• Net interest margin: The quarterly NIM decline of 4 basis points was driven by rate transmission and tight deposit liquidity, but management has increased the forward NIM guidance to between 2.60% and 2.70%.
• FY27 growth outlook: PNB projects credit growth of 12% to 13% and deposit growth of 9% to 10%, underpinned by strong RAM growth of 20% in MSME, 18% in retail, and 16% in agriculture.
• Asset quality performance: Structural underwriting improvements and enhanced monitoring post-2020 have kept slippages on new underwriting down to 0.40%.
• Provisioning and exposure: Management reported no stress from the West Asia crisis and has allocated an additional provision of 270 crore (bringing total provisions above 2,000 crore) to manage potential risks and the upcoming ECL framework.
• Vodafone Idea fundraising: The bank will assess any proposal to participate in the Vodafone Idea consortium on its merits as and when received.