Indian Bank Q4 Review - MSME Book Showing Stress; Profitability Holds On: Dolat Capital

BQ Prime’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 BQ Prime’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..Dolat Capital Report.Indian Bank reported healthy profitability metrics despite elevated slippages and up-fronting of family pension related provisions (~Rs 4.6 billion) during the quarter, benefitting from lower provisions and tax write-backs. Slippages at 3.6% were elevated led by one large corporate slippage (Future group) and elevated micro, small and medium enterprise slippages. Consequently, higher interest reversals resulted in weaker net interest margin, but credit costs were better than expected as the bank provided adequately (~90%) against Future retail exposure in Q3 FY22 itself.Indian Bank's restructured book stands at ~4.7% of loans, with ~8% of opening retirement savings account having slipped to non-performing asset, including Future group exposure. This is despite only 50-60% of restructured book coming out of moratorium..Click on the attachment to read the full report:.DISCLAIMERThis report is authored by an external party. BQ Prime 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 BQ Prime..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

Indian Bank Q4 Review - MSME Book Showing Stress; Profitability Holds On: Dolat Capital