Kotak Mahindra Bank (KMB IN) – Q1FY27 Result Update – Levers in place for growth; execution is key – BUY
Published on 19 Jul 2026
KMB saw a steady quarter as NII and loan growth were largely in-line. Adjusted for day count, reported NIM at 4.5% was stable QoQ. Miss on fees was offset by lower opex and provisions leading to core PAT meeting PLe. There are upside risks to FY27/28E NIM as unsecured growth could pick-up while increasing repo rate cycle would benefit KMB due to higher EBLR share. Bank aims to deliver above industry credit growth in secured/unsecured; avg. LCR at 134% may provide additional balance sheet cushion. With continued investments in technology, better operating efficiency may sustain. We maintain multiple at 2.0x and keep TP at INR 480. Retain ‘BUY’.
