Banking Q3 Results Preview - Operating Trends Likely To Continue: ICICI Securities

NDTV Profit’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer NDTV Profit’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..ICICI Securities Reports.We see Q3 FY24 emulating recent trends in terms of healthy loan growth and moderation in net interest margin QoQ, leading to soft net interest income QoQ, while elevated opex should also keep Pre-provision operating profit muted QoQ.On a QoQ/YoY basis, we estimate NII and profit after tax of private banks under our coverage (excluding Housing Development Finance Corporation Bank) to grow at ~2%/12% and ~3%/18%, respectively. While we see a less then 10 basis points QoQ uptick in NIM for HDFCB, State Bank of India will likely report ~0.9% return on assets for Q3 FY24 (versus 1% QoQ) burdened by higher opex and softer NIM.Asset quality is likely to remain comfortable with gross non-performing assets, net non-performing assets and credit costs sustaining improvement.However, we also notice that certain developments (detailed below) in the quarter could have a bearing on systemic credit/deposits growth and NIM trajectory in the medium term.Click on the attachment to read the full report:.Sula Jumps 17% To Record High As CLSA Upgrades Stock To 'Buy'.DISCLAIMERThis report is authored by an external party. NDTV Profit does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of NDTV Profit..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

Banking Q3 Results Preview - Operating Trends Likely To Continue: ICICI Securities

Certain developments may influence medium-term growth, net interest margin trajectory

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Banking Q3 Results Preview - Operating Trends Likely To Continue: ICICI Securities

Certain developments may influence medium-term growth, net interest margin trajectory

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