Total income increased 17.88% year-on-year and 7.44% quarter-on-quarter to Rs 19,141.29 crore. Net interest income (NII) increased 16% year-on-year and 7% quarter-on-quarter to Rs 8,459 crore. Net interest margin (NIM), however, moderated to 4.31% from 4.54% a year ago and 4.53% in the previous quarter. The bank attributed the moderation largely to the mobilisation of foreign currency non-resident bank (FCNR(B)) deposits during the quarter.

Fees and services income rose 21% year-on-year and 17% sequentially to Rs 2,926 crore. Operating profit increased 21% year-on-year and 4% quarter-on-quarter to Rs 6,382 crore. Operating expenses rose 14% year-on-year to Rs 5,271 crore, while the cost-to-assets ratio improved to 2.40% from 2.67% a year ago.

Profit before tax increased 29.11% year-on-year and 2.11% sequentially to Rs 5,578.64 crore.

Provisions declined 15% year-on-year to Rs 803 crore but increased from Rs 668 crore in Q1 FY27. Annualised credit cost stood at 0.35%, compared with 0.79% in the year-ago quarter and 0.46% in the previous quarter.

Net advances grew 25% year-on-year to Rs 5,77,295 crore as of 30 September 2026. Excluding loans against FCNR(B) deposits and the loan portfolio acquired from Kotak Mahindra Investments, advances increased 19%. Customer assets rose 23% year-on-year to Rs 6,26,801 crore.

Period-end deposits increased 23% year-on-year to Rs 6,51,491 crore. Excluding FCNR(B) deposits, deposit growth stood at 13%. The bank's current account and savings account (CASA) ratio declined to 38.2% from 42.3% a year earlier, reflecting the increase in the term deposit base following FCNR(B) inflows. Excluding these deposits, the CASA ratio stood at 41.8%.

Asset quality improved, with gross non-performing assets (GNPA) declining 6.15% year-on-year to Rs 6,080.97 crore from Rs 6,479.58 crore. The gross NPA ratio fell to 1.04% from 1.39% a year earlier and 1.18% in the previous quarter. Net non-performing assets (NNPA) declined 8.32% year-on-year to Rs 1,366.94 crore, while the net NPA ratio eased to 0.24% from 0.32% a year earlier and 0.27% in Q1 FY27.

The bank reported an annualised return on assets of 1.92% and return on equity of 11.65% for Q2 FY27. Its capital adequacy ratio stood at 21.9%, while the common equity tier-1 ratio was 21.4%. The bank had 5.1 crore customers as of 30 September 2026.

As on 30 September 2026, Kotak Mahindra Bank had a national footprint of 2,327 branches and 2,673 ATMs (incl. cash recyclers), and branches in GIFT City and DIFC (Dubai).