• Full-year performance: The bank exceeded its deposit and advance growth targets, recording 12.29% deposit growth, 13.43% advance growth, and an annual return on assets of 1.31%.
• RBI ECL framework: Management anticipates minimal impact due to benign five-year default rates and a 98.28% provision coverage on NPAs, planning to absorb the framework in the first year rather than across the five-year glide path.
• Credit cost seasonality: The Q4 increase in provisioning was attributed to routine year-end branch audit adjustments across accounts rather than stress in any specific sector.
• Future margin guidance: Management guided loan growth at 11% to 13% and net interest margins between 3.15% to 3.25%, citing moderate margin pressure as deposit costs remain elevated and credit growth outpaces deposits.