Kotak Mahindra Bank shares fall over 3% after Q1 update; advances jump 15% to Rs 5.12 lakh crore

Published 6 July 2026 · finance

The shares of Kotak Mahindra Bank declined over 3% to Rs 383.50 on the BSE on Monday after the private lender announced that its net

The shares of Kotak Mahindra Bank declined over 3% to Rs 383.50 on the BSE on Monday after the private lender announced that its net advances for the quarter which ended on June 30, 2026, rose more than 15% year-on-year (YoY) to Rs 5.12 lakh crore, from Rs 4.45 lakh crore reported in the same period last year.Kotak Mahindra Bank released its provisional Q1 business update on Saturday. Sequentially, the bank’s net advances (end of period) rose over 3% from Rs 4.69 lakh crore reported for the January-March quarter of FY26.Deposits meanwhile grew nearly 12% YoY to Rs 5.73 lakh crore during Q1 FY27, from Rs 5.13 lakh crore in Q1 FY26. Sequentially however, the growth in deposits was marginal at 0.1% QoQ from Rs 5.72 lakh crore in Q4 FY26.Kotak Mahindra Bank's current account savings account deposits meanwhile rose more than 10% YoY to Rs 2.31 lakh crore in Q1 FY27, although it fell around 7% QoQ from Rs 2.48 lakh crore reported in the previous quarter (Q4 FY26).

It is important to note that these are provisional numbers, and the actual results will be released after audit.Also Read | HDFC Bank Q1 business update | Gross advances rise 15% to Rs 30.61 lakh croreWhat brokerages sayMotilal Oswal noted that Kotak Mahindra Bank’s Q1 loan growth remained largely in line with its estimate. However, deposits surprised negatively amid a sharp decline in CASA. As a result, the bank’s CD ratio increased to 89.4% vs 86.6% in Q4 FY26.JM Financial also noted that Kotak Mahindra Bank reported relatively weaker deposit mobilisation. “ICICI Bank, Axis Bank and Kotak Bank are expected to continue delivering strong earnings growth, while Ujjivan, City Union Bank and DCB Bank should remain among the better-performing mid-sized lenders supported by healthy business growth and improving operating metrics,” the domestic brokerage said.Kotak Mahindra Bank share priceKotak Mahindra Bank shares have gained more than 5% in one month but declined around 11% in 2026 so far to close at Rs 396.75 apiece on NSE on Friday.

The stock has fallen nearly 7% in one year but gained around 6% in three years and 13% in five years.After hitting a 52-week high of Rs 453.20 apiece in October last year, the shares of the private lender dropped around 24% in less than six months to hit a 52-week low of Rs 345.50 apiece in April this year. The stock has so far recovered around 15% since then. The company currently has a market capitalisation of nearly Rs 3.95 lakh crore.Last week, Kotak Mahindra Bank announced that it had signed a definitive agreement to acquire the retail banking, private banking and wealth management business of Deutsche Bank in India for Rs 282 crore, in what is among the largest portfolio acquisitions in the country's financial services industry in recent years.Also Read | Kotak to buy Deutsche's India retail, wealth business(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own.