor presentation, 24 October 2026
- Kotak Mahindra Bank: appointment of the MD & CEO and re-appointment of a director, 24 October 2026
- Kotak Mahindra Bank: Q1 FY27 media release (revised), 18 July 2026
- Kotak Mahindra Bank: intimation of board meeting, 8 October 2026
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