Kotak Mahindra Bank Q4 Review - Strong Business Outlook But Steep Valuations: Prabhudas Lilladher

BQ Prime’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BQ Prime’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..Prabhudas Lilladher Report.Kotak Mahindra Bank Ltd.’s Q4 earnings of Rs 26.9 billion (our estimate: Rs 17.3 billion) were higher led by healthy loan growth of 21% YoY, solid fee income accretion, and provision write back. Margins were a tad better (up 16 basis points QoQ) led by higher current account and savings account share. Driven by better collections overall asset quality improved QoQ. Covid-19 provisions are ~20 bps and restructuring at 44 bps is lower to peers. On rate hike and inflation, Kotak Mahindra Bank suggested that while the situation is evolving, as of now it seems credit growth may not be materially impacted although a higher secured pool can offer a good inflation hedge. Also, in-line with our stance, it indicated that in short term there could be a positive impact on net interest margin for banks having a higher share of short term assets. .Click on the attachment to read the full report:.DISCLAIMERThis report is authored by an external party. BQ Prime does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BQ Prime..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

Kotak Mahindra Bank Q4 Review - Strong Business Outlook But Steep Valuations: Prabhudas Lilladher

Kotak Mahindra Bank Q4 Review - Strong Business Outlook But Steep Valuations: Prabhudas Lilladher

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