Kotak Mahindra Bank Q4 Earnings Preview: Analysts Expect Steady Net Interest Income Growth, Limited Profit Uplift
Kotak Mahindra Bank in Focus on Saturday as Q4 Results Loom
On Saturday, 2 May, Kotak Mahindra Bank will announce its financial performance for the March quarter and the fiscal year ended 31 March. Brokerages remain broadly positive on the company's March quarter performance, expecting steady growth in core income and operating profitability, though net profit is likely to remain largely subdued due to margin pressure and modest treasury gains.
Q4 Results Preview
According to ICICI Securities, Kotak Mahindra Bank is expected to report net interest income (NII) of ₹7,893 crore for Q4FY26, reflecting a 4.4% sequential rise and an 8.4% year-on-year increase. Pre-provision operating profit (PPOP) is estimated at ₹5,606 crore, up 4.2% quarter-on-quarter and 2.5% YoY, while profit after tax (PAT) is likely to come in at ₹3,661.6 crore, registering a 6.2% sequential improvement and a 3.1% annual rise.
Read also: Treasury Yields Experience Largest Increase in Two Weeks Following Release of Labor Market Data
| Brokerage | NII (₹ crore) | PPOP (₹ crore) | PAT (₹ crore) |
|---|---|---|---|
| ICICI Securities | 7,893 | 5,606 | 3,661.6 |
| Emkay Global Financial Services | 7,747 | 5,671 | 3,515.2 |
| Axis Securities | 7,798 | 5,712 | 3,698 |
| Brokerage | NII Growth | PPOP Growth | PAT Growth |
|---|---|---|---|
| ICICI Securities | 4.4% (Seq), 8.4% (YoY) | 4.2% (Seq), 2.5% (YoY) | 6.2% (Seq), 3.1% (YoY) |
| Emkay Global Financial Services | 6.4% (YoY), 2.4% (Seq) | 3.6% (YoY), 5.4% (Seq) | -1% (YoY), 2% (Seq) |
| Axis Securities | 7.1% (YoY), 3.1% (Seq) | 4.4% (YoY), 6.2% (Seq) | 4.1% (YoY), 7.3% (Seq) |
In comparison, Emkay Global Financial Services has pencilled in NII at ₹7,747 crore, implying a 6.4% YoY and 2.4% QoQ increase. It anticipates PPOP at ₹5,671 crore, up 3.6% year-on-year and 5.4% sequentially. However, PAT is projected at ₹3,515.2 crore, indicating a marginal 1% decline from the year-ago period, though still 2% higher on a quarter-on-quarter basis.
Another domestic brokerage firm, Motilal Oswal, is relatively conservative on the lender's bottom line and expects NII at ₹7,759.5 crore, marking a 6.5% YoY rise and 2.6% quarter-on-quarter growth. Operating profit is seen at ₹5,477 crore, almost flat with just 0.1% annual growth, while net profit is estimated at ₹3,533.8 crore, reflecting a marginal 0.5% decline year-on-year but a 2.5% increase sequentially.
Read also: US-Iran Tensions Spark Uptick in Oil Prices Amid Global Market Decline
Kotak Mahindra Bank's shares have rebounded in April, gaining 8% so far and recovering part of the sharp 15% losses registered in March. To be precise, the stock failed to sustain its early-2025 rally, having begun the year with a 7.32% gain before the sell-off extended further in the following months. Despite the late recovery, the stock remains down 13% on a year-to-date basis.
Investor Takeaway
Investors can expect steady net interest income growth and limited profit uplift in Kotak Mahindra Bank's Q4 earnings.
More in Market
Treasury Yields Experience Largest Increase in Two Weeks Following Release of Labor Market Data
US-Iran Tensions Spark Uptick in Oil Prices Amid Global Market Decline
Indian Stocks to Watch: BHEL, Agarwal Industrial, JBM Auto, Rajesh Exports, Indian Energy Exchange, Lenskart Solutions in Market Focus on June 4.
