Highlights:

The bank has posted 17% growth in the operating profit to Rs 1291 crore, while the net profit has moved up 14% to Rs 135 crore.

Net Interest Margin (NIM) for the quarter has improved from 2.62% of Q1FY20 to 3.08% of Q1FY21

CASA share in Total Deposits has improved from 45.77% as at Q1FY20 to 47.30% as at Q1FY21

PCR as at Q1FY21 stands at 79.12% as against 76.85% on Q1FY20.

The net NPA has reduced to 6.76% end June 2020

The business volume of the bank has increased 7.53% end June 2020 over June 2019. The deposits increased 7.8%.

The loan book of the bank has increased 7% driven by 12% growth in retail loans and 11% growth in corporate loans.

The bank is meeting two out of three requirements under PCA framework in terms of leverage ratio and capital adequacy ratio, while only net NPA ratio is above 6%.

However, the bank is confident to reduce net NPA ratio below 6% by December 2020.

The bank is targeting loan growth of 9% for FY2021, with retail segment is targeted to grow 12%, agriculture 8%, MSME 13 and corporate 5%. Bank could approach market for capital raising to support its loan growth. The bank has taken board approval for capital raising of Rs 5000 crore, while it would not required that much amount of capital. The bank is planning to go for QIP in Q2 and then FPO latter.

The bank is creating provisions for wage revision at the rate of 13.5% to 14%, while the bank is required to create additional 1% provision. The bank is holding total provisions for wage revisions of Rs 810 crore.

The loan book rated below BB stands at Rs 11927 crore end June 2020.

The bank has disbursed Rs 2200 crore of loan under MSME credit guarantee scheme.

The bank was created provision of Rs 200 crore for DHFL account in addition to Rs 300 crore created in Q4FY2020.

The loan book under moratorium excluding agriculture stands at 31.91% down from 38.3% end March 2020.

The bank's exposure under NCLT stands at Rs 21462 crore with provision coverage of 95%, while the bank is expecting recoveries of 15-20% in NCLT exposure and substantial amount of provision write back.