Kotak Bank Q3 Preview: PAT may grow by up to 3% YoY, NII to rise up to 5%. 7 things to know

Kotak Mahindra Bank is expected to report a steady set of Q3FY26 numbers, with modest growth in profits and operating metrics, supported by healthy loan expansion, stable margins and benign asset quality trends. The private lender is likely to report a 1%-3% year-on-year rise in its December quarter net profit in the range of Rs 3,340 crore to Rs 3,480 crore, according to estimates by four brokerages.

The net interest income (NII) is likely to go up by up to 5% YoY to Rs 7,565 crore in the quarter under review, the estimates revealed.

While Pre-provision operating profit (PPoP) growth is likely to remain moderate, analysts expect controlled credit costs and improving GNPA/NNPA ratios to underpin earnings resilience.

Brokerage estimates used in this preview include PL Capital, Nuvama, Emkay Research and YES Securities.

The earnings will be announced on Saturday, January 24, 2026.

Here’s what brokerages recommend:

1) PAT

— PL Capital: Rs 3,457 crore, up 5% YoY and 6% QoQ
— Nuvama: Rs 3,480 crore, up 5% YoY and 7% QoQ
— Emkay Research: Rs 3,340 crore, up 1% YoY and 3% QoQ
— YES Securities: Rs 3,411 crore, up 3% YoY and 5% QoQ

2) NII

— PL Capital: Rs 7,476 crore, up 4% YoY and 2.3% QoQ

— Nuvama: Rs 7,470 crore, up 4% YoY and 2.2% QoQ

— Emkay Research: Rs 7,514 crore, up 4% YoY and 3% QoQ

— YES Securities: Rs 7,565 crore, up 5% YoY and 3.5% QoQ

3) Pre-provision operating profit (PPoP)

— PL Capital: Rs 5,490 crore, up 6% YoY and 4% QoQ

— Nuvama: Rs 5,500 crore, up 6.1% YoY and 4% QoQ

— Emkay Research: Rs 5,266 crore, up 2% YoY and flat QoQ

— YES Securities: Rs 5,448 crore, up 5% YoY and 3% QoQ

4) NIM

— Nuvama: 4.60%, down 33 bps YoY, up 6 bps QoQ

— Emkay Research: 4.5%, down 42 bps YoY and 3 bps QoQ

— YES Securities: Sequential moderation expected as yield compression outpaces deposit cost decline

5) Loans & deposits

— Nuvama sees loans at Rs 4.80 lakh crore, up 16% YoY and 4% QoQ while deposits at Rs 5.43 lakh crore, up 15% YoY and 3% QoQ.

— YES Securities: Sequential loan growth seen around 4%, driven by the bank’s idiosyncratic growth trajectory.

— PL Capital: Medium-term double-digit credit growth supported by SME, secured retail and improving unsecured (ex-MFI) demand

6) Asset quality

— PL Capital: (GNPA) is seen at 1.39% in Q3FY26 versus 1.45% in Q2FY26 while NNPA at 0.32% in Q3FY26 versus 0.37% in Q2FY26.

— Nuvama sees provisions at Rs 880 crore, likely up 10.2% YoY and down 8% QoQ.

YES Securities: Lower sequential slippages and provisions expected.

7) Credit cost

— Nuvama: 0.73%, down 4 bps YoY and 9 bps QoQ

— Emkay Research: Lower loan loss provisions to support profitability

— YES Securities: Slight sequential moderation in credit costs expected

Disclaimer: (Disclaimer: The recommendations, suggestions, views, and opinions given by the experts are their own. These do not represent the views of The Economic Times.)