RBI bans Kotak Mahindra Bank from on boarding new online customers
However, the RBI (Reserve Bank of India) said the bank shall continue to provide services to its existing customers, including its credit card customers.
Kotak Mahindra Bank’s second quarter jumped as the asset quality improved. The bank on Monday posted a 26.7 per cent rise in its standalone net profit to Rs 2,184.48 crore for the September quarter. The private sector lender had posted a net profit of Rs 1,724.48 crore during the same quarter a year ago.
The bank, in a regulatory filing, said that the total income (standalone) rose to Rs 8,288.08 crore in the July-September period as against Rs 7,986.01 crore in the year-ago period.
The non-performing assets (NPAs) of the bank plunged to 0.64 per cent of the net advances as of September 30, 2020, from 0.85 per cent by September-end 2019.
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In value terms, the net NPAs were down at Rs 1,303.78 crore compared to Rs 1,811.40 crore. However, the gross NPAs rose to 2.55 per cent (Rs 5,335.95 crore) from 2.32 per cent (Rs 5,033.55 crore).
Provisions for bad loans and contingencies came down to Rs 368.59 crore for the reported quarter, from Rs 407.93 crore parked aside for the year-ago period.
On a consolidated basis, the bank said the net profit rose by 22.4 per cent to Rs 2,946.62 crore during Q2FY21 as against Rs 2,407.25 crore a year ago.
Total income grew to Rs 13,591.41 crore from Rs 12,542.99 crore.
The consolidated result of the bank included financials of its various domestic as well as international subsidiaries and associate companies.
Shares KMB was trading at Rs 1,376.30 apiece on BSE, down 0.49 per cent from its previous close.
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