Kotak Mahindra Bank Ltd. FY2026 Annual Report
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Overview
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Detailed Analysis
Sentiment
Mixed
Executive Summary
Kotak Mahindra Bank FY2026: Revenue ₹107,947.59 Cr (vs ₹106,902.24 Cr YoY), PAT ₹19,102.73 Cr (vs ₹19,112.53 Cr YoY)
In FY2026, Kotak Mahindra Bank reported consolidated Total Income of ₹107,947.59 crore versus ₹106,902.24 crore in FY2025 while consolidated PAT was broadly flat at ₹19,102.73 crore versus ₹19,112.53 crore. The consolidated balance sheet expanded with Total Assets rising to ₹1,003,353 crore in FY2026 from ₹879,774 crore in FY2025, supported by growth in the standalone bank’s deposits to ₹572,456 crore and advances to ₹496,009 crore. Core profitability softened as standalone NIM moderated to 4.60% in FY2026 from 4.96% in FY2025, alongside lower consolidated RoA of 2.06% (FY2025: 2.36%) and RoE...Consolidated Total Incomep.277
₹107,947.59 Crvs ₹106,902.24 Cr in FY2025
Consolidated PATp.277
₹19,102.73 Crvs ₹19,112.53 Cr in FY2025
Consolidated Total Assetsp.48
₹1,003,353 Crvs ₹879,774 Cr in FY2025
Standalone Bank Depositsp.49
₹572,456 Cr as at 31-Mar-2026vs ₹499,055 Cr as at 31-Mar-2025
Standalone Bank Advancesp.49
₹496,009 Cr as at 31-Mar-2026vs ₹426,909 Cr as at 31-Mar-2025
Standalone CASA Ratiop.49
43.27%vs 42.96% in FY2025
Standalone Net Interest Margin (NIM)p.49
4.60%vs 4.96% in FY2025
Standalone GNPA Ratiop.283
1.20% as at 31-Mar-2026vs 1.42% as at 31-Mar-2025
Key Highlights
11
Subsidiaries contributed 27% of consolidated profits in FY2026, underscoring the earnings diversification of the conglomerate model.
Kotak Securities Limited grew Total Income to ₹5,704.11 crore in FY2026 from ₹5,348.40 crore in FY2025 while maintaining near-flat PBT at ₹2,183.92 crore (FY2025: ₹2,175.23 crore).
Kotak Securities’ equity derivatives market share expanded to 15.04% in FY2026 from 12.86% in FY2025 and cash segment share rose to 9.87% from 9.38%.
Kotak Mahindra Capital Company posted Total Income of ₹689.19 crore in FY2026 and recorded exceptional gain of ₹1,277.13 crore, driving PBT to ₹1,724.10 crore versus ₹460.53 crore in FY2025.
Kotak Mahindra Asset Management Company AAUM increased to ₹570,041 crore in FY2026 from ₹468,820 crore in FY2025 while Total Income rose to ₹1,753.07 crore from ₹1,508.99 crore.
Kotak Mahindra Prime Limited reported Total Income of ₹2,916.57 crore in FY2026 versus ₹2,819.77 crore in FY2025 while PBT slipped to ₹1,342.09 crore from ₹1,356.86 crore.
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Key Highlights
11
Subsidiaries contributed 27% of consolidated profits in FY2026, underscoring the earnings diversification of the conglomerate model.
Kotak Securities Limited grew Total Income to ₹5,704.11 crore in FY2026 from ₹5,348.40 crore in FY2025 while maintaining near-flat PBT at ₹2,183.92 crore (FY2025: ₹2,175.23 crore).
Kotak Securities’ equity derivatives market share expanded to 15.04% in FY2026 from 12.86% in FY2025 and cash segment share rose to 9.87% from 9.38%.
Kotak Mahindra Capital Company posted Total Income of ₹689.19 crore in FY2026 and recorded exceptional gain of ₹1,277.13 crore, driving PBT to ₹1,724.10 crore versus ₹460.53 crore in FY2025.
Kotak Mahindra Asset Management Company AAUM increased to ₹570,041 crore in FY2026 from ₹468,820 crore in FY2025 while Total Income rose to ₹1,753.07 crore from ₹1,508.99 crore.
Kotak Mahindra Life Insurance’s Value of New Business (VNB) improved to ₹1,260 crore in FY2026 from ₹959 crore in FY2025 with VNB margin expanding to 28.5% from 25%.
Kotak Mahindra Prime Limited reported Total Income of ₹2,916.57 crore in FY2026 versus ₹2,819.77 crore in FY2025 while PBT slipped to ₹1,342.09 crore from ₹1,356.86 crore.
On 24-Mar-2026, KMCC divested 30.99% (out of its 49.99% stake) in Infina for consideration of ₹1,293.91 crore and recognised a pre-tax gain of ₹367.79 crore.
As on 31-Mar-2026, the bank operated 2,276 branches (excluding DIFC Dubai and GIFT City) and 2,727 ATMs.
As on 31-Mar-2026, the Kotak Group employee strength was over 112,000 and the standalone bank had over 74,000 employees.
BSS Sonata Microcredit Limited reported a PAT (loss) of (₹73.15) crore in FY2026 compared to (₹73.67) crore in FY2025.
MD&A Insights
5
SME advances stood at ₹1.2 lakh crore in FY2026, growing 19% YoY and accounting for 24% of the Bank’s advances.
Standalone CRAR was 22.40% and CET-1 was 21.34% as at 31-Mar-2026, supporting growth capacity and loss-absorption buffers.
The Bank sold PSLCs amounting to ₹116,022.75 crore in FY2026 versus ₹111,092.00 crore in FY2025, indicating higher monetisation of priority sector lending surplus.
Standalone exposure concentration metrics showed the top 20 depositors held ₹44,927.34 crore (7.85% of total deposits) and the top 20 borrowers had advances of ₹63,387.88 crore (7.21% of total advances) as at 31-Mar-2026.
Book value per equity share increased 15.01% to ₹182.09 in FY2026 from ₹158.33 in FY2025, reflecting balance-sheet compounding despite softer profitability ratios.
Guidance & Outlook
5
Management disclosed that the consolidated balance sheet has crossed ₹10 lakh crore and the Group manages a further ₹7.5 lakh crore of AUM.
Pursuant to RBI Directions, KMIL’s business activities will be conducted departmentally within the Bank from 1-Apr-2026 and KMIL shall not sanction any new loans with effect from 1-Apr-2026.
The sub-division (split) of 1 existing equity share of ₹5 into 5 equity shares of ₹1 was effective from 14-Jan-2026 (record date).
The Board proposed a dividend of ₹0.65 per share (face value ₹1) for FY2026 versus ₹2.50 per share (face value ₹5) in FY2025, reflecting the post-split share structure.
If approved at the AGM, the FY2026 dividend will be paid to members on the record date Friday, 17-Jul-2026.
Risks & Concerns
5
Standalone unsecured advances increased to ₹98,752.54 crore as at 31-Mar-2026 from ₹89,036.60 crore as at 31-Mar-2025, which can elevate portfolio risk if underwriting or macro conditions deteriorate.
The notional principal of swap agreements rose to ₹175,464.44 crore in FY2026 from ₹141,828.23 crore in FY2025, indicating higher derivatives-linked market risk exposure.
The Bank disclosed multiple GST demands during FY2026, including a demand of ₹23,257,258 that has been levied and appealed, creating potential contingent outflow and compliance risk.
Independent auditors opined that the consolidated financial statements give a true and fair view in conformity with applicable Accounting Standards and RBI guidelines for banks, reducing financial reporting risk.
Total volume of water withdrawal increased to 757,054.9 kilolitres in FY2026 from 263,789.9 kilolitres in FY2025, heightening ESG scrutiny on resource intensity.
AI-generated analysis. May contain inaccuracies — verify against original sources.