Strong credit growth masked by sequential PAT decline and NIM pressure

Delivered Rs 331.5 Cr, 23.2% YoY growth corroborates

17% OPM on 3213.4 Cr revenue = 546.3 Cr; treasury down Rs 120 Cr YoY but NII +15.33% offset it

Delivered 12.16%; guidance band 13-14%, so slightly below at lower end

Delivered 19.35%; significantly beats 16-18% band

Target was <2%, actual is 2.21%; marginally missed but improving

Delivered 2.53% in Q1; guidance range is LOWER than prior 2.65-2.70%, so guidance CUT

Treasury income fell Rs 120 Cr, recovery Rs 158 Cr lower; offset by NII growth +15.33% = Rs 847 Cr vs Rs 735 Cr YoY

Delivered 60.02%; exactly on target; now aiming higher to 64-65%

From prior 16-18% to now 18-20% going forward; driven by 15,000 Cr undisbursed, gold/MSME co-lending, digital origination

From prior 2.65-2.70% range to now 2.60-2.65%; delivered 2.53% in Q1. Funding cost pressure acknowledged.

Achieved 60% ahead of target; now aiming 64-65% by year-end. Focus on gold loans (food/agro processing, retail).

Delivered 12.16% vs 13-14% guidance. Q1 QoQ only 0.89% growth; CASA at 10.2% also soft. Momentum concerns.

Currently 60.21%; target 'below 60%' near-term unfeasible. MD now says 'below 50% is aspiration for 2-3 years'—pushed out.

Current 10.85%; management targeting 12% as aspiration. Implies need for both profit growth and capital optimization.

Q1 is always subdued; guidance remains 16-18% for year; credit momentum will reach 18-20% going forward given 15,000 Cr undisbursed, branch activation, digital assets strong.

Treasury/recovery are market-driven; focus on NII growth (up 15.33%) via high-yielding assets. ECL provisioning (Rs 150 Cr) is proactive, not asset-quality driven; PCR improved to 92.33%.

NIM 2.60-2.65% (delivered 2.53%); ROA 0.85-0.90%; ROE ~12% (current 10.85%); cost-to-income below 60% (current 60.21%).

Gold co-lending ~Rs 10,000 Cr total; expecting +3,000 Cr during year. Direct gold Rs 5,600 Cr (retail), Rs 419 Cr (agri). Agri gold 419 Cr; retail 5,600 Cr.

STP journeys for KCC, education, personal, pre-owned vehicle, commercial vehicle. Home loans 40% STP sanction rate, vehicle loans 50%. Digital sourcing: 62% vehicle loans, 53% home loans digital. Org restructure to 5 zones to improve CENMARG quality.

Difficult to call; global turmoil ongoing. India index inclusion may help. Yields at 6.8%, could touch 6.90%. Treasury is market-driven; focus shifting to NII from high-yielding assets.

Legacy bank challenges: no growth history, need HR/tech investment, branch expansion in 450 districts only. Rs 4L Cr target by FY29 with 2,000 branches requires investment. AI/automation will reduce repeated work. Cost-to-income below 50 is 2-3 year aspiration.

ECL provision Rs 150 Cr this quarter (proactive). Core credit cost very low; no red flags in any sector. Credit cost <1% guidance includes ECL buffer for Apr '27 rule implementation.

NIM guidance 2.60-2.65% going forward; no further detail on levers or timeline.

Run rate may continue due to global trickle-down. Not alarming; collection efficiency improving, SMA % coming down. Last year net slippage Rs 677 Cr; aspiration to stay below Rs 600 Cr this year.

Undisbursed sanctions Rs 15,000 Cr; Q1 already +19.35%; RAM focus, gold co-lending, digital acceleration supporting.

Q1 delivered 12.16%; QoQ only +0.89%. Retail term deposits at 14.94% but CASA lagging at 10.2%; near-term momentum weak.

Q1 delivered 2.53%; guidance CUT. Focus on high-yielding Agri/MSME, gold, mortgage, personal loans to support. Repo rate adjustments have normalized.

Currently in 450 districts only; Geographic expansion ongoing. Gift City branch to open Nov 2026; infrastructure investment ongoing.

NIM delivered 2.53%, guidance cut to 2.60-2.65% from prior 2.65-2.70%. Repo adjustments, deposit repricing, and asset yields under pressure.

Deposit growth 12.16% YoY vs 13-14% guidance (missed). QoQ growth only 0.89%; CASA at 10.2% weak. Retail term deposits at 14.94% but base small.

MSME slippages elevated; Q1 slippage ratio 0.18% (annualized ~0.70%). MD acknowledges 'run rate may continue' due to global trickle-down effects on MSMEs.

Cost-to-income at 60.21%, nearly at 'below 60%' target, leaving no room. MD pivoted to 'below 50% in 2-3 years', pushing aspiration out. Legacy infrastructure and branch expansion drive costs.

Treasury income halved YoY (80 Cr vs 200 Cr Q1 FY26); recovery in written-off down (80 Cr vs 238 Cr). Market-driven but masks underlying profitability pressure.