Operating profit before provisions and tax rose 3.84% YoY to Rs 5,379.77 crore during the quarter. Provision (other than tax) and contingencies increased 1.95% YoY to 809.58 crore during the quarter.
Net interest income (NII) stood at Rs 7565 crore in Q3 FY26, up 5% compared with Rs 7,196 crore in Q3 FY25. Net Interest Margin (NIM) was 4.54% for Q3FY26 compared with 4.93% for Q3FY25.
Operating expenses rose 8% to Rs 5,023 crore in Q3 FY26 compared with Rs 4,638 crore in Q3 FY25. Q3FY26. These expenses include an estimated incremental cost of Rs 96 crore arising from the implementation of the new Labour Code. Excluding this impact, operating expenses for Q3 FY26 stood at Rs 4,927 crore, reflecting a 6% YoY increase.
Credit cost (annualised) stood at 0.63% in Q3 FY26, compared with 0.68% in Q3 FY25.
Total deposits at the end of the period grew 15% to Rs 542,638 crore for Q3FY26, from Rs 473,497 crore for Q3FY25. Average total deposits also increased 15% to Rs 526,025 crore for Q3FY26, from Rs 458,614 crore for Q3FY25. Average current deposits grew to Rs 75,596 crore for Q3FY26, up 14% from Rs 66,589 crore for Q3FY25.
Net Advances increased 16% to Rs 480,673 crore as at December 31, 2025 from Rs 413,839 crore as at December 31, 2024.
Asset quality continued to improve, with gross non-performing assets (GNPA) declining to 1.30% as on December 31, 2025, from 1.50% as on 31st December 2024 and net non-performing assets (NNPA) was 0.31% as on 31st December 2025 compared with 0.41% as of 31st December 2024. As at December 31, 2025, Provision Coverage Ratio stood at 76% as of 31st December 2025.
The bank’s capital adequacy ratio under Basel III norms stood at 22.6% as of December 31, 2025, while the CET1 ratio was strong at 21.5%, including unaudited profits.
Meanwhile, the company’s board approved a proposal to raise funds by way of issuance of unsecured, redeemable, non-convertible debentures (NCDs), on a private placement basis, for an amount up to Rs 15,000 crore, in one or more tranches / series, during FY 2026-27, subject to the approval of the members of the bank.
Kotak Mahindra Bank is the part of the Kotak Group and has diversified operations covering commercial vehicle financing, consumer loans, corporate finance, and asset reconstruction. Through its subsidiaries, the bank is engaged in investment banking, equity broking, securities-based lending, and car finance. As on 31 st December 2025, the bank has a national footprint of 2,218 branches and 2,749 ATMs (incl. cash recyclers) and branches in GIFT City and DIFC (Dubai).
The counter shed 0.85% to end at Rs 422.20 on the BSE.