Sir, good evening.

Good evening all.

Good evening to all participants. Just an update.

I think MD sir has to go for a DFS call, we will have to end the call somewhere at about 6:30. In the interest of time, we will start the call right away.

Sir, is the entire top management now there, sir? Can we start with the call?

Yes, they are.

Sure.

Yes, yes.

Sure. Good evening, ladies and gentlemen.

I welcome you all to the Indian Bank's post-results conference call for the first quarter of financial year 2027, hosted by Nuvama Wealth Management. From the top management, we have with us Shri Binod Kumar ji, MD and CEO; Shri Ashutosh Choudhury ji, Executive Director; Shri Shiv Bajrang Singh, Executive Director; and Ms.

Binee TM, Executive Director. I request the MD sir to briefly summarize the key highlights from Q1 FY '27 results and also provide some strategic direction on growth, margins, and asset quality, post which we will have a Q&A session.

Over to you, sir, and would request to keep your comments brief so that we have more time for Q&A. Over to you, sir.

Anand ji, first of all, I really am sorry that I will have to leave at 6:30, because it is something urgent. I didn't get leave of absence, I will say.

No issues.

This conference can continue. Mr.

Ashutosh and madam is here, they can handle. If some question-answer is there, they can handle.

Sure, sir.

Thank you all once again for coming in for this analyst call. By now result has been published, and we have seen good growth in deposit also and advance also.

Very balanced growth I will say. Deposit also grew by 13.40%, advance grows by 13.90%.

There is only 40 basis point gap is there. I believe deposit and advance growth gap should remain range-bound.

Otherwise, if this gap is very wide, then it starts impacting your overall profitability, NIM, et cetera. Very balanced growth.

Highlight is CASA has grown by 15.30%. In that saving fund has grown by 13.54%, current account has grown by 26.33%.

Advance overall, and CD ratio domestic is at 78.66, and CD ratio global is at 81.06. CASA sequentially it has gone up by 6 basis point, YoY basis around 100 around 86 basis point.

Advances has grown by 13.89% to 6.85 crore. In that, if you see, corporate has grown by 11.49%, RAM has grown 14.80%, retail has grown by 18.74%, agriculture single digit 9.96% because of the transition of the jewel loan first 2 months because of the various IT issue, various policy are to be framed.

After 2 months it picked up. Initial 2 months there was negative growth, after that it has picked up, and we have shown a growth of around 10%.

No concern on that count also. Going forward, we will maintain the growth in agriculture also, in the range of whatever we have been getting, around 15-16% agriculture also we will maintain that.

MSME 17% growth is there. Overall RAM share is 60 60%.

Net profit sequentially has gone up by 5.48%, YoY 10.09% to 3,273. Operating profit sequentially 5.13%, YoY 16.51% to 5,557.

Good growth in NII. I think YoY 17% and sequentially 4.59%.

NIM both domestic and global has expanded by 6 basis point. Return on asset also, YoY basis of course it has come down by 3 basis point, but sequentially it has gone up by 3 basis point.

Return on equity 19.48. Cost to income ratio it has come down from March for whole year it was last year it was 46%, but for this quarter it is 44.80%.

Going forward, I have given guidance of 45, it will remain in that range. No concern on that count.

PCR 98.22%, we could have maintained the last year financial year it was 98.28. We could have maintained, but then again net NPA would have come further down, from 0.15 to 0.14 or 13.

That's why we leave with it. Credit cost 0.47 in March '26, it has come down to 0.23.

There were some concern in the last analyst meet around credit cost going up, but that is March phenomenon. Even last time I have told that is one of March phenomena, and I'm again saying March again it may go up because of the audit, et cetera, but overall remaining 3 quarter it will be definitely slippage also and credit cost will be range-bound only.

Overall capital, my capital is 17.58%, CET-1 is 16.51. Impact of IFR 2,000 crore, so that has gone from Tier 2 to Tier 1, impact on 44 basis point.

Gross NPA has come down YoY basis 115 basis point to 1.86, sequentially 12 basis point. Net NPA is flat at 0.15.

Slippage ratio 0.77, last annual it was 0.96, it has come down also. Recovery again, recovery if you see, recovery has outpaced slippages.

Recovery is 1,885, slippage is 1,250. One big account recovery has come in that account, around 400 crore, which we have booked in this quarter, it is contributed by that.

SMA of course SMA overall number is flattish, but SMA 2 more than 5 crore has gone up by around 190 crore. Out of that, one account DCCO, that account has come to SMA 2 because of the DCCO extension has come, and accordingly repayment schedule will also be extended.

Demand has been generated, once we permit extension of the DCCO, even that SMA will be within the range. Guidance, almost all guidance we have done, we are on track.

Recovery, we have given guidance of between 4,500 to 5,500. Already we have achieved almost 1,900.

Gross NPA also we will be achieving between 1.50 to 1.60. I think we should achieve easily.

I don't see any challenge in that. CASA also I have told 40%.

I'm on track of that. 39.73 we have achieved this quarter, and going forward of course CASA still is a challenge, but I expect with the support of all the staff and that we will be maintaining that.

One good thing I will highlight: participation of branches has increased. Last year during this period, only 25 to 27% branches has achieved the target, but this quarter they have achieved 51% of the branches has achieved their target.

That is one good sign that branches have started participating. Broadly all these things, straightway we can come to Q&A so that we can utilize the time.

Thank you, sir. Before we open up the Q&A, one question that I want to ask is that do you see any MSME stress?

There are a few banks basically talking about that. Second, have you sanctioned any ECLGS credit?

If you can just talk about what is that as a percentage in absolute amount or maybe percentage of credit?

Yeah. See, MSME stress, if you ask me, even we were expecting that there may be some stress.

Far, it is not visible. As if you see, my SMA book, YoY basis, it has come down from 7.99 to 4.69.

Sequentially also it has come down from 4.73 to 4.69. As of now, we are not seeing any stress.

Going forward, let us see. Some stress is there, then ECLGS will come to the rescue of such accounts.

ECLGS total eligible amount is approximately 11,000 crore depending on the formula given by the government. Out of that, around 5,000 has been disbursed.

Okay. Sure, sir.

Now I'll open up the floor for Q&A. Any participant, if you want to ask a question, please user raise hand option.

I think we have first question from Ajmera ji. Ajmera ji, please, sir, limit your questions and the commentary, because we have limited time.

Yeah.

No, thank you Anand for giving me the first opportunity. Sir is also in a hurry, he has to leave.

Sir, compliments to you for such a wonderful performance in the first quarter itself. In fact, very good profitability, the operating profit, net profit, you performed on most of the parameters so very well.

My compliments to you for the same. Having said that, sir, since you are there now and you are going to leave, a few just thoughts and some observations from you is basically on the same I will extend that question only a little further.

That, of course, You said that kind of stress has not been visible so far, but 5,000 crore has already gone as a disbursement from the ECLGS special credit which has been started by the government again. Sir, even your SMA 2 numbers have also gone up little higher from 922 crore to 1,112 crores.

Actually, do you see that this if this whatever situation, even the again that whatever is happening in US, Iran and Israel, Iran and this, whether it is going to have some lasting impact especially on the small industries and the businessmen here in India? Will you see some stress coming forward in that?

See,

as I told you, SMA 2 has gone up because of one account when as and when we extend DCCO, I think that will go away, no impact of that. See, actually, if you ask me, I was also expecting that there should be some impact.

If you see country as a whole, we have shown very great resilience. I was expecting since August 2025, when first time Trump tariff was imposed.

Despite that, if you see, because of the internal good demand and good consumption, and our exporters have been able to diversify their export from one country to various country, we have not seen much of the impact. Still we remain watchful, and that is the reason we have last quarter also we have made impact of provision of 310 crore for West Asia crisis, which we have continued.

Because increase of exposure, 12-13 crore further we have made. We remain watchful, but so far it is not visible.

If something is there, we have capacity to absorb.

You are referring to that standard provision on the standard credit also has gone up from 490 crore to 733 crore?

No. Impact of West Asia crisis is 13 crore in that only.

Rest we have made prudently like ECL provision we have also made around 1,000 crore. Floating provision for ECL we have made.

How much is that?

1,000 crore we have made additional provision, floating provision.

Floating provision, in addition to whatever earlier provisions were there.

Whatever earlier were. Yeah.

Sir, on the treasury front, I think in this quarter there was some good benefits which are enjoyed by many of these bank treasuries. In our case, comparatively the profit vis-a-vis the last quarter has not gone up to that extent.

Whether anything on that we had taken some mark-to-market or more profit has gone into the AFS reserves in the treasury?

Yeah. AFS reserve, which was negative last year, it has gone

Yeah.

AFS reserve last quarter it was negative 100. Now it has gone up.

So, 500, it has gone up. Treasury, in fact, let me tell you, I was expecting profit of only 250 to 300, but last week some yield came down, that's why this profit is there.

Otherwise, in my calculation, it was only 250 to 300.

According to you, this is better what is actually come.

This is better what I have expected, yes.

Yeah.

Ajmera ji, I think you're done with two questions. One

just one, Anand. Just on the credit front, going forward in this quarter, we have moved by about 2 2.62% as compared to the March.

Sir, going forward, because the overall we see the kind of figures, numbers which have come that the overall credit growth from the entire banking has gone up. People are talking about 17-18%.

Bank of Maharashtra on the whole year, it has given again 27% growth, and this quarter also it's almost about 5% growth. For the whole year, the FY '27 now, what do you think the credit growth can be in our bank, sir?

See,

growth is not a challenge, Ajmera ji, let me tell you. Growth can be done.

Whatever you ask, if you see, if my agri grow by 16%, my RAM growth itself will be 17-18%. We can grow, but we should also at the same time remain mindful of the wide between credit growth and deposit growth.

I am mindful of that, because situation should not come when it start eating our margin. Based on that, that balanced growth I will approach.

If I can grow deposit by 13%, I won't mind growing advance by 15%. Based on that, and also not compromising on the NIM.

13-14% is a

13-14% growth is a good growth.

I think you will achieve 16%. Anyway, thank you very much, sir,

and

all the best to you.

Thank you, Anand. Thank you, Ajmera ji.

Yeah. Next question, we'll take from Mahrukh.

Mahrukh, please unmute yourself.

Hello, sir. Congratulations.

Thank you, Mahrukh. Yeah.

I had a couple of questions. Firstly, do you see gold loans picking up?

It's competitive. Prices have also been volatile.

Then, how much has been added to AFS reserve? The third question is on FCNR.

I saw your comments on TV. You've said it before also in calls that the target is to mobilize $1 billion.

How much have you already mobilized, given that this time round, the IRRs look much weaker than the 2013-2014 IRRs? See,

first, AFS reserve is 500 this time. Last time, it was -211.

Presently, it is 334 plus. Total, you can say 546.

Coming to FCNR, we have so far raised around 150 million as of today. Till yesterday, it was 1 135.

We have raised around 150 million. Going forward, I have given estimate that I will be able to raise between 1.5 to 2 billion.

Challenge is not in raising FCNR. FCNR we have lot of traction.

$1 billion pipeline I already have. Challenge in the funding, whatever demand they are asking, they are taking demand loan or whatever.

Challenge is in the funding of that loan. We are managing and quite hopeful that between 1.5 to 2 million, taken together both ECB and FCNR, I will be able to raise.

Okay. Thank you, sir.

On gold loans?

Yeah. Gold loan, see, like last year, I don't expect growth of 28%, 26%, because that was driven primarily not by the tonnage, by the price of the gold.

I see around 15-16% in the gold loan also this year also. No concern on that.

LTV also, even after drop of 30% in the gold loan, our LTV is still at very comfortable level, don't see any stress in that.

Sir. Thank you.

Thank you, Mahrukh.

Thank you, Mahrukh. Next question, we'll take from Jayant Kharote.

Jayant, please unmute yourself. All right.

Thanks, Anand. Congrats, sir, on a good set of numbers.

Sir, first question is on the margins. We saw a healthy expansion QoQ.

I think one of the positive surprises come from the cost of deposits. QoQ, we've seen some tightening in the first two months, yet you have seen a decline.

If you could help us break down, are these gains back-ended, where you sort of rolled over some of the bulk in the last month? Then, of course, the reason I'm asking is, of course, because then that can sustain going into 2Q, 3Q.

If you can spend some time on what has driven this cost of funds and cost of deposit gains? Second is also on the reported yield on advances have moved up, it seems, by 2 basis points.

Again, a small number, but anything to read any particular products that are again what I'm looking at is the sustainability through the next two, three quarters?

Yeah. Basically, if you see on deposit side, I always remain very careful of the what rate we are getting.

CASA, we focus on lot of CASA. Bulk also I remain very careful.

Let me tell you, I remain normally on the borrowing side. Borrowing you get at around what rate?

5.25%. Even if you have to raise bulk for 30 days, 60 days, that cost will be around at least 100, 150 basis point more than that.

I remain on the borrowing side, so that also helps. Bulk also remain very careful.

Bulk if you see, bulk is at the same level as March. It has not gone up.

161 1.61 lakh crore was the March, 1.61 lakh in the June. Bulk we have not increased, so that has actually helped.

When it was picking up, like it was going 8% or it was going CD going to 8%, bulk going to 7.7, 7.8, at that time we were not in the market. That has helped.

Partly it has also helped by the repricing. Maybe 1 1.5 basis point that has also helped by the repricing.

Similarly, on the advances side, advances also we remain very careful of the very thinly priced loans. We remain very sensitive on that.

Wherever we get opportunity, either we exit or we get better rate as compared to the last quarter. When I give any quote for the WCDL or LOC, what is full form of LOC?

Line of credit.

Whenever I give any rate, I always remain mindful that my say cost of bulk has gone up by say 40 basis point, whether I'm able to pass it on or not. I remain mindful of that.

LOC, line of credit, on sequential basis, I have shedded around 6,000 crore which rate was very competitive. Hopefully, this trend should continue.

Sir,

this means you will probably looking to deliver at the upper end of your margin guidance for this year? If I'm not wrong, it's around 3.15

to 3.25%? Hopefully.

Okay. Sir, second question is Yeah, sorry.

Go ahead.

For margin expansion, there is no trigger now unless there is a rate increase. Some repricing, but MCLR repricing and bulk deposit repricing will be compensated.

MCLR also around 2 basis point impact will come in this quarter, negative. Similarly, bulk will be around 2 basis point or 3 basis point.

It will be compensated basically. Not seeing much margin expansion from here, but very rightly you told, around upper band we can expect.

Sir,

sorry, again to double-click, how are the rollovers in retail TDs? Are you facing competitive intensity going up there?

Retail term deposits.

In between it was, but not now. In between it was.

When bulk was touching 7.8, 7.9, at that time banks have started increasing their retail term deposit rate also. Not now.

Okay. Sir, I missed this part of the provisioning.

If you have done any accelerated provisioning for ECL this quarter on standard assets, if you can call out that number. Second, if you now Yeah.

ECL I have made 1,000 crore floating provision. Straightway I have made.

In this quarter?

In this quarter, yes.

Okay. Sir, on ECL, now that you've had time to spend, if you can tell us the gross and the net impact both, on steady state credit cost?

Because now you would have had a good time to spend with the new guidelines. How does the new credit cost look?

Yeah.

My expectation is, impact of ECL transitioning will be around 3,000 to 3,500 crores. Out of that, if you remember, I have told that around between 1,500 to 2,000 I will try to make provision during the year.

Out of that, 1,000 I have made. My endeavor will be to make another 1,000 during the year, between 500 to 1,000 my endeavor will be to make that.

On the transition side, there is no impact. Steady side, no impact.

Flow, of course, there will be some impact on the credit cost. Credit cost you can say standard provision is in the range of, say for simplicity, you take around between 0.4 to 0.5.

So, 0.5. In ECL era, it will be around 1.5.

So, 1% increase will be there on the standard. Whatever growth is coming, say I'm growing by 12%, then 1% of that, means 12 basis point credit cost impact will be there on the flow basis.

Net of tax may be around 8 to 9 to 10 basis point. Sir,

this is the net impact, right? Because you also release from Stage 3 provisions or NPA provisions, right?

So

No, see. No.

Reason final guideline has come where it is required that more provision on D3 and loss asset has to be maintained at 100% floor. That means and bulk of the provision is lying in the D3 and loss asset.

There will be hardly any release from there.

Okay. Basically, sir, 12 basis points pre-tax Jayant,

we have to move.

Sorry, Anand. Thanks, sir, and congrats on a good quarter.

Yeah.

Thank you.

Yeah. Jay, please unmute yourself and ask your question.

Hi. Good evening, sir, and congratulations on a steady number.

Sir, I picked up on your TV interview wherein you had said that margins now have bottomed and ideally should go up. Just now, I think you said that you are sort of looking at similar margins.

Margins will not go down, but it may not go up also. I just wanted to check, sir, what is the final verdict, how do you see?

No,

actually see, Jay. When I said bottomed out, it is fact.

See, now there is no trigger that it should go down unless rate of interest is decreased. At the same time, there is no trigger also that it should go up.

There also I have told that expansion maybe by not much, maybe 2 basis point, 3 basis point.

Understood. Sir, we had already made 10% provision on SMA 1 and 2, right?

That provision you can use for ECL transition, right? That is one of the component for ECL transition.

What is the gap in understanding? I thought that that provision could also be used.

We will be using that.

Okay. Apart from that, 3,000 is So, 3,000 to 3,500

Whatever we have made, apart from that impact is around 3,000.

Understood, sir. Sir, just lastly, have you also done IBPC in this quarter also, and the quantum?

No, only 200 crore has gone, not much.

Sir. If you can quantify the total gold loan, sir?

You have given the retail jewel loan, but the total which is including agri and SME, the absolute rupees crore number, sir? Thank you.

Jewel loan total is 1.32 lakh crore.

That is the total number, right?

Total number, yes.

Okay. Thank you, sir.

All the very best.

Thanks, Jay. Next question we'll take from Ashlesh.

Ashlesh, please unmute yourself.

Hi, sir. Good evening.

Two quick questions from my side, sir. Firstly, in the market now do you see any changes in the competitive environment, especially the pricing on home loans and corporate loans?

That is one. Second one, just to clarify on the cost of funds side, is there any more repricing of term deposits that is pending?

Yeah. Pricing side, yes, there is lot of competition still.

You see vehicle loan, home loan, corporate loan, particularly in good rated account and good PSUs, lot of competition is there. That remains.

Cost of fund, you are asking on?

If any further repricing is pending on the term deposits. Repricing, yeah,

yes, of course. Impact will not be much, maybe 2-3 basis point now only.

Understood. Sir, just one follow-up on the previous one.

Any changes in the competition, are you seeing it even marginally, let's say intensifying or improving?

Competitiveness is same level. Already it was cutthroat still.

Only on the bulk side, I am seeing that, I don't know, all of a sudden, it has cooled down. Otherwise, housing loan, see, 7.15, 7.20, nobody is taking lead to reduce it.

Some big bank only will have to start.

Understood, sir. Perfect, sir.

Thank you. Those are all the questions I had.

Thank you.

Thank you, Ashlesh. Sir, you want to continue or I think you have a call now?

One one-two question I may take.

Sure. We'll take a question from Param now.

Param, please unmute yourself.

Yeah. Thanks, Anand.

Sir, I wanted to ask on the fee income in this quarter. The fee performance is very strong, and you've given some details, sir, in slide 17, where I think the fee is being driven by miscellaneous fee income and strong loan processing charges.

What is happening in miscellaneous fee income, sir? It has been strong for a couple of quarters.

Two two-three income has been added, just a minute. Syndication fee

272 crore Slide

17. Syndication fee 272 crore we have earned.

We have done two syndication, and also just a minute. YoY basis you are asking, then some income has come from DEAF incentive also has come.

30 crore DEAF incentive has come, and CBDC cost reimbursement has come in shape of whatever cost we have incurred CBDC. Around 47 crore is that, 72 crore is syndication fee.

These are the primary drivers. Sir, and

this is sustainable?

Sustainable. Loan processing charge is sustainable, underwriting also as and when we get opportunity, we will do.

Sir,

is there any rate increases you have taken in your processing charges that is driving this?

No, only volume increase.

Sir. Perfect.

Very quickly, sir, the LCR for this quarter, and what is the outlook for treasury profit going into next quarter? Because, sir, the G-sec yields have come down pretty sharply and maybe might come down further as the FCNR liquidity comes in.

LCR is 20 123 for this quarter. Treasury profit, see, 6.75, I don't see going maybe 5-6 basis point that too if Bloomberg inclusion happens, maybe it may go up to 6.65.

Otherwise, below that, I don't see yield cooling down. Treasury profit, I don't see much contribution from the treasury.

In my calculation, I have taken treasury profit for the year around only 6 to 700.

Sir. Got it.

Sir,

LCR has not improved quarter-on-quarter, because the new LCR calculation was supposed to help you? See, we remain on the borrowing side, from the TREPS and call market, because we are getting cheaper.

That has to be everyday repriced. That is also impacting my LCR.

Sir. Got it.

Thank you so much and congrats.

Outflow will be every day, no? That is also impacting my LCR.

Thank you, Param. Next question, we'll take from Kaushik from Haitong.

Kaushik, please unmute yourself.

Hi, sir. I hope I'm audible.

Sir, I just have one I just have one question. I was seeing the data for the sectoral deployment which you have put out in your PPT.

There I was seeing that the growth towards the NBFC has been roughly around 2% on a YoY basis. Now, compared to the industry data which comes out from the RBI, there the growth has been very phenomenal.

Is there something which you're noticing in that particular piece which you would like to call out? Is there any lot of competitive intensity is there?

That is only the question that I have to ask. Thank you.

In NBFC, we were very selective. We are participating mostly in AAA, AA only.

Lot many opportunities are coming, but we are very selective in NBFC. That is the reason, if you see, from June to March, it was negative growth in NBFC, only around 6 to 7,000 crore.

Only this quarter we have added some around 3,000 crore. Keeping in view that there will be some repayment during the year.

Okay. Thank you, sir.

Now please excuse me,

Mr. Ashutosh will

take further questions. I'm extremely sorry for this.

Sure, sir. Sure.

Next question, we'll take from Aman Singh. Please unmute yourself.

Hi, sir. Can you please help me with the all-inclusive data on SMA 1 and SMA 2?

All-inclusive means

All ticket size.

All ticket size data, it is both you want, both SMA 1 and SMA 2 put together?

No, sir. Individually if you can give.

Individually you want. SMA 1 is 7,000 and SMA 2 is 7,700.

These are approximate figures, huh.

Sure, sir. Thank you.

Yeah.

Thank you, Aman. Next question, we'll take from Sushil Choksey ji.

Sushil ji, please unmute yourself.

Congratulations to team Indian Bank for the excellent result. My first question is Ashutosh ji, liquidity led by FCNR(B) and ECB is going to be anywhere estimated between $50 to $70 billion.

How do you see that impacting Indian Bank, because Vinod ji already said that we'll be taking only 1.5 to 2 in your estimate, but the system would be liquid between 4.5 lakh crores to 7 lakh crores. How do you see the impact on G-sec?

He already spelled he doesn't see below 6.65. On our cost of funds, maybe some diversification on lending book, maybe some cross-border transaction, because M&A is also open, you'll have sufficient dollars.

What is the outlook from your international book led by Singapore or any other zone? Yeah.

Choksey ji, we are planning for 1.5 to 2 billion in FCNR including the ECB. Roughly will be somewhere at 18,000 crore liquidity that will be available to us.

If you see the cost that will not be very much lower. My cost of deposit, if I will take that 6, 6.5, the costing will not reduce.

This is the first point I would like to address to you. The next is that the domestic credit demand is robust, we can easily deploy this amount in our domestic credit space.

The third one is that with this flush of liquidity, the only thing we have to see is that government borrowing program in the days to come. How that will plan out, that will decide the 10-year G-sec rate.

That is why we are thinking it is around 6.65 it may come down even if this liquidity flow will be there. This is our thought process regarding the liquidity and its impact on interest rate.

Sir, any view on your digital spend, maybe cybersecurity, new initiatives at the bank, what kind of initial or extra budget you're forming because of a high profitability?

Sir, I will tell you. The capital budget will be around 750 crores for looking at the AI initiatives and cyber resilience.

We are taking a couple of steps, strengthening our CSOC. We are planning to implement UEBA and the zero-trust architecture for our cyber resilience posture, for which we have marked this.

Also we're planning to go for a data lakehouse looking at the DPDP Act. Uniformity of data, availability of data at one place.

That also program is on. It will be around 3,000 crore of IT budget, capital as well as revenue, both together.

Any view on consolidation?

Consolidation of what, sir?

Bank.

Oh. The prerogative, let it be with the government of India.

They will take a call even if they have anything in mind. I think so I'm not in a position to comment on that.

Are we happy to absorb anybody, or we would like to stay standalone?

Choksey ji, no comment from this side. This is a very

Touchy subject.

Yes.

Then I leave it off.

Sir, I think we'll have to move to next question. We'll take question from Jayant.

Jayant, please unmute yourself.

Hello. Sir, just clarifying the previous comment on provisioning of 1,000 crore this quarter.

Just unable to add the math, sir. Can you help me?

Sir said you have provided 1,000 crore of floating provisions in this quarter. I see in the PPT breakup that you have given NPA provision of 360 and then standard of 700.

What am I missing, sir?

Sir, missing is that this 737 is the net figure we have given here. Some provisions are released, some provisions are made.

That is why the net figure is 737 in standard advance.

Sir, you are saying 1,000 crore you have made floating towards ECL, and you have got a release in your standard book from some other asset, and that's why net is 733. Can you break down the two, sir?

Net is

737. The difference is exactly the release.

Okay. Sorry for that question.

I get the clarity. Thank you.

Thank you, Jayant. The last question we'll take from Jay.

Jay, please unmute yourself and ask your question.

Hi, sir. Thanks for the opportunity again.

Sir, I missed the explanation for why the LCR is stable. I think what you mentioned that now bank is borrower in the repo market.

Is that the explanation, sir?

Yes.

Sir, any bank can borrow in the repo, right? It is anyway cheaper than maybe the CD or deposit rate, right?

I don't understand what is so different that we have done in this quarter? Repo rate is clearly cheaper than TD, or maybe bulk TD, right?

Ideally, there should have been a release. If you can help

Definitely. Jay, three things is required to be kept in mind: your credit growth amount, your deposit growth amount, and we should also think how much of my credit will be funded through borrowing.

It's a combination of these three things. Suppose I'm growing at 100 rupees and I require 125 rupees, in which source I'm managing this 125 is more important.

That is why MD sir was telling ki, as far as possible, we are going for borrowings. We have a borrowing limit.

Based on that, we are borrowing. Thereafter, the rest is funded through deposit.

That deposit composition is also one aspect. In that deposit composition, we are not much relying on bulk deposit, which is a costly affair in Q1.

All these three put together has given us this result. Because of this borrowing, I'm able to maintain 123 LCR.

If I will not depend on borrowing, it will definitely go up.

Right. In a way, you have used the excess liquidity to actually increase the growth, right?

In a way, otherwise you may have to rely more on deposits. Now you borrowed and funded that growth.

Correct.

In a way, right?

Yes.

Okay. Sir, lastly, if you can help, the PSLC income, right, it has actually YoY it has declined.

We have grown gold loan in a decent way. I thought the market for PSLC is also decent.

Why there is a decline YoY?

If you see Q1 also, the Q1 figure is not high last year. If you compare to Q1 to Q1 '25 and Q1 '26, you will find there is an increase in my PSLC income.

PSLC income, this is the quarter I have booked and I've divided into four. This PSLC income opportunity will also come in Q2 and Q3.

Whenever it will come and I will keep on adding, my Q2, Q3, and Q4 figure will keep on changing.

Right. Sir, looking at this

No. What I'm saying, last year Q1 and this year Q1 you see, there is a growth.

Subsequently, whatever we have earned, that we have added in that particular quarter. In Q4 whatever we have earned, we have added in Q4 of '26.

Similarly, in the Q4 of '27, we'll add whatever we'll earn during that time, during that quarter.

Okay. No, but, sir, I am not asking Q4 versus Q1, but Q1 you would have whatever you would have originated, you divided by four and you book it in Q1, right?

The same has happened this year, this year this first quarter.

Correct.

YoY number are comparable, right?

YoY number is only comparable. That is what I'm trying to emphasize, Jay.

Right. Sir.

If I look the number, that looks like that PSLC income last year first quarter was Okay, okay. It has actually gone up only.

Yes.

Okay. Sorry, sir.

Lastly, sir, looking at the insurance number that we have given, which band we are in, sir, now? Insurance expenses has declined by around 20%.

They have declined 19% YoY, right? We are in bracket one or we have bracket two for that DICGC

bracket one, no? We are in bracket one, Jay.

Thank you, sir, and all the very best.

Thank you. We will take that as the last question.

With this, we come to the end of Indian Bank's post-results conference call. Sir, if you have any closing remarks to make or we can end the call?

Anand. Whatever the guidance we have given, we are sticking to all the guidance.

The guidance in the upper quartile will fall based on the Q1 results, what we understand. That is the only closing remarks.

Thank you.

Sure, sir. That's very helpful.

Best wishes on behalf of Nuvama. We end the call now.

Thank you, everyone.

Yeah. You do it now.

Yeah. [We are?]

thankful to our investors and analysts for giving their support.

Thank you very much, sir. Thank you, sir.