Kotak Mahindra Bank shares have crashed almost 13 per cent since the Reserve Bank of India (RBI) barred the private-sector lender from onboarding any new customers till further notice, after finding ‘’serious deficiencies” in its IT infrastructure. Kotak Mahindra Bank’s market capitalisation (mcap) has shrunk to ₹3.19 lakh crore in two days, losing its rank as India’s fourth largest lender.
On the other hand, Axis Bank has overtaken Kotak Mahindra Bank to become India’s fourth largest lender as its mcap has risen to ₹3.48 lakh crore after its shares have jumped nearly five per cent on robust March quarter results.
Axis Bank reported a net profit of ₹7,130 crore in the January-March quarter, compared to a loss of ₹5,728.4 crore in the corresponding period last year. The private sector lender’s net interest income (NII)-the difference between interest earned and paid-rose 11.5 per cent year-on-year (YoY) to ₹13,089 crore in the quarter-under-review, compared to ₹11,742 crore in the year-ago period.
Also Read: Uday Kotak loses ₹10,225 crore in a day as Kotak Mahindra Bank share price tanks 11%
HDFC Bank, ICICI Bank and State Bank of India (SBI) are the the top three most valuable banks of India by mcap. HDFC Bank tops the lenders with a mcap of ₹11.5 lakh crore, followed by ICICI Bank with an mcap of ₹7.78 lakh crore and SBI at ₹6.99 lakh crore. Axis Bank is now at the fourth position, followed by Kotak Mahindra Bank at the fifth rank so far. On Thursday, Kotak was the only lender trading lower during the session among the other bank majors.
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Published: 26 Apr 2024, 08:38 PM IST