Kotak Bank profit up 37.5% in Q4 on higher other income; issues 1:1 bonus share

Mumbai - Kotak Mahindra Bank has reported a 37.5 percent on-year jump in its consolidated net profit to Rs 912.6 crore for the quarter ended 31 March 2015, sending its shares up about 6.5 percent on the BSE at close. The bank also announced issue of one bonus share for every share held. This is the first quarterly number announcement of the bank post its amalgamation with ING Vysya Bank, making it the fourth largest private sector lender. However, the merger was effective from April 1, 2015. The total income on consolidated basis rose to Rs 6,172.26 crore for the quarter ended March 31, 2015 from Rs 4,782.17 crore in the corresponding period a year ago. [caption id=“attachment_696474” align=“alignleft” width=“380”]  The bank’s other income rose 52 percent on year.[/caption] The bank’s net interest income, which is the difference between the interest amount it earns and that it expends, stood at Rs 1,680 crore for the quarter, 13.2 percent higher than Rs 1,484 crore in the year-ago period. Other income, meanwhile, witnessed a huge 52 percent on-year increase to Rs 2,655 crore. On a standalone basis, the bank’s net profit rose by 29.4 per cent to Rs 527.14 crore as compared to Rs 407.1 crore for the fourth quarter ended March 2014. The total income rose to Rs 3,249.08 crore for the quarter ended March 31, 2015 from Rs 2,552.96 crore in the same period a year ago. The board has proposed a dividend of Rs 0.90 per equity share of face value of Rs 5 each for the financial year 2014-15. For the entire fiscal ended March 31, 2015, the bank’s consolidated net profit increased 23.5 per cent to Rs 3,045.45 crore as against Rs 2,464.99 crore in the previous fiscal. The total income during 2014-15 increased to Rs 21,422.75 crore from Rs 17,235.63 crore in the previous year. Consolidated net interest margin for FY15 stood at 4.93%, marginally lower than 4.97% in the previous fiscal. On a standalone basis, the net profit of the bank for the entire fiscal rose by 24.1 per cent to Rs 1,865.98 crore as compared to Rs 1,502.52 crore in 2013-14. During the year, total income improved to Rs 11,748.32 crore from Rs 10,166.83 crore in 2013-14. Consolidated capital adequacy ratio (CAR), including audited profits, as per Basel III as on 31 March 2015 stood at 17.6%, while tier 1 ratio stood at 16.8%, the bank said in the release. With inputs from PTI