Kotak Mahindra Bank's Q1 profits drop more than expected on higher provisions
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jul 26 2025
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Source: Reuters
Profit Decline: Kotak Mahindra Bank reported a 47.5% drop in first-quarter profit to 32.81 billion rupees, influenced by increased provisions for bad loans and reduced lending margins due to interest rate cuts by the Reserve Bank of India.
Asset Quality and Loan Growth: The bank's gross non-performing assets ratio rose to 1.48%, while net interest income grew by 6% and the loan book expanded by 13%, primarily driven by a 16% increase in retail consumer loans.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
