Federal Bank Q3 Review - Asset Quality  Deteriorates; Restructuring Book At 1.2%: IDBI Capital
A customer holds a bundle of Indian rupee banknotes while filling in a deposit form at a branch of the HDFC Bank Ltd. in Mumbai, India. (Photographer Dhiraj Singh/Bloomberg)

Federal Bank Q3 Review - Asset Quality Deteriorates; Restructuring Book At 1.2%: IDBI Capital

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BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

IDBI Capital Report

Federal Bank Ltd.’s Proforma gross non-performing asset and net non-performing asset weakens at 3.4% and 1.1% respectively as proforma slippages stood at Rs 11 billion.

Reported asset quality improves with GNPA at 2.71% versus 2.84% QoQ, NNPA at 0.6% versus 1% QoQ led by higher provision coverage ratio (77% versus 64% QoQ).

Bank expects a restructuring of Rs 15-Rs16 billion and 90% of coming from moratorium book.

Net interest income grew by 24% YoY led by improvement in net interest margins which stood at 3.2%.

Click on the attachment to read the full report:

IDBI Capital Federal Bank Q3FY21 Result Update.pdf

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