Kotak Mahindra Bank Shows Resilience Amid Capital Market Growth

Kotak Mahindra Bank reported a 10% increase in consolidated net profit, largely boosted by its capital markets divisions. Despite existing RBI restrictions, the bank is focusing on tech improvements and maintaining regular communication with the central bank. Chief Executive Ashok Vaswani is optimistic about lifting the embargo soon.

Kotak Mahindra Bank announced a consolidated net profit growth of 10%, reaching Rs 4,701 crore, driven by robust performance in its capital market-linked subsidiaries.

Despite ongoing business restrictions imposed by the RBI, the bank is making strides in technology to address regulatory concerns. CEO Ashok Vaswani confirmed continuous communication with the RBI but noted no definite timeline for lifting the embargo.

Meanwhile, the bank's capital market ventures, namely Kotak Securities and Kotak Mahindra Capital, showed a combined profit growth of 59%, which affected the flagship bank's profit share, now at 72% of the total. Vaswani assured that technological and cyber security improvements are ongoing and essential for future growth.

(With inputs from agencies.)