Firstly, a clarification, when you talk about NIM improvement, are you referring to it on a Y-o- Y basis or from the exit 4th Quarter NIM because our existing anywhere is 25-30 bps better than the FY24 average?
1.7 is actually year average?
Questions across 80 calls
Piran Engineer
CLSA
Mahindra & Mahindra Financial Services Limited
Just firstly, on NIM improvement, what gives us the confidence of improvement? Is it simply a loan mix change? And just related to this, what percentage of our loan book will still be at a higher yield, which will be refinanced downwards?
Okay. But sir, my only thing is maybe say you're giving a car loan at 12% and now you start getting it at 12.5%. But if the car loan that is maturing from the book, is at 14%, it is still a negative interest rate sort o f hit, right? So my question essentially came from that point of view.
Cholamandalam Investment and Finance Company Limited
Just one question on the funding side. Just wanted to understand how is the incremental cost of funds, not just from banks, but across all types of creditors moved over the past quarter with the risk-weight guidelines? And secondly, is there any cost difference, or rather how much is the cost difference between securitization and pure bank borrowings?
And just on how incremental cost of funds have trended, say, since November?
Just firstly a question on overall customer level indebtedness when you are talking about our LAP customers and there has been a lot of noise about rising leverage in the system and these are smaller customers who might take say a LAP loan for their business, personal loan elsewhere. Are we tracking that data ? Can you share some information on what percentage of our LAP customers have taken PL from other lenders ? And broadly, is there any merit given where the environment is in unsecured to slow down this business?
So, just to clarify, very few customers have taken an additional personal loan from outside the system, like outside Chola?
I am just referring to your sector outlook on Slide 33. What really makes you cautious on HCV and SCV at this juncture? Especially for HCV, you mentioned increase in operating cost. So, just wanted to understand that better.
No, but why do you say operating costs are up ? Because fuel prices have been , which is the largest cost. Fuel and toll are the big costs. I don't know about tolls, but fuel prices have been stable now for more than a year.
Central Bank of India
I just wanted to understand what is our NIM expectation for next year ? And what will be our driver for ROA improvement from 0.63% to 1%?
So, sir, what I understand that NIM might be lower next year, but our credit cost will a lso be lower?
SBI Cards and Payment Services Limited
Congrats on the quarter. Just a couple of questions. Firstly, sir mentioned that you are resorting to restructuring of loans, I think I heard something like that. Can you just elaborate a bit more on that?
Stage 3, okay. Okay. Fair enough. And sir, secondly, I just wanted to understand what parameters network incentives depend on. Because I see this year, retail spends are higher, but our number of card sourcing is lower, and our network incentive seems to be lower than what I thought would have come through.
Sir, you mentioned some of the steps you all are taking to improve underwriting, but can you just run us through if you have an NPL account, once he pays his overdue, do you then block the limit? Do you restore it back to the original? What sort of actions are you taking here? And in that light, how should we think of credit costs over the next year?
Once the account turns NPL, you are obviously putting in all your collection efforts. Once you collect that, do you block that account? Do you remove him as a customer? Do you just give him a reduced credit limit? Do you reinstate the entire credit limit? How does that work?
Axis Bank Limited
Team, congrats on the quarter. Some of my questions have been answered, but I have a few clarifications. Firstly, did we mention at the end that we will now grow 300 to 400 bps faster than the industry?
Yes. So that is -- I mean, our stance has changed because the industry is growing faster or because you want to reduce LDR or like over the medium-to-long term I do not think LDR should be an issue. So just wanted to understand why the change in stance?
Hi. Thanks for taking my question and congrats on the quarter. I do not mean to harp on this too much, because it is been discussed quite a bit. But if you had to reduce your LCR, I just want to understand management's approach, would you rather slow down loan growth or get the required deposits through NRTD and compromise a bit on NIMs?
Got it. So in the interim, it is fair to assume that there is a chance your loan growth does not grow 4 percentage to 6 percentage points higher than the industry, in the interim? That is a fair assessment, right?
Muthoot Finance Limited
Just a couple of clarifications on previously asked questions. Firstly, our SR book of 230 crores, if we recover, let's say, 300 crores out of it, the extra 70 go to the ARC or to us?
That explains it. Secondly, did we have any interest reversals in this quarter or any write-backs? Last quarter, it was a 100-crore reversal, if I remember correctly.
Congrats on the quarter. Just a clarification on the previous question, this ARC sale happened in October, right?
Okay, okay. And so -- but our NPLs are still not gone down by INR700 crores, it's down by only about INR100-odd crores. So it basically means that there is a further slippage of INR600 crores during the quarter.
LIC Housing Finance Limited
Congrats on the quarter. Ju st wanted to clari fy the October number we mentioned was INR4,500 crores. Did I read currently?
And that's home loan plus LAP, right?
Shriram Finance Limited
Just one clarification. Did I hear the incremental borrowing for -?
And up 25 bps QoQ, is it?
Kotak Mahindra Bank Limited
Yes, hi. Thanks for taking my question and congrats on the quarter. Just firstly, I wanted to understand industry-wide and for Kotak, what are the sort of rate actions on PL and loans to NBFCs post the risk weight guidelines?
Yes, so I'm saying that after RBI's risk weight guidelines for personal loans and loans to NBFCs, how much have we and the industry increased pricing in these loans by?
RBL Bank Limited
Most of my questions have been answered . Just a couple of clarifications. Firstly, on the news that RBI gave only one year extension for your co-branded card with Bajaj. They found some deficiency. So, can you just clarify on what they were and what are the remedial actions you all are taking?
I appreciate the diversification strategy. I just want to understand like is it a small technological issue because let's say RBI does not renew it after one year , I know it is only going to be 40%, but it's still a large number. I don't want details, I know it's confidential, but can you just give a sense of how difficult the challenges are to overcome whatever RBI would have told you all to do? Are they mere technical upgrade or is there more to that, that is my only thing?
Manappuram Finance Limited
Hi, thanks for taking my question and congrats on the strong numbers. Just a few questions. Firstly, we did an assignment this quarter. What exactly was it? Like we assigned gold loan for vehicle or other loans?
And what percentage of the book did we sell down? Like what is the quantum of sell down?
IndusInd Bank Limited
Firstly, I just wanted to reconfirm two third of the corporate book is MCLR link ed or EBLR linked.
Got it. Secondly, if you can just talk about your credit card partnership with Poonawalla, what's really in it for you?
Bandhan Bank Limited
Just one thing on the ho using book growth has been slow for 3, 4 quarters now. So, any comments on that would be helpful?
Got it. Okay. And secondly, just in terms of your 3.5% expense ratio guided. Is that for FY'25, or FY24, if you could just remind us, please?
HDFC Bank Limited
Sir, firstly, could you quantify your SLR ratios as of quarter end?
Okay. Fair enough. And sir, just secondly, on the branch opening. Just wanted to understand, last 2 quarters have be en a bit weaker than expected. Why is it that branch opening is always back ended?