Motilal Oswal Securities sees profit at Rs 1,670 crore, up 139.50 per cent year-on-year (YoY) over Rs 695 crore in the corresponding quarter last year. NII is seen rising 6.2 per cent to Rs 6,460 crore. The Gross NPA ratio is seen at 8.2 per cent compared with 8.4 per cent in the September quarter and 7.5 per cent in the year-ago quarter. Margins may come in at 2.7 per cent.
“Business growth may remain steady. Credit costs may stay elevated; restructuring books will be a key monitorable,” the brokerage said.
Jhunjhunwala held 2,90,97,400 shares or a 1.60 per cent stake in Canara Bank as of December 31, valued at roughly Rs 650 crore.
Dolat Capital sees profit at Rs 1,551 crore, up 123 per cent YoY. NII is seen rising 8.41 per cent YoY to Rs 6,592 crore. Pre-provision operating profit is seen edging 1.8 per cent higher to Rs 5,478 crore.
“GNPA levels continued to decline led by healthy recoveries and contained slippages at 2.2-2.3 per cent. Loan growth to improve sequentially to 2 per cent but remain muted YoY at 5 per cent. Lower treasury gains will impact PPoP growth, but a decline in provisions will aid RoA improvement,” Dolat said.
Kotak in its results preview said loan growth trends are largely unchanged at 6 per cent YoY. “We expect slippages at 2.5 per cent, driven by SME and retail, but recoveries would continue to drive overall reduction in GNPL. We expect positive commentary on asset quality improvement across the portfolio,” it said.
