Loan News · 26 October 2026 · 3 min read
In short: Kotak Mahindra Bank posted a standalone profit of ₹4,212 crore for July-September, up 29%, with loans up 25%. Shriram Finance, a big lender for trucks, cars and small businesses, grew profit 59% to ₹3,677 crore but cut its FY27 loan-book growth target to 15-17% from 18%. On Monday, Kotak shares rose about 2.4% and Shriram Finance shares fell about 4.6% in early trade.
Key numbers
| Kotak Mahindra Bank | Shriram Finance | |
|---|---|---|
| Q2 profit | ₹4,212 crore (+29%); ₹5,645 crore group (+26%) | ₹3,677 crore (+59%) |
| Loan book | ₹5.77 lakh crore (+25%) | ₹3.29 lakh crore (+17%) |
| Margin (NIM) | 4.31% (4.54% a year ago) | 9.52% (8.19% a year ago) |
| Bad loans (gross) | 1.04% (1.39% a year ago) | 4.65% (4.57% a year ago) |
| Bad loans (net) | 0.24% | 2.31% |
NIM, or net interest margin, is the gap between what a lender earns on loans and pays on deposits or borrowings.
What changed at each lender
- Kotak: A big part of growth came from FCNR(B) deposits, foreign-currency deposits mostly from NRIs. Kotak raised about ₹55,344 crore this way. Excluding these and a portfolio it bought from a group company, loan growth was 19%. These deposits lowered its margin.
- Shriram: Management blamed the lower target on a weak monsoon and the West Asia conflict. Credit cost, the money set aside for bad loans, rose to 2.03% of assets from 1.68%. Management said loan-approval filters are largely unchanged and expects the stress, seen in drought-hit areas, to ease during the festive season.
- Gold loans: Shriram’s gold loan disbursements rose to ₹5,443 crore. It said some gold loan customers are adjusting to new EMI repayment options after being used to paying everything at the end.
What it means for you
- Strong bank results do not change your loan rate. Rates move with the RBI repo rate and the bank’s MCLR or other benchmark. Read how banks raised rates after the October RBI hike.
- If you plan a vehicle or small-business loan in rural or drought-hit areas, expect lenders to look harder at your repayment record.
- Before you borrow, check the EMI with our EMI calculator and compare offers on Koshfin Loans.
Sources
- Business Standard: Kotak Mahindra Bank’s Q2 consolidated net profit rises 26%
- ANI: Kotak Mahindra Bank Q2 standalone profit rises 29% to Rs 4,212 crore
- GuruFocus: Shriram Finance Q2 2027 earnings call highlights
- Investing.com: Shriram Finance Q2 FY27 slides
- SAHI: Shriram Finance Q2 PAT rises, cuts FY27 AUM guidance
- DSIJ: Closing Bell, 26 October 2026
This is a news summary for education, not investment advice. Figures are as reported on or before 26 October 2026; check official sources before making decisions.