Stockrabit · Analysts
Questions across 15 calls

Chintan Joshi

Autonomous

Bajaj Finance Limited

Bajaj Finance Limited CC-Feb26.pdf · 2026-02-03
Hi. Thank you for taking my question. Can I come back on the ECL? Perhaps an academic point, but why was LGD different in Stage 1 and Stage 2? I would have thought it would be the PD that would be different and not the LGD. And presumably, that means that like a future credit cycle might look different. If you had the last three years and the next three years, it might -- the trajectory might look different on the credit cost. And I know you said it jokingly, the 165-175 basis point credit loss guidance, but the analysts have occupational hazard of picking that up. Is that kind of more like a business outlook because things are looking better? Or is there something more tangible that you are seeing in the business?
Yes. I might have misunderstood you then before. And perhaps one last one on LRS since we didn't get a chance to question on that. What were the main deltas for you, both positive and negatives as you did your LRS and -- to the last year? On the LRS, what were the main delta, positives or negatives?
Bajaj Finance Limited CC-Dec24.pdf · 2025-01-29
Hi, thank you for taking my questions. And thank you for the comprehensive comments on the asset quality. Can I focus on growth and NIMs next? So on growth, you've indicated in previous calls that you've tightened credit standards in a number of areas you pruned businesses. But the growth rate is pretty strong at 28%. With the outlook that you see now, how do you think about the AUM growth for the next kind of 12 months? And then secondly, on NIMs -- could you go a little bit more into the push and pull factors within the quarter. You highlighted stable cost of funds, but if you can give some color on kind of mix shifts within assets and liabilities. And also, how do we think about NIMs -- in the absence of a rate cut, how do we think about NIMs going forward? Thank you.
Got it. If it goes to 205 then you could even accelerate your growth rate looking into the next year?

IndusInd Bank Limited

IndusInd Bank Limited CC-Mar25.pdf · 2025-05-21
Can I start with just understanding the adjusted numbers. You highlighted that your NIM is 3.47%, which kind of gives us a INR4,700 crores NII. Is that what you see? And could you talk us through the reported NII versus the adjusted NII number? If you can just give us all the moving parts, that would be helpful , to get us some sort of a baseline of what you can take as a business-as-usual run rate number. And if you could do the same for the fee income line, that would also be helpful just so that we know we have got the right numbers? And then the second question is more around closure. If I think about the matters that we've seen, what are you doing about taking up legal actions against the various issues that have come up in terms of claw backs, in terms of other legal proceedings? And also on that same topic of closure, when do you think you can draw line? And when can you get the confidence that there are no new frauds to be discovered? Or is the review still ongoing and we would need to wait for the new CEO to come in and give it thumbs up before we can be sure about that.
Sorry, the second question also was about the future, right? When can we get the closure? Do we need to wait for the new CEO to draw a line? Or do you think the Board can draw the line on the various issues? And have you finished identifying all the various issues?
IndusInd Bank Limited CC-Dec24.pdf · 2025-01-31
Just follow up on that NIM point from earlier. I appreciate you don't want to guide us on what might happen in the near term. But how should I think about kind of NIM evolution, say, 12, 18 months down the line once we are past this MFI stress period. How big is MFI now going to be part of the loan book? And also what kind of margin should we expect once that kind of stabilizes at the level that you want now that we kind of appreciate more that MFI will remain cyclical. I wonder if you're thinking it may go bac k to 12% of the loan book down the line or not. And related to that, I would like to understand through the cycle, how do you see the ROA on the MFI business? We go through external shocks in this book every few years. So just trying to understand how you think about through-the-cycle ROAs in this business?
Yes. And then I have one on deposits. When I think about kind of your stable deposits within your retail deposits, it's about 5% of the total LCR retail deposits. Why is that number that low? If I think about your branch franchise in number of Tier 2, Tier 3 cities, Tier 4 cities, that granularity should be higher, but how that stable depo sit number is a little low. I'm just wondering how that can be improved.
IndusInd Bank Limited CC-Dec23.pdf · 2024-01-18
Yes, thank you. So, could you help us think about the asset quality risks around the upcoming election? If you could elaborate on the experience around the recent state elections or past elections and how we should think about any risks that might come forth in the coming months?
Okay. Fine. And then the second question is, could you help us think about the evolution of lending margins. So, if I compare lending yields to repo rate development, how have they developed in the different products and given the deposit competition, the funding pressures, do you think lending margins can increase over the coming months or quarters?

HDFC Bank Limited

HDFC Bank Limited CC-Dec24.pdf · 2025-01-22
I've got one on liquidity and then one on your contingent provisions. So, on liquidity, if I think about the last 2 quarters on average, on average balances, you've added about INR1.2 trillion, INR1.3 trillion of excess deposits over loans, and borrowings are only down about INR250 billion. That excess liquidity that you have on balance sheet, at what yield have you parked that liquidity, if you can share that with us? And also, what is the weighted average cost of borrowing that is maturing over the next 2 years? Just trying to understand what the funding synergies will look like over the next 12 to 18 months. And then on contingent provisions, the question is, what is the process of releasing that contingent provision? You released INR3 billion. You obviously have a lot on your balance sheet. Will you be using these provisions to buffer the P&L volatility? And do you kind of need to go to RBI to be able to use this? Or you can use those with your own discretion?
And the borrowing cost?
HDFC Bank Limited CC-Jun24.pdf · 2024-07-20
Sir, if I can start off with the deposit market share question, it's -- historically, you've done about 18%, 19%, if I look at the last 5, 6 years. Last year was about 12%, if my numbers are correct. And it's a much more healthier banking system, everybody is well capitalized on the front foot asset quality, risks are low. In this environment, like would you hold yourselves to taking a certain amount of incremental market share over the next 2, 3, 4 years? Do you think like that? And if you do then, what can we expect in terms of market share? Because when you think about deposit growth, that clearly is a challenge for the system. So -- and of course, therefore, all the other banks -- all the banks will face that constraint. But in terms of market share, I would hope that HDFC can show that historical trend. So that would be one question, and then I have one more.
Understood. I was looking at the flows, but we can talk about that offline. The other question I had was in terms of -- a couple of detailed questions. So what is your current shortfall in the category ex PSLCs? And were there any -- was there any impact on the NII from reclassification of investments?
HDFC Bank Limited CC-Mar24.pdf · 2024-04-20
Thank you. Can I ask a big picture question and then a follow-up on this lending rate point that we just discussed? HDFC has had a fantastic track record over the last two decades of growing faster than most of the other private sector banks, increasing market share like no one else in the system. You are at pretty good levels, 11% plus on deposits... you have a fantastic track record over the last two decades and the market shares have built up as a result. From here, if you think about the next decade, do you still think HDFC is a bank that can outgrow the private sector? Or is it now more about playing on scale and getting the scale benefits rather than trying to grow faster than the rest of the sector? That was the first one, and I have a follow -up on the lending rates.
And that leads nicely into the second one, which is, on the competitive dynamic, every bank that we've listened to in the last two, three quarters has been complaining about deposit competition about cost of funds, irrational pricing. An d HDFC took the step of trying, increasing the threshold lending rates. When that happened, what kind of reaction did you see from your competitors? Did you see them following you to a degree in raising the lending rates? Or you just kind of outright lost some of the lending opportunities? What was the competitive outcome of that?

Kotak Mahindra Bank Limited

Kotak Mahindra Bank Limited CC-Sep24.pdf · 2024-10-19
Can I start with your recent interview where you had kind of expressed a desire to be the #3 private Bank in India? If I look at the kind of where consensus estimates are and extrapolate, it feels like you need to grow 8% to 9 % faster than your peers in the next five years . What I was interested in understanding was the products, the geographies and the subsidiaries in which you could outgrow your peers to achieve your objectives. And then the second question was on the margins. If you could highlight, what kind of sensitivity we would be facing from the RBI rate cuts and how much offset will there be from the Stan C deal and the savings account rate cuts that you ’ve announced? If you could kind of give us a picture on margins, how they might evolve over the next year?
But just I am trying to think about the near term in terms of the NIM impact from three factors. RBI rate cut, the StanC deal and the Savings account reduction?
Kotak Mahindra Bank Limited CC-Mar24.pdf · 2024-05-04
Can I ask three , please? The first one is on the RBI actions. You have indicated that there should not be a meaningful impact on growth. Could you explain to us why there should not be? If I recall all the various presentations of Kotak, they talk about digital in practically every presentation and conversation as has been the case today. If digital has been a strong onboarding driver, then there should be some impact . So, help us understand why there should not be a material impact and what kind of impact should we expect . The second one is on the fourth point you mentioned about scale. If I think about Kotak underwriting has been extremely strong over a very long period, almost industry-leading, but that's come with a sense of conservatism where Kotak has not been ambitious enough to take market share, whe reas some other private sector Banks have. Can you comment on, are you committed growing faster than the major private sector players? And I am focusing on the private sector, not the system. And then the final question is a detail one. Could you give us a sense of how cost of funds and yields on loans have evolved in this quarter, and how the competitive dynamics have evolved in this quarter?
Before you go back, can I just come back on a couple of items. So, in terms of impact on growth understand corporate won't get impacted mainly it is retail in the unsecured space, should this be like, would you put a ballpark number around the drag, like is it going to be like a 2% drag or a 5% drag on growth or like is there any quantifiable way we can think about it?
Kotak Mahindra Bank Limited CC-Dec23.pdf · 2024-01-20
Thank you. So, I wanted to start off with understanding the sensitivity to your NIM for FY'25. So, the way I see it, you have something like 35-40 basis points of NIM improvement coming from the business mix shift towards unsecured. And also, 57% of your book is EBLR. So, if I think about FY'25, how do you see the impact of RBI measures on unsecured impacting your book? And how does that flow into NIMs? And also, if there is a rate cut, let's say at the end of FY'25, how should that impact your NIMs goi ng forward? If you could give some color on that, that would be helpful.
Thank you. And then the second question is on deposit competition. It seems to be competitive in the system. Liquidity is tight, which should be headwind arguably to your cost of funds. The question I have is, do you see room to move lending margins higher to offset some of these competitive pressures? Or do you think business as usual, is good enough for the moment?

Axis Bank Limited

Axis Bank Limited CC-Sep24.pdf · 2024-10-17
Hi, thank you for taking my questions. I've got two, one on asset quality and one on NII. On asset quality can we get a sense of how vintages are performing in unsecured credit and would you kind of looking at the various data points you can see, would you say that fresh slippages have peaked at kind of what we've seen in the last quarter? And on the NII line I wanted to kind of dig a little bit more into rate sensitivity. We haven't really seen monetary policy transmission on the loan book compared to the liabilities over the last three cycles. If you think about rate cuts coming over the next nine months say we get 50 basis points, how do you think the pass-through will be in terms of various products? Any color you could give us on those pass -throughs would be interesting? Thank you.
So would you say fresh slippages have peaked or there is still some more clean -up to be done?
Axis Bank Limited CC-Mar24.pdf · 2024-04-24
Hi, thank you. I have two questions, one on NII and one on costs. On NII, if I can start with that last quarter, when we were discussing how NII developed. I got a sense that there would be more pressure on the liability side and that NIMs would be a little lower than what you have reported, which is a good thing. But I just wanted to understand, was there anything that helped alleviate any pressures or help post better -than- expected NII performance this quarter? So therefore, what was the underlying improvement since the third quarter commentary and how should we think about the future? On costs, just a broad question. Help us on how we should think about cost to asset evolving in FY25?
Just on the margins, if I can...

Shriram Finance Limited