Good afternoon, ladies and gentlemen. Welcome to Canara Bank's Q2 earnings call hosted by Antique Stock Broking. The management is represented by Shri L.V. Prabhakar, MD & CEO, Shri Debashish Mukherjee, ED, Shri K. Satyanarayana Raju, ED, and Shri Brij Mohan Sharma, ED. After the initial comments from the management, we'll have the Q&A. Without any further delays, handing over the mic to L.V. sir. Thanks a lot. Thank you very much. First of all, let me convey my gratitude and thanks to all the analysts for participating in this interactive session with the management. I would like to tell the highlights in brief, because other things you have already seen from the presentation which we have uploaded. We have a decent business growth in Q2 FY 2023, especially in credit sales. It is about 20% and deposits have grown by 9.82%, both above the industry average. Business has grown by 13.89%. In the last 12 months, we have added about roughly INR 2.4 trillion balance sheet to the existing outstanding, and now it stands at INR 19.58 trillion, the balance sheet size. Going forward, we are of the view that the growth momentum which we are observing will continue, and we'll be having a decent double-digit growth. Coming to the credit side, especially retail credit. RAM, which is about 55% and corporate is 45%, as we have given the guidance that our credit portfolio will be 55% RAM, 45%, corporate, ±2%. We maintain a RAM percentage of 55%, and the RAM has grown at 16.4%. Retail has grown at 12.52%. Agriculture about 21%. MSME about 13% and corporate at 25%. Overall growth is at 20%. Regarding the recovery under the present quarter, we have seen a very good recovery. In the sense, a cash recovery was about INR 1,876 crores, plus a cash recovery of INR 1,205 crores in written-off accounts. Getting recovery in written-off accounts is one of the, I can say, a bit difficult task. However, my people have contacted the people, especially the written-off, accounts and the borrowers, and, we could recover about INR 1,205 crores in the Q2 quarter FY 2023. Regarding the upgradation, again this quarter it was a bit attractive and it is about INR 1,523 crores. Percentages wise, it was, I think, a reasonably good work has been done. The gross NPA has come down from 8.42% to 6.37%. Going forward, we are hopeful that as we have given the guidance of 6%, we'll be achieving that. Net NPA has come down from 3.21% to 2.19%. As we have given the guidance, the net NPA will be less than 2% in a shorter period. We are very interested in increasing the provision coverage ratio, and it has increased from 82.44% to 85.36%. Credit cost, we have controlled at 1.31% and slippages were at 0.35%. Now coming to the main parameters regarding the income and also the expenditure. There is a decent interest growth, especially 20% in interest received on advances and NII. It has grown to 18.4151% and during the current quarter it has grown by 9.57%. Expenditure we have controlled and we have invested a good amount this time in IT and also in infrastructure. This will give, going forward, a good dividends. The operating profit, which was at INR 5,600 crore in September 2021, has increased to INR 6,905 crore in September 2022, showing a quarter-on-quarter growth of 4.5% and year-on-year growth of 23%. Net profit, we are happy to share that the YOY growth is about 89% and Q on Q it is about 25%. What we observe is there is a decent business growth, a very good recovery, and also the ratios are very attractive and the capital has strengthened. The CRAR has increased from 14.37% to 16.51%. Common equity from 10.09%, it has increased to 11.14%. With this capital and also the deposit base, we are future ready to take a good credit growth, which will ultimately lead to good income. Some key ratios I would like to share with you. ROA for the quarter it is 0.79%. Our projections were at 0.70 for March 2023. The return on net worth, we have touched 18.86%. Cost to income ratio, it is at 43.68, which is one of the lowest we are having. Earnings per share, it is about 55.22. From 29.86 in September 2021, now it is at 55.22. Then NIM, from 2.77, now it has been increased to 2.86. With all these good parameters, now our philosophy and aim is whatever extra income and additional income we are earning, we want to pass on to our depositors. Because of which we have brought in a new deposit scheme that is 666, by paying 7% interest, and for retirees it is 7.5%. In the last 12 days, there was a very good traction, and more than 8 lakh fixed deposits were opened with a significant amount, which will help the Canara Bank in the current year, current quarter, and also the coming quarter to take care about the credit demand that is very much visible in Canara Bank. With these few observations, now it is open for question and answers. Over to you, sir. Thank you, sir. Participants, I will request you if you want to raise, ask a question, please raise your hand. If you are calling from a dial-in number, please press star three to ask a question. Yes, there's a calling user who has a question. Please unmute yourself and ask your question. Our question is from the line of. Please unmute yourself and ask. Hi, sir. Am I audible? Yes, ma'am, please go ahead. Yeah. Hi, sir. Good evening, and thanks for taking up my question. The first query is on restructured book. Where would the aggregate book stand today? Ma'am, regarding the restructured book, that is Resolution Framework 1.0 and Resolution Framework 2.0, which we have not given in this one because now it is the history. However, I'll share the details with you. In Resolution Framework 2.0, the slippages were 13%, 13, and remaining is performing. Okay, which is this quarter or cumulatively? Cumulative, ma'am. It is cumulative. Okay. Where does the book stand if I have to include the MSME- It is. Restructuring outside, and then yeah. It is at INR 20,000 crore. Okay. Earlier it was INR 24,000 crores. There is recovery of about INR 3,000 crores. Now it has come down to INR 20,000 crores. Okay. Actually, last quarter you had mentioned about INR 18,000 crore, so it was not reconciling with the INR 20,000 crore mentioned in the notes to accounts. What exactly happened in between? Ma'am, earlier we have included all the sectors, and that was the figure. Now we are showing about the RF 2, which I am telling you. Okay. Okay, this is just Resolution Framework 2.0. Yes. If we include all the sectors, where would the number stand? Yes. Yes. Yes. Eligible under RF 2. Okay. Okay, sir. Can we have the break-up of your slippages? Yes. Slippages were INR 3,500 crores, out of which INR 1,200 crores is agri, INR 1,300 crores is MSME, INR 600 crores is retail, rest is miscellaneous. INR 400 crores is miscellaneous. Okay. Just finally, with regard to net NPA, it's declined by about INR 1,600 crores on a Q-on-Q basis. Is there some large recovery or what exactly has happened there? In the NPA now it has come down to 6.79%. The amount is because of repayment in regular accounts as well as in NPA accounts also, in various accounts. Okay. Sure. Just finally, where would our ECLGS book lie? As on date. Yeah. GCL book. I said yes. One minute, ma'am. I'll share with you. Sure. Ma'am, we have disbursed about INR 18,000 crores, and sanctions are about INR 19,000 crores. This is the amount which we have disbursed and sanctioned under ECLGS as on thirtieth September 2022. What sort of slippages have we seen from this portfolio? Any? Out of this, INR 669 crores is the slippages. Out of sanctions of INR 19,000 crore and disbursement of INR 18,500 crore, slippage is INR 669 crore. Sure. That is around 3%-4%. 3%-4%. Got it, sir. Thank you so much. I'll come back in the queue. Thank you, ma'am. Thank you, ma'am. Participants, if you wish to ask a question, please do so by pressing the Raise Hand button on your Touchstone application. The next question is from the line of Mr. Deepak. Sir, please unmute yourself and go ahead. Yeah. Am I audible, sir? Yes, you are. Yes, sir. Please, Deepak ji. Okay. Yeah. Thank you very much, sir, for the opportunity. I just wanted to understand, now in your opening remark, you mentioned about, I mean, the good credit growth demand visible, right? This extra deposit that you are taking through savings deposits will help you meet that credit growth demand. As such we are already at about 20% growth. I just wanted to understand annually we are still kind of looking at 8% growth, so there's a big disconnect between what we are achieving and what we are kind of suggesting. Any comments on that will be quite helpful. Yeah. Regarding the projections which we have given in the beginning of the year, 8% credit growth, that is considering that there will be one COVID wave or there will be recession. All those factors taking into consideration, we have given 8%. However, such things have not happened and there is a very good climate for credit growth, so we could achieve 20%, and 20% is a very decent growth. We are confident that there will be a decent double-digit growth, which is more than 8%. Now, coming to the funds which we are raising for the onward lending, as we said, our target is to maintain RAM 55%, corporate 45%. In RAM you have already seen a growth of 16.4%, which includes retail, agri, MSME, and others, except corporate. This growth we expect that during the current quarter will continue. For that we require funds. Going forward, we are of the view that because of the liquidity situation in the market, the deposit rates are bound to rise. If you are first in the market, you get the advantage. With the amount which we have mobilized, that is more than 8 lakh FDRs, we are in a comfortable position to take care about the decent double-digit credit growth that is going to be there in the current quarter and the coming quarters. Coming to the corporate, 45% of my loan book. Corporate, nowadays we are seeing lot of inquiries and lot of draws also we are seeing, especially in infra, especially in the NBFCs, in petroleum, coal products, and also in chemical, and to some extent iron and steel and also food processing. We observe that during the current quarter there will be a good demand from corporates also. Our aim is always to be ready for the future and to have a strong balance sheet. Sir, just a follow-up. You mentioned decent double-digit credit growth. Up to 20% is what the range that we are looking at? See, I said decent double digit growth. When I say 8%, we have achieved 20% growth. When I say a decent double digit growth, you can understand. Okay, fair enough. Yeah, that is the message. All the very best, sir. Thank you, sir. Thank you. Thank you, sir. Our next question is from the line of Mr. Ashok. Sir, please unmute yourself and go ahead. Mr. Ashok? Mr. Ashok, are you there? Okay, we'll move to the next question. Our next question is from the line of Mr. Prakash. Sir, please unmute yourself and go ahead. Mr. Prakash? Am I audible? Yes, you are, sir. Yeah. Mm-hmm. First of all, I like very good congratulations for the hefty numbers, for the good numbers shown in this quarter. Thank you, sir. I have two questions. One is that I remember last time you mentioned that because of the RBI change of repo rate, which you affected only from seventh July onwards, there is going to be some additional interest income over INR 250 crores. In this quarter, when I calculate the NII, simple NII, like interest earned minus interest expense, in June quarter it was INR 1,558 crores and in September quarter it was INR 1,986 crores. Which means it increased by about INR 428 crores. Can I presume that out of INR 428 crores, INR 250 crore odd were because of the 50 basis points increase which was given in the floating rate account effective from seventh of July. It means in the next quarter, which is December quarter, we won't see such increase of INR 428 crore in the NII. Here let me answer in a different way. See, this time the NII was at INR 7,434. Again, you all know that this is based on the cost of deposits and also yield on advances. INR 250 crores or INR 200 crores, which we received because of the repo increase is factored in, and that INR 250 crores will continue this quarter also because it is already inbuilt. Not only that, apart from that, in the hardening interest rates, we increase the spread also, and also the interest income from other than RLLR also. For example, MCLR. MCLR we are have increased. MCLR is also contributing. Apart from that, in the normal course, corporate advances also we have increased the rate. The estimation that only INR 250 crores out of INR 400 crores is there, which will not be available, will not be true in the coming future. It may be a part of that, but there will be further resources and revenues because of which we are targeting to have a good NII. Okay, sir. Yes, sir, like the second thing, our provision for NPA, it is hovering around INR 2,600 crore-INR 2,700 crore. Do you see it coming down in the coming quarter or it will hover around same similar range? I will not comment about the figure, but I will share with you our principle. Our principle is if you have followed me in the last two years, I have always said that I want to have a healthy PCR and also my balance sheet should be ready for the future. In a sense, proactively, we want to make more provisions. As you know, in big accounts where 15% provision is required, Canara Bank has made 100% provision. Basically, if you see the provision of INR 2,007 crores of this one, there are accounts where we have aggressively made provision, and we continue to do that. Good, sir. Sir, like my last question, employee cost has come down by INR 300 crore as compared to previous quarter. What is the reason for this or whether the number of INR 3,119 crore for this quarter will continue in the ensuing quarter also? Sir, here actually there are two, three points which I would like to share with you. Canara Bank is one big bank which is paying a PLI to its employees in the last two years, fifteen days. That is full PLI. In the Q1, PLI amount is there, which will be paid again in the next Q1 of the next FY 2024. Whereas that PLI is not there during the current quarter. Because of which there is a definitely staff cost. Second point is seniors are retiring, and their cost is being reduced. Even if we recruit new people, the cost is very less. Yes, sir. You are right. Yes, sir. Going forward, staff cost will be moderate, whereas since Canara Bank is making good profits, we want to give maximum benefits to our staff. To that extent, the amount may be increased, but it will not be significant. Very good, sir. All the best, sir. I'll come back in the queue, sir. Thank you, sir. Thank you, sir. Thank you, sir. Thank you, sir. I'll request participants to please keep their questions in queue. Next question is from the line of Mr. Bhavik Shah. Sir, please unmute yourself and go ahead. Hi, sir. Hello. Sir, congrats on very good set of numbers. Thank you very much. Sir, firstly, sir, I just wanted to understand how is the liquidity situation with the bank. What would be the excess liquidity in INR crore, and how much would be the LCR as on date? Let me share you the LCR number. LCR number is always an average number of 90 days. It is 122%. RBI requirement is 100%. As far as liquidity is concerned, Canara Bank is maintaining very well the liquidity position, neither surplus nor deficit, because we want to deploy the funds effectively. Now, coming to the liquidity position, as on date, Canara Bank is not having any liquidity problem because, as you know, we have floated one deposit scheme, 666, where more than 8 lakh deposits were opened, including 666, with huge amount. For Canara Bank, resources or liquidity is not going to be a problem in the current quarter and the coming quarter. Okay. Sir, taking that a little further, so given we are paying higher on fixed deposits compared to other PSU banks, sir, how do you, what would be the outlook of margins in the next three to four quarters? Because of repricing, can we expect a similar kind of delta over the next two to three quarters? See, our guidance regarding NIM is 2.90%. Today, we are at a 2.86%, so we'll be achieving 2.90%. Now, for example, if you see my interest earned and OPE, it has increased tremendously. Now, as a management, I have two points to answer. One is whether to continue with this abnormal OPE without passing any benefit to my depositors or to share some of this to my depositors. I have a depositor base of more than 10 crore, and my depositors are very loyal to Canara Bank. During the time of high inflation, we thought that we have to pass on some benefit to the depositors. This is the main reason because of which we are passing on 50 basis points more than the market to my depositors. I am making good money in advances also because my interest income and advances is growing at 20% and I am getting non-interest income also at 13%-14%. Fee-based income, I am getting at 18%. It is INR 1,700 crore +. Our aim is pass on some benefit to the depositors. They will be with you for lifelong. That is the concept along with maintaining the margin. This is the philosophy on which we are working and it's working well. Understood, sir. Thank you. Sir, lastly, only a couple of data-keeping questions, sir. Sir, last quarter our restructured book was INR 80,000 crore. On similar like-to-like basis, what would be it this quarter? Please, Majumdar. For RF one, our present liability is around INR 4,420 crore. For RF two it is INR 12,089 crore. Both put together is around INR 16,000 crore. Oh, okay. MSME, would we get added to the- Yes. MSME, we have another that is OTR. Out of that old is another INR 2,300 crores. Total would be INR 18,300 crores. Sir, has it- Exactly. quarter-over-quarter? No, no. It has only come down now, the quarter-over-quarter. Oh. I think the last quarter as in 18,000 was the number, so I'm not sure if 18,300 is comparable to 18,000. No. You must mean last week. What you are comparing maybe last quarter we told of RF 1, RF 2. This is not MSME OT, OTR we spoke of. Last quarter, the figure that you have is of only RF 1 and RF 2, which has come down to INR 16,000 crore. Clear, sir. Thank you so much, sir. Sir, what would be the slippages from restructure book this quarter? RF one, the slippage is if you take out the future, the future was also. I'll tell. Sir, RF 1 it is about 3% excluding future. RF 2 it is 13%. It is cumulative, not during the quarter. It's a cumulative one. Oh, understood, sir. Sir, that's it from my side. Good luck and thank you. Thank you. Thank you, sir. Our next question is from the line of Mr. Pranav. Sir, please unmute yourself and go ahead. Hi. Can you hear me? Yes. Yes. Yes. Sir, INR 2,300 crore is MSME and there is a INR 16,000 crore RF 1 plus RF 2, so total is INR 18,000 crores around. Out of this 3% is slipped from the number RF 1 and 13% from RF 2, right? Yeah. Yes, sir. Sir, about that, SR, that is, the debt security will be around INR 2,500 crore. Is that right? Yes, sir. Okay. Yes. Out of this INR 2,500, is there any outstanding provision? We have almost fully provided, and I think only a few hundred INR crores are left to be provided. Right. Perfect. Sir, can you just spend some time on actually giving some color on loan growth, which sector they are coming from, is it retail? Is it corporate, SME, MSME? Will it continue? Is it CapEx related? Is it consumption related? Is it working capital related? Any color will be really helpful. Thanks a lot. Sure. Our principle is we want to maintain a ratio of 55% under RAM and 45% under corporate, ±2%. During the current quarter our RAM is about 55%, which is growing at 16.4%. Now let me discuss regarding the RAM. We say RAM means retail, agriculture and MSME. Retail is growing at 12.5% and within the retail housing is growing at 17% and we are hopeful that the growth in housing will continue to be a decent double-digit growth. Agriculture and allied activities were growing at 21% and this will be around this percentage next quarter also. MSME is at 13%. Since MSME we are seeing lot of demand, so this 13% to 14% to 15% we think it will be continuing. Put together again under RAM category the growth will be about 16%-18%, which will be a decent growth. Fifty-five percent of our portfolio will be growing at a decent double-digit growth. Now coming to corporate. In corporate, we have seen traction and a very good growth in infrastructure, NBFCs, then iron and steel, then we have seen in petroleum, coal products and a bit in construction and also chemicals and chemical products. In the current quarter also, we are hoping that these sectors will be doing good and the growth momentum will be sustainable. Overall, the growth we see it will be a decent double-digit growth for Canara Bank. Okay. Thank you, sir. Just would like to remind Mr. Pranav, could you please stop sharing your presentation because I think you are sharing a presentation. Our next question is from the line of Mr. Anand Dama. Please unmute yourself and go ahead. Yeah, thank you, sir, for the opportunity. The first question is on your overseas credit book, and that's where we are seeing a lot of growth across public sector banks and so for us. What are the key reasons why we're seeing this growth apart from I agree that is book appreciation? Let me tell you, in the last 12 months, the credit book has grown by INR 140,000 crores for the bank as a whole. In overseas, it has grown by just INR 21,000 crores. Percentage-wise, it looks big, but amount-wise, since the base is very small, percentage appears to be 85%. However, in terms of real amount, it is only INR 21,000 crores. In INR 140,000 crores, INR 21,000 crores overseas, we feel it is a normal growth, and this growth is coming from A, double A, and triple A-rated accounts and also very good corporates who are in India and abroad. What made them borrow now or what made you lend to them now that basically you were not doing a year back as such? In this overseas borrowing, there are borrowing by the banks also, some foreign banks and also Indian housing finance company also, which is a well-rated company. From overseas branches? Yes. Why would they do that? It's basically ECB funding that you're doing? Yes, exactly, sir. How much would be ECB and how much would be buyer's credit that of the overseas book as you would have grown? Most of the portion is lending, not buyer's credit. Secondly, we have moved to the new tax regime during the current quarter. Basically, how have we done the tax, I mean, DTA adjustment? We have knocked off the DTA from the asset book, but is there a net worth adjustment also that we need to do? One. What is the tax rate that we should expect for the full year now going forward? Whether it will be 25% or it will be still less than 25%. Yeah. Totally. Yes, Mr. Majumdar. Our CFO will be replying this one, question. Sir, the first question, your first question is how we have adjusted this, that is funded this to DTA. That is around INR 2,451 crore, which we have told. It is out of an excess tax provision that we have made last year and first quarter of the present year. It has been funded out of that. It has not hit my present profit and loss at all. It has not hit my profit at all. It would have been knocked off from the network, right? No, it has your DTA reduction means my Tier 1 capital base goes up, my CET1 goes up, my CRAR goes up. That has gone up by almost 40 basis points each. That I agree. Sir, from your network, it should get adjusted. No, sir, it will only reduce my net worth if it is a charge on my profit. It is a charge on my profit, which has been funded out of tax provision, additional tax provision, more than requirement, which I had made last year and the first quarter of the present year, which has neutralized it. I'm, I'll explain you, but if you want to know a bit more, last year, I had an unadjusted accumulated loss of around INR 18,000 crore. Technically, I need not pay any tax last year, but I made a tax provision of around INR 1,500 crore plus last year. This year, when I started the year, I had a net, the accumulated loss of around INR 8,000 crore. This year also, up to this September, I need not pay any tax. Still in the first quarter, I made a provision of around INR 900 crore, so which was adequate for me to fund this DTA. That is the reason my profit and loss is not hit, which you said that my net worth would have been eroded by that time. But that amount is not eroded because it was already funded. Okay. What's the tax rate that we should expect for the full year? Sir, let me add something. We will move to 25% from 35%, 34.9%. Yeah, that's what. Here let me add something, sir. This particular migration from higher tax to lower tax, we are working for the last one and a half years. It is not today we have taken the decision. For this, in order to avoid the hit or the reduction in the net worth, we have made excess provision in the last year itself for the tax. Also in the first quarter of this financial year, knowing very well that this money will be required when we migrate to the lower tax regime. It is a well-calculated move which is paying dividend today. Sir, I understand the tax balance sheet adjustment, but how does that affect basically the accounting part of it? You would have knocked off from the assets the DTA. On the liability side also, there should have been some adjustment to that amount. Whether it was due to other liabilities, some provisions that you would have made. No. That provision of tax of equal amount has been reversed. Okay. I take it off, sir. Yeah, please. Sir, would you question to please come back in queue? Yeah. Sure. I'll come back in queue. Thank you, sir. Yeah, please. Please. Our next question is from the line of Mr. Saket Kapoor. Please unmute yourself and go ahead. Yeah. Namaskar, sir, and thank you for this opportunity. Namaste, sir. Yes, sir. I will just club a bunch of my questions in the interest of time. Sir, firstly, sir, our EPS for H1 has been INR 27. And if correct me, sir, we were guided INR 40 for the full year. Can we expect an upward guidance since the likelihood of bridging 40 should be by the next quarter itself, barring unforeseen circumstances? My first point. Secondly, sir, how have the hardening of this G-Sec rate, the government securities, the ten-year benchmark affected our treasury portfolio? Going ahead, sir, if you could give us the trajectory of how the NII is going to shape up. Then I have one more follow-up, sir. Please, sir, answer. Thank you. Sir, regarding your first question, EPS, today we are already at 55.22. We have already crossed 40, which we have given the guidance. We are hopeful that this will be improving further going forward. That 40 is now history. Now regarding the NII, the momentum which we are observing will be maintained going forward. Because the way in which we are seeing the demand for the credit and also from the good corporates who are ready to afford a bit higher rate of interest. NII we are going to maintain. There will not be an issue regarding the NII. Regarding the treasury, yes. As you know, in Q1 we made good money in treasury because of the proactive actions taken by my treasury. This quarter we did not have much impact regarding the depreciation on our treasury income. However, the treasury income is a bit less because of the existing conditions. Next quarter we are hopeful that the situation will improve and we'll be in a position to make some money from the treasury also. However, we don't see any depreciation as far as the portfolio is concerned. At the most, there may be a depreciation of INR 200 crores-INR 300 crores, which is very negligible as far as my balance sheet is concerned. Sir, on the EPS front, are you annualizing the first half number, sir? Because if you look at- I will give you the two EPS. One is quarter wise, it is INR 55.22. For cumulative for six months it is INR 50.27. Okay. Okay, sir. Correct me here, sir. When I look at your reporting numbers, we find the EPS at consolidated for this first half at INR 27, INR 26.93. Where are we getting this INR 52 number, sir? I'm referring to page number four of the slide. It is on, we have given on page number 21. EPS annualized. Sir, you are annualizing the first half number. That is what I'm asking, sir. Yeah. Okay. Yes. Because the performance may vary, sir. Performance may vary also, sir. Is it going to be a granular numbers going ahead also, sir? Can we look forward for that? See, our only commitment is we want to do better than what we did earlier. That's the only target for us. Correct, sir. Last point is on the, sir, what portion of our portfolio, the loan book is on, floating rate and how much is on the fixed rate part? With the increase in the repo rate, how is the incremental NIM, incremental interest margin, going to be? Your guidance on the net interest margin, sir, shaping ahead in percentage terms. As on date, we don't have any advances on fixed rate. All are floating rate. 100% book is on floating? Yes. Okay. Then- Sir. Saket sir, would you question to please come back in queue? Yes, sir. I mean, I'm coming in the queue only. I'm listening to what sir. Yeah. I'll come. I can only say that whatever ratios we have given this time, next time we'll try to better those ratios. Thank you, sir. Our next question is from the line of Mr. Ashok. Please unmute yourself and go ahead. Sir, yeah, I think you had given me this opportunity earlier also, but there was some technical glitch. Sir could not hear me and I could not hear him. Now. Please sir, go ahead. Yeah. Sir, a lot of the queries and questions have been answered by you very calmly and with a great reassurance. I have just one, you know, the recent development by the RBI on the rating agencies, you know, giving guidance to them to rate the corporate, especially the large accounts, with the names of the banks, you know, for which this limit is being rated. Sir, have you gone through that and whether I can see some clarifications on that from you? How is it going to be impacted? See, we have come across this one, and still we are also, I can say studying because the time is there. For further clarifications, I have my CGM risker who handles the rating. He will be responding this. Please, Mr. Rao. Sir, my question is basically you know, most of the time when the loan is at the sanction stage, that time the ratings have been called for. I mean the previous rating or rating of the company. By that time it is not clear that which bank is going to sanction the loan out of the various banks where the loans are applied. Generally the rating is for a, for an amount, that this is the amount which we are seeking. This is the amount which we are going to seek, say INR 1,000 crore, INR 2,000 crore. That time the names of the banks may or may not have been known. Only the existing banks who have given the credit, their names can be given, but not the bank which is assessing the proposal. You are perfectly correct. That's why I said still there is time. We are also working and discussing internally, and we'll be giving the feedback. Okay, sir. We'll wait. Okay. For the clarification from you, the bankers also and the RBI also. Sir, my second observation and some answer from you that we have very large, you know, number of subsidiaries and associates. I think we have eight subsidiaries and five associates, and lot of money has been invested in those subsidiaries. Whereas when you see the operating profit, the consolidated profit, it's just INR 75-80 crore more than your standalone profit. If you look at the net profit, it's again the same, you know, like kind of this. Ultimately at the end of the day, are we just banking on the valuations of these companies or their products and this thing or we do want to bring in something in our profit and loss account and our balance sheet also? Very good question. Let me tell you, for example, Can Fin Homes. They are doing very good profit, OP and NP. Going forward, we are confident that this particular subsidiary or associate is going to perform very well. Now, coming to Canara HSBC, we are seeing very good traction in Canara HSBC as far as the business is concerned. Going forward, its valuations are going to be very good when they come out with our IPO. Canara Robeco is another best mutual fund in India, which is giving good returns and excellently managed. These are all the jewels for Canara Bank. Today, profit in terms of comparison to parent Canara Bank may be less. Going forward, these companies or subsidiaries are going to give huge returns. That is why we are not selling the stake in these companies. Regarding Grameena Banks, I have four. For example, Andhra Pragathi Grameena Bank. It started making INR 326 crores profit. Same way, I have other Grameena Banks, like Kerala Grameena Bank. It is making INR 129 crores profit. Going forward, these things are going to give huge dividends to Canara Bank. Okay. Thank you, sir. Our next question is from the line of Ms. Mahrukh Adajania. Please unmute yourself and go ahead. Yeah. Hello, sir. Congratulations. Thank you, ma'am. Yes, sir. I had just a couple of questions. Firstly, you said that you would better all your parameters next quarter. How do you view your margins? Because you also said that you have to pass on something to depositors too, so that they stay loyal to you. How do you view your margins going ahead? Do you think they peak here or there is scope for improvement given MCLR repricing? What's your view on margins in the next one to two quarters? Ma'am, regarding margins going forward, the margins are going to increase. As we said, NIM, our guidance is 2.90%. Today, we are at 2.86%. Margins will increase. The thing which I have said that we have to pass on some benefit to the depositors, that will help the bank in the long run to improve the margins. See, there is a demand for the deposits in the market because we don't see the liquidity which was available four months ago, five months ago, today. Under this scenario, and also taking into consideration the present inflation which is there, it is justifiable and also required that you should pay interest, which will help the depositors to take care about the inflation and also to continue with Canara Bank. Regarding the margins, now the lending is being done at a higher rate, and people are ready to take well-rated companies. For Canara Bank, margin will not be issue. The outcome will be my depositors will be happy. They continue to bank with me and also deposit money in my bank. It will ultimately lead to very good liquidity position for Canara Bank, which I will be deploying in the credit. As you have seen during the current quarter, year-over-year growth is about 20%. To maintain a decent double-digit growth, you need resources, deposits, and for that, you have to pay a bit more also. Got it, sir. Very well explained. Sir, I just have one more question delving a bit more into what Anand Dama was asking. You know this question on international loans and where they are being lent keeps coming up because what has happened is it's a coincidence that all PSU banks have started showing growth in international loans at the same time. There's no lead lag or any such thing. Except Baroda, which was anyway strong in international loans, everyone has upped their lending just in the last two to three quarters. Part of it will be exchange depreciation. But if you could have a rough breakdown on how much growth has come through exchange, how much is to overseas banks that we talked about, and how much is to overseas corporates and how much is to Indian corporates. You know, any such broad classification. Ma'am, if you see the increase in figure in overseas, it is only INR 21,000 crore, which is not a big amount. This INR 21,000 crore, INR 4,000-INR 5,000 crore has gone to the banks. We have financed to the banks. Remaining is for well-reputed, high-rated corporates. Got it. Sure, these are international banks. Yes. One Indian housing finance bank is also there. Got it. Thank you, ma'am. Thank you. Next question is from the line of Mr. Rishabh Tendolkar. Please unmute yourself and go ahead. Hi, sir. Congratulations for the good numbers. Yes. Thank you. Sir, considering the increase in deposit rates and the deposit scheme that have come up, what is the expected growth in deposits for next three to four quarters? I can say next two quarters, there will be a decent deposit growth of double digits. Okay. The deposits, as I said, in the last 12 days, we have mobilized more than 8 lakh fixed deposits. Okay. Which are going to stay with Canara Bank, and these are all retail deposits. No, no. Hello? Sir, you've gone on mute. Just one second. Okay. Sure. I guess they got disconnected. Apologies. I think there were some technical glitch, and they were disconnected. We're trying to resolve. Just hold on for a second. Sir, please unmute yourself, Elisa. Hello? Yes, sir. Yes, sir. Ma'am, are you able to hear? Rishabh? Yeah. Yes, sir, we can hear you now. Regarding the deposits, yes, I was explaining, it got disconnected. We are going to see a decent double-digit growth in deposits also. Mm-hmm. In the current quarter, that is Q3 FY 2022-23 and also Q4 FY 2022-2023. Because we have already mobilized more than 8 lakh fixed deposits from various customers, which are all retail. Mm-hmm. This money is going to stay with Canara Bank. Okay. There will be a very decent deposit growth. This additional deposits that we are taking in, the cost of those deposits are typically less than the borrowings, or is it higher? Just wanted to understand. We are always conscious about the margin to be earned. Mm-hmm. Always we lend at a rate, taking into consideration our margins also, and the 7% is only for 666. Right. Whereas for other deposits, it is 2.5%, 3.5%, 4%, 5%, different rates are there. Right. It's not that all the deposits are at 666. Actually, it has created a wave in the market to deposit money in Canara Bank. Got it. Okay. Sir, lastly. Yes, sir. Wanted to understand, as you mentioned, the entire advances book of Canara Bank is floating. So just wanted to confirm if even the commercial advances are floating or only the retail advances we were talking about? No, all advances. Okay. Except FDR, fixed deposit against which fixed deposit we give, all other are either any of the floating rates only. No fixed rates we have given. Okay, sir. Thank you, sir. Thank you. Thank you, sir. Our next question is from the line of Mr. Jai Mundra. Please unmute yourself and go ahead. Yeah. Hi, sir. Good evening, and thanks for the opportunity. Good evening, sir. Good evening, sir. Sir, our NIM's guidance of 2.9%, is it for FY 2022-2023 or this is like exit quarter FY 2022-2023? I mean, fourth quarter FY 2022-23. Sir, it is for FY March 31, 2023. For the full year? Full year. Right. Sir, the capital number that we have shown, this includes the interim, first half PAT number, right? Yes, yes. Right. Excluding 20%. Excluding 20%, right. Which is okay. Sir, if you can share the slippages breakup for this quarter of around 9- Sir, out of this INR 3,500, INR 1,200 is under agriculture, small ticket loans. INR 1,300 is under MSME, INR 600 is under retail, and leftover INR 400 is other accounts. Right. Last question, sir. Is there any one-off in the net interest income line item? Because, while you have clearly shown a very huge, loan growth, the interest on advances have also gone up, significantly. So is there any one-off or, you know, any NPA recovery which is also coming in interest, advances line? Or this is like business as usual? No, sir. This is all the growth in credit and also the increase in interest rates which we have implemented in the last three months that has given this increase in interest income, which is about 20% YOY. No one-off instance. Right, sir. If you can, sir, we used to share the SMA 1 and 2 at overall bank level. The reason I'm asking, sir, if in this quarter also large part of the slippages have come from, you know, below INR 5 crore accounts, right? If you can help us with the- Yes. SMA 1 + 2. We'll share with you, sir. Sure. Yeah, sir. Yes, sir. Thank you so much, sir. All the best. Thank you, sir. Thank you, sir. Keeping in mind the time, we'll take this for the last question. Hand over the mic to L.V. Prabhakar for his last closing comments. First of all, from Canara Bank side and from the management side, we thank the investors and also the analysts, who are very cooperative to Canara Bank and bringing out the actual position in the market. Second one is, as we committed that each and every staff in Canara Bank is committed to the bank, and the growth momentum will continue in the coming quarters also. The growth is not in one sector or in one region. It is spread over agriculture, MSME, retail, corporate, all those things. We are of the strong opinion and confidence that, the growth will continue in the current quarter also. With these words, I thank one and all. Thank you, sir. On behalf of Antique Stock Broking and Canara Bank, I thank all the participants for joining the call. Have a good evening, everyone. Bye. Thank you very much.