MUMBAI - India's Kotak Mahindra Bank on Saturday reported a bigger-than-expected jump in net profit for the June-September quarter, lifted by strong loan growth.
The private lender's standalone profit jumped 27% from the same period last year to 25.80 billion Indian rupees ($313 million) in its fiscal second quarter.
Analysts were expecting a profit of 23.68 billion rupees, according to Refinitiv IBES data.
Net interest income jumped 27% from a year ago to 50.99 billion rupees, while other income rose 7.9%.
Gross bad loans as a percentage of total loans – a measure of asset quality – eased to 2.08% at the end of September, from 2.24% at the end of June. Net non-performing assets declined to 0.55% from 0.62% at the end of June.
India's banks were expected to report strong quarterly results as lending picked up despite a slew of central bank rate hikes.
Kotak Mahindra Bank said in a regulatory filing this week that it would consider fund raising by issuing non-convertible debentures.
($1 = 82.5290 Indian rupees)
(Reporting by Nupur Anand and Rajendra Jadhav; Editing by William Mallard)