Kotak Mahindra's profit jumps 5 times in FY2000 - Views on News from Equitymaster

Helping You Build Wealth With Honest Research
Since 1996. Try Now

  • MyStocks


Login Failure
(Please do not use this option on a public machine)
  Sign Up | Forgot Password?  

Kotak Mahindra's profit jumps 5 times in FY2000

May 30, 2000

Kotak Mahindra Finance Limited (KMFL) has reported 400% jump in its net profits to Rs 611 m in FY2000 over the previous year. Profit margins of the company shot up to 21.7% from 4.9% in the previous period.

(Rs m)FY99FY00Change
Total Income 2,484 2,814 13.3%
Interest Expenses 910 840 -7.7%
Operating Profit (EBDIT) 1,575 1,974 25.4%
Operating Profit Margin (%) 63.4% 70.2%  
Other Expenses 493 502 1.9%
Depreciation 736 566 -23.1%
Profit before Tax 346 906 162.0%
Provision for Tax 224 295 31.7%
Profit after Tax/(Loss) 122 611 401.6%
Net profit margin (%)4.9%21.7% 
Earnings per share (Rs)3.32 16.62 400.6%

There has been significant improvement in the performance of the company over the previous year due to buoyant capital market, growth in the retail financing business and aggressive recovery of the non performing assets.

KMFL is planning to foray into insurance business after satisfying the norms laid down by RBI. In the current year the company has added asset reconstruction division (ARD) which will be assigned to recover the defaulted amount of other corporates. This business will help the company to see growth in its business considering the huge non performing assets in the banking system.

The company's subsidiaries Kotak Mahindra Capital Company (KMCC), Kotak Mahindra Primus (KMP). Kotak Mahindra Asset Management Company (KMAMC) and Matrix Information Services have also performed well during the year.

At the current market price of Rs 72.8, KMFL is trading at Price/Book value ratio of 0.7 times. In the past, the company has enjoyed Price/Book value ratio in the range of 1-3 times. Recently the company has also declared rights in the ratio of 1:4.

Equitymaster requests your view! Post a comment on "Kotak Mahindra's profit jumps 5 times in FY2000". Click here!


More Views on News

The Affordable Housing Boom Could Boost these 5 Stocks for Years to Come... (Views On News)

Oct 20, 2021

With record low interest rates and numerous discounts and schemes by real estate companies, the affordable housing boom is here to stay.

6 Debt Free Penny Stocks with Solid Growth (Views On News)

Oct 2, 2021

Penny stocks which have a decent balance sheet, low or zero debt and a track record for paying consistent dividend fare much better against their peers.

3 Stocks Riding the Fintech Megatrend in India (Views On News)

Sep 29, 2021

India's fintech industry, valued at US$31 bn, is projected to grow to US$84 bn by 2025.

HDFC Shares Rise as Loan Disbursements Jump 181% (Views On News)

Aug 2, 2021

The company witnessed a growth in both the affordable housing and premium segment as lockdown restrictions eased.

Bajaj Finance Stock Springs a Surprise. Gains 5% Despite Disappointing Results (Views On News)

Jul 22, 2021

Bajaj Finance's Q1 performance was muted because of lockdowns but the company has made higher provisions.

More Views on News

Most Popular

Infosys vs TCS: Which is Better? (Views On News)

Nov 26, 2021

In the post pandemic era, the top two IT companies in India are fighting to capture the growing demand for IT.

6 Popular Stocks that Turned into Penny Stocks (Views On News)

Nov 27, 2021

A look at popular stocks that crashed big time and never recovered, i.e. which went from 'Multibaggers to Multibeggers'.

India's Top 5 Monopoly Stocks to Watch Out for (Views On News)

Nov 30, 2021

These 5 companies dominate their sectors with a huge piece of the pie.

6 Penny Stocks that Rallied 1,000%+ in One Year (Views On News)

Dec 6, 2021

These penny stocks shed their penny status by surging 1,000% or more in the last one year.

The Biggest Winners and Losers in India's Transition to Electric Vehicles (Profit Hunter)

Nov 26, 2021

How India's EV transition could be a major headwind for the incumbents.


Become A Smarter Investor
In Just 5 Minutes

Multibagger Stock Guide 2022
Get our special report Multibagger Stocks Guide (2022 Edition) Now!
We will never sell or rent your email id.
Please read our Terms


Dec 9, 2021 (Close)


  • Track your investment in KOTAK MAHINDRA BANK with Equitymaster's Portfolio Tracker. Set live price alerts, get research alerts and more. Get access now...
  • Add To MyStocks