Kotak Mahindra Bank shares fall 3% as CEO Ashok Vaswani opts against second term

Kotak Mahindra Bank shares slipped as much as 3% to ₹395.95 apiece on the NSE on Monday, June 29, as the private sector bank on Saturday said its MD and CEO Ashok Vaswani will quit upon completion of his three-year tenure and will not seek re-appointment when his current term ends on December 31, 2026.

Veteran banker Vaswani assumed charge as the managing director (MD) and CEO of the bank on January 1, 2024. He had worked with Barclays and Citigroup previously.

Ashok Vaswani, Managing Director & CEO of the bank, has informed the board that, for personal reasons, he does not wish to seek re-appointment upon completion of his current term on December 31, 2026, Kotak Mahindra Bank said in a regulatory filing.

"The board has, at its meeting held today, respected his decision and has initiated the process for the appointment of a new Managing Director & CEO. The process will be completed within applicable regulatory timelines," it said.

Vaswani replaced Dipak Gupta, who was the interim MD and CEO, following founder-director Uday Kotak's sudden stepping down as the head of the bank, effective September 1, 2023. This was a full four months ahead of his scheduled retirement on December 31.

Kotak Mahindra Bank financials

Kotak Mahindra Bank reported a 10% rise in consolidated net profit at ₹5,423 crore for the fourth quarter of financial year 2025-26.

In the year-ago period, the profit stood at ₹4,933 crore.

On a standalone basis, it reported a 13% year-on-year rise in net profit at ₹4,027 crore.

Core net interest income of the bank increased 8% to ₹7,876 crore from ₹7,284 crore logged a year ago.

Net interest margin improved to 4.67% from 4.54% in the December quarter. However, it fell on a yearly basis, from 4.97% in Q4 FY25.

Net advances increased 16% year-on-year (YoY) to ₹4.96 lakh crore as on March 31, 2026.

Customer Assets, which comprise advances (including IBPC & BRDS) and credit substitutes, grew to ₹5.46 lakh crore as at March-end 2026 from ₹4.78 lakh crore a year ago.

Total period-end deposits grew 15% YoY to ₹5.73 lakh crore in Q4 FY26. Average total deposit too rose 15% to ₹5.38 lakh crore.

Average current deposits were higher by 18% at ₹77,058 crore during the quarter.

-With inputs from PTI_