Shares of India's Kotak Mahindra Bank and RBL Bank slumped on Monday as the lenders reported a jump in bad loans that hurt their second-quarter profit and margins, a trend that could continue for a few more quarters.

Leading private lenders- HDFC Bank and Kotak Mahindra Bank- reported their results for the September 2024 quarter and both the stocks were in the spotlight during the trading session on Monday.

Last week, Kotak Mahindra Bank entered into an agreement to acquire Standard Chartered Bank's personal loan book in India for Rs 4,100 crore. The country's fourth-largest private lender aims to strengthen its position in the retail credit market.

Kotak Mahindra Bank shares dropped significantly on Monday, falling by over7% to hit a low of Rs 1,735 in early trade, after the private lender reported mixed Q2 FY25 earnings. At 1:02 pm, shares of the bank were down 5.

Shares of Kotak Mahindra Bank on Monday tanked nearly 7 per cent after its September quarter earnings failed to cheer investors. The stock tumbled 6.63 per cent to Rs 1,743 apiece on the BSE after a weak beginning to the trade.

Kotak Mahindra Bank shares dropped 7.2% to ₹1,735 after disappointing quarterly results. Analysts downgraded the target price on the stock amid concerns over unsecured portfolio stress and declining margins.

Kotak Mahindra Bank's second quarter faced several challenges, including the Reserve Bank India's embargo and a weak macroeconomic environment.

NDTV Profit’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer NDTV Profit’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

Kotak Mahindra Bank shares plunged nearly 7% on Monday after its September quarter earnings disappointed investors. The stock's market valuation eroded by Rs 24,801.79 crore.