Kotak Mahindra Bank Board Meeting Date Set for Stock Split Decision: What Investors Need to Know!

Author

Simar Singh | Whalesbook News Team

Detailed Coverage:

Kotak Mahindra Bank announced that its Board of Directors will meet on November 21, 2025, to discuss and potentially approve a stock split for its equity shares. The current face value of each share is Rs 5, and the board will decide on the specific ratio for the sub-division. A stock split aims to make shares more affordable and accessible to a wider range of investors, potentially increasing liquidity.

In its recent financial update for the second quarter of the fiscal year 2025-26 (Q2FY26), the private lender reported a marginal decrease in its standalone net profit, which fell by 2.7% to Rs 3,253 crore compared to Rs 3,344 crore in the corresponding period last year.

Despite the profit dip, key performance indicators showed growth. Net Interest Income (NII) saw a 4% increase, reaching Rs 7,311 crore in Q2FY26 from Rs 7,020 crore in Q2FY25. The Net Interest Margin (NIM) stood at 4.54%, with the cost of funds at 4.70%. The bank's net advances grew by a healthy 16% year-on-year, amounting to Rs 462,688 crore as of September 30, 2025, up from Rs 399,522 crore a year prior.

Impact This news can have a positive impact on investor sentiment by making the stock more accessible. A stock split often leads to increased trading volume and can be seen as a sign of a company's confidence in its future growth. Rating: 6/10

Difficult Terms Explained: Stock Split: A corporate action where a company divides its existing shares into multiple shares. For example, a 1:10 stock split means one old share becomes ten new shares, reducing the price per share but keeping the total market capitalization the same. Face Value: The nominal value of a share as stated in the company's charter. Net Interest Income (NII): The difference between the interest income a bank earns from its lending activities and the interest it pays out to its depositors. Net Interest Margin (NIM): A measure of a bank's profitability, calculated as the difference between interest income generated and interest paid out, relative to the amount of interest-bearing assets. Net Advances: The total amount of loans given out by a bank, minus any loan repayments and provisions for bad debts.