Highlights

The bank has posted 17% increase in deposits and 10% rise in advances. CASA deposits grew by about 12%.

Within the loan book, RAM segment grew by 10%, MSME 14%, retail 11%, agriculture 6%.

The bank has also stayed ahead of the banking system as far as deposit and loan growth is concerned.

NIM has moderated on account of rate transmission and new repo linked lending. The bank is comfortable and expects to bring it back to 2.70%-2.75% range going forward.

The bank is guiding at business growth of 8%-8.5% for FY2021 and 10%-12% for FY2022.

The bank is comfortable on capital front with CRAR at 12.51% and CET1 at 9.44%.

Further, the bank has mobilized Rs 750 crore through AT1 bonds which will further add to CRAR. The bank is planning Tier 2 bonds issue followed up by a QIP soon.

Out of Rs 500 crore of proforma NPA, the bank has already recovered Rs 660 crore.

The bank expects credit cost at 1.5-2% for FY2021 and a lot of provisioning is already done that is evident from high PCR. RoA is expected to be in the range 0.45% to 0.50%

The bank expects Gross NPA ratio, in a worst-case scenario, to be 14.5% for March 2021 compared to 13.25% as of December 2020, while the bank expects to maintain net NPA ratio below 3%.

The bank expects annual wage bill around Rs 6000 crore.

The collection efficiency was 70% overall for the quarter ended December 2020, but the maximum is 89% in retail and 79% in MSME.

The bank has created provision of Rs 706 crore against the proforma NPAs Rs 5800 crore.

The restructuring of loans stood at Rs 10000 crore end December 2020. Segment restructuring stands at retail is Rs 1800 crore, MSME Rs 918 crore and corporate sector is Rs 3400 crore.

Sector wise pro forma slippages from agriculture were Rs 1600 crore, SME Rs 649 crore, Retail Rs 294 crore and others corporate sector Rs 2500 crore.

The provisions for interest income reversals stood at Rs 290 crore.

The bank has exposure of Rs 4500 crore to DHFL.

The collection efficiency in working capital loans is almost 96%.

Under ECLGS Rs 5700 crore of loans are sanctioned and disbursement stands at Rs 4800 crore.