Central Bank of India (CENTRALBK) Q4 2026 Earnings Call Transcript

Ladies and gentlemen, good day and welcome to the Central Bank of India Q4-SY26 conference call hosted by Systematic Shares & Stock Ltd. This conference call may contain forward-looking statements about the company, which are based on the beliefs, opinions, and expectations of the company as on the date of this call. These statements are not the guarantees of future performance and involve risks and uncertainties that are difficult to predict. As a reminder, all passable lines will be in the lesson only mode, and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing star, then zero on your touchtone phone. Please note that this conference is being recorded. I now hand the conference over to Mr. Siddharth Rajpurohi from Systematics. Thank you, and over to you, sir.

Thank you, Ikra. Good evening, everyone, and welcome to Central Bank of India's Q4FI26 conference call. From the management today, we have Shri Kalyan Kumar, MD and CEO, Shri Mahendra Dohare, ED, Shri E. Ratan Kumar, ED, I'm Shri Mukul Dandige, CFO. We are very grateful to the management for giving us this opportunity to host their post-reserve conference call. I now hand over the call to the management for their opening remarks, post which we will open the floor for Q&A session. Thank you. Over to you, sir.

Thanks a lot. Good evening, all the investors connected here and my colleagues present in this boardroom. First of all, please accept my heartiest congratulations for the financial result of Central Bank of India as of financial year 26. In my initial remark, I want to mention that total business of Central Bank of India grew by 15.60% and reached to 8,12,439 crore, and deposit also increased by 13.38% to 4,67,923 crore. Casa deposit also stands at 47.30% of total deposit. Major highlight, our saving bank has grown in double digit 10.05% and crossed 2 lakh crore first time. And gross advances increased by 18.76% to 3,44,516 crore. CD ratio has improved to 73.80. Gross NPA, it stood at 2.67%, with an improvement of 51 basis points year on year. Net NPA stood at 0.49%, it is an improvement of 6 basis points. Provision coverage ratio is also at 95.97%. Operating profit for this financial year increased by 4.37% to Rs. 8,479 crores. Net profit for the financial year has increased by 15% to Rs. 8,479 crores. And net profit, net interest margin stood at 3.07%, which is a marginal decline. And here I want to mention. As per the new finance bill, bank has taken a one-time impact of Rs. 632 crore due to recognition of deferred tax assets at the rate of 25% as against 35%. And that's why major ratio got impacted due to above cited action. It is, again, at the cost of reputation, it is one-time impact. Net profit has been impacted. And ROA also got down to 0.56 from 0.91 for the quarter four as of previous year. And return on equity also down to 8.43% from 13.40% for Q4 of previous financial year. EPS down to 0.80% from 1.19% for Q4 of previous financial year. Similarly, for year-on-year basis also, ROA, year-on-year there is improvement despite taking hit of one-time impact of 632 crore. ROA improved to 0.89% from 0.86%. Return on equity also improved to 13% from 12.48%. Cost of income ratio, it is at 58.61%. Slippage ratio, we were able to contain it at 1.16%, that is an improvement of 29 basis points, and CRAR improved to 17.91%, out of which tire one is 15.61%. If we talk about quarter to quarter, net profit decreased to 724 crore. As against year-on-year basis, 1034 crore. And this is also due to one-time impact of 632 crore, as I discussed earlier. Operating profit also has shown a growth of 17.74% on year-on-year basis to Rs. 2096 crore. And net interest income grew by 17.74% on year-on-year basis to 4,002 crore in Q4 financial aid 26. Total income for Q4 Financial Year 26 improved by 4.63% from 10,333 crore for Q4 Financial Year 25 to 10,811 crore for Q4 Financial Year 26. For profitability for year-ended March 26, net profit increased by 15.43% to 4,369 crore on year-on-year basis. Operating profit has shown a growth of 4.37% to 8,479 crore on year-on-year basis. Net interest income grew by 197% to 14,171 crore on year-on-year basis as against 13,897 crore for previous year. ROA improved to 0.89% from 0.86%. ROE improved to 13%. And regarding asset quality also, if I can tell you, before that I would like to highlight business per employee. It has improved to Rs. 23.89 crore as against 21.31 crore. There is improvement here also. And our RAM. Main growth engine, retail, agriculture and MSME grew by 21%. The individual sector-wise growth, retail has grown by 25.67%. And Central Bank of India has crossed 1 lakh crore mark also, 1 lakh 3,533 crore. And agriculture has grown by 17.60%, that is 61,637. And MSME has grown by 17.06%, that is 69,351 crore. Similarly, there is improvement of 51 basis points in gross NPA, and we have closed at 2.67% as of 31st March 26th. Net NPA, there is improvement of 6 basis points from previous year to 0.49%. PCR also stood at approximately 96 percent. CRAR, as I discussed, it is 17.91, and what to mention, tier 1 is 15.61%, and in that way, we have very good capital base. And we have declared dividend also, final dividend is at the rate of 12%, rupees 120 per equity share. It is proposed for the year 25-26, and it includes All the interim dividend declared and paid at the rate 2% quarterly for previous three quarters. These were brief about our financial results with all the support of our stakeholders and team. In brief, I highlighted our financial results as of 31st March 26th. Now, over to you.

Sir, can we open the floor for question and answer?

Yes, please.

Thank you very much. We will now begin the question and answer session. Anyone who wishes to ask a question may press star and one on their touchtone telephone. If you wish to remove yourself from the question queue, you may press star and two. Participants are requested to use handset while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. The first question is from the line of Ashok Ajmera from Atchkin Capital Global. Please go ahead.

Yeah, thank you for giving this opportunity. Sir, my compliments to you, sir, and the entire team of Central Bank for a very good business growth. I mean, especially the credit growth is phenomenal. Even in this quarter itself, it is 6.49%. Having said that, sir, we have noted some decline in the profitability, our even operating profit also has gone down, and resulting into the net profit also going down. Of course, that one-time tax implication is there in that, but in the operating profit also, we are down. Similarly, in case of the asset also, asset quality also, I think maybe it is our quarterly, if you look at it, both the gross NPA and net NPA both in absolute numbers have gone up. And in fact, this net NPA has gone up even in percentage also, gone up. So there is some concern on that, even though the SMA quality is maintained. So, sir, my first question or other, I would like to have your comments on, are you seeing any stress in the system, even for the current, because of the geopolitical situations or whatever happening around in the globe, because of that, or even some of the old accounts are also getting slipped because of the slippage is also higher in this quarter. So, it's a kind of a mixed quarter, sir.

Thank you, Ajmerajee, for your question. First of all, regarding reduction in operating profit, it has grown by 4.37 percent, but if we compare on quarter-on-quarter basis, yes, actually it was mainly due to two reasons. One was actually regarding AFS mark-to-market, and that actually, if you see Treasury income, previous quarter it was more than 300 crores, and this quarter it is 9 crores. And also, recovery and return of account. You see, recovery in return of account, previous quarter, it was more than 1,000 crore, 1,162 crore. But this quarter, it is only 352 odd crore. So that were the two main reasons behind actually reduction, what you are observing in operating profit side. But if you see our net interest income has increased by 1.7% as year on year basis, it is 14,171 crore. And net profit rightly said by you because we have taken one time hit of 632 crore to our DTA. That is the main reason why our net profit has declined. Regarding asset quality, actually I would like to tell you. Rather, we have improved. You see our total slippage ratio of total year is 1.16. Previous year, it was 1.45. There is overall improvement in asset quality management because we have corrected our processes and also more improvement in technology side towards getting good alerts and fit on the street also integrated with those things. That's why in the asset quality side and monitoring side, because we deal with retail business. A retail business requires constant monitoring and frequent follow-up. So through technology, we are taking services of bot also, and fit-on-street persons are there, integrated call center is there, and also we are working towards improvement in credit underwriting quality and credit monitoring side also, and reviewing the process of our Our processing center, branches, with all these things, we are able to maintain our slippage ratio as 1.16, and in next year, our aim is we have given guidance that we are going to keep it less than 1%. And regarding your, another question regarding impact of Middle East crisis, till now, we have not received any request of customers for any overdue PCs or any post-treatment facility. And our risk management department is very active towards actually conducting stress testing and portfolio analysis. So, in that way, there is no stress signal. At least till now, we are witnessing towards our acid quality. Hope I have answered your question.

Yes, sir. Yes, yes, you answered it very well and those two factors which you explained. Yes, of course, because today, you know, we get very less time. In fact, earlier the call was at 6 o'clock and then 7 o'clock and we just got maybe just 15-20 minutes only to go through this. But anyway, you have explained it. Thank you very much for that. Sir, my second question is on the ECL. Now, since the ECL guidelines have come out, the final guidelines from RBI, so how prepared we are? Is there any, some prompt calculation which has been done? Because we have been preparing it for now for quite some time. So, how do you see the impact of the ECL and then how fast you see that the impact can be absorbed without affecting the profitability much?

See, we are actually, since last at least one or two years, we are sincerely working towards developing models, improving quality of data, and also our strategy of financing also, and containment of slipages, which I told, these things are going to really support us in migrating to the ACL side. And as regards our impacting on profitability side, I don't find looking to our growth in net profit and profitability, I don't find any challenge in migrating to the ECL framework as of 1st April 27th. But as regards numbers, if you will ask me, though we have, till previous quarter, 1575 crore additional provision we have made for this purpose. But the actual simulation, depending upon the final guideline, still we are working on this side. That's why at present, I will not be able to tell you the numbers actually which will be required for that purpose. But I can tell you in terms of technological capabilities, simulation, and strategy towards actually all these things which are going to impact ECL. Central Bank of India is fully prepared for migrating to the ECL as of 1st April 27.

No, I appreciate that because it is just these guidelines, final guidelines have just come out. Sorry, all in both your, my questions in answer. Technology, two, three times, four times. So, can we know little more in detail in technology front what is happening? Can we have some quite, if not very detailed, some short report on the technology development and what kind of spending we have done, what kind of budgeting we are planning, and which are the areas which are yet to be covered by the technology by Central Bank of India?

Yes, I will like to provide you offline, because currently I am not prepared with the technology and all these things.

Okay, so last one, sir, is on the treasury. Treasury, friend, of course, there was a pressure this year, but now with the things a little bit changing, where do you see, I mean, or what do you see our treasury, you know, contributing, start again contributing to the profits in the coming, in the FI27, sir?

See, you know, we started year by yield of 6.58, then it got down to 6.14, and in March we have closed by 7.03. So, in that way, it has impacted a lot, our profitability. This quarter, at least only 9 crore from Treasury we got. But looking to the improved condition and situation now, by optimal deployment of our investment portfolio and also IPO market, also previous year also we have got good amount of profitability, exchange profit. I am quite hopeful that this year also, looking to the market condition, we will be able to optimize return in treasury side also.

Good to know that if the moderator permits me one more last question. On the credit front, you have done very well. Now, going forward, what are our sanctioned pipeline? Are we prepared? Up to how much amount are we prepared through our CRR? And going forward, what are our plans or targets on the credit front, sir?

See, our CRAR is 17.91%, as you have seen, and CT1 15.61%. Our capital is not a constraint for meeting our growth aspiration in credit side. We have given guidance of 14 to 16% in credit side growth, and with the current capital strength, we will be able to meet this aspiration, which bank is visualizing, and regarding undisbursed sanctions. You see, our 60th percent book is RAM site, retail, agriculture, and MSME. Since November, we have started outreach program. More than 100 places, we organize MSME, retail, and agriculture outreach program, and good number of prospective leads, potential business leads, we actually mobilize, and with our LLMS and our field team, It is a complete SOP-based outreach program, where our people, senior team from head office also goes there and mobilizes the proposals and all. That is one area where good traction we have. You know, our retail growth is more than 25 percent, and agriculture has grown by 17.60 percent. MSME has grown by 17.06%. And similarly, in corporate side also, we have closed the book at 1,09,950 crore. That is also growth of 14.60%. In that way, actually, we have identified potential branches. In MSME, there are 225 branches. Agriculture, there are more than 300 branches. And for corporate also, more corporate finance branch we are opening, more MCVs we are opening, where trend people, like more than 900 officers we are going to get in the month of October, whom we are going to deploy them at different credit potential branches. We are also setting up sales and marketing team. 350% through IBPS, we are going to get them very soon in next one or two months. These actually enablers will augment our capability towards achieving the credit targets and all.

Okay, sir. Thank you very much, Kalyan Kumar, the entire management of the Central Bank. All the best to you. And if time permits, I might come back. Thank you. Thank you very much, sir. And for that digital, I'll take the numbers offline from you. Thank you, sir.

Okay, thank you.

Thank you. The next question is from the line of Sushil C. Chauksi from Indus Equity Advisors. Please go ahead.

Sir, congratulations to the team from the Bank of India for excellent and stable results and whatever advice and guidance you're doing, sir. Sir, I want to break up if I miss a few things. I'm looking forward to the next year, that is the current financial. FY27, can you guide us what is your thought process on deposit, advance, MIM, CASA, RAM and CD ratio, recovery from technical written accounts, digital spend, HR processes, our insurance subsidy? What kind of recovery have we seen from technically return of assets?

Your question is a bouquet of questions. I will answer one by one. Mr. Chokshi, thanks for the, actually, really. You see, regarding, first I will answer you regarding deposit mobilization. This time also you see in CASA we have grown by 9.75% and percentage-wise also 47.30 is our CASA ratio. And to achieve this, actually, our team has worked hard and they designed the products suited to the different segments of the customer. This was one part which actually really acted well. We tapped the potential of our lead district responsibility. 52 lead district managers, we roped them in and aligned them with these products and all these things so that they can support us in mobilizing Casa Deposits. And another important part was our government business cell also, few places we have opened, where we got good traction in those areas. For the MOU with several state governments, railways and also police forces, paramilitary forces, where we are able to open good number of salary accounts and good balances are being maintained with them because our technological things are also integrated in this model. Most of the accounts are being opened through a tab, which is very much convenient for the customer. If I can tell you regarding term deposit, our growth was more than 14-15%. There also our growth is very good. So resources is not a challenge for Central Bank of India. CD ratio, in September, it was 66. Today, in March, we have closed at 73.90, approximately 74%. There is improvement. And in coming years, actually, the expertise, which I answered earlier, the question of Mr. Azmera, hopefully you must be hearing also, there I told that for credit, actually, Central Bank is now geared up through outreach program. Training of 1,000 trade officers. We are providing them other trainings of flagship training trade program, Forex program. With this, centralized Forex sale also have been established. With this, actually, we are really improving or diversifying our different resource portfolio, which can support not only in trade growth, but also improvement in income side also. Regarding asset quality, You see our slippage ratio, we have maintained it at 1.16%. There is improvement from 1.45% as of previous year. And gross NPA and net NPA also you see 2.67% is in percentage term, 9,185 crore in absolute terms. And for net NPA, it is 1,666 crore. And in percentage terms, it is 0.49%. There also we are very much comfortable and well aligned with the guidance which we have given to the market. Apart from this, actually, CASA, RAM, containment of slippages, NPA, you asked about, actually, the profitability side also, we are fully geared up with all these interventions. As we migrated to the new tax regime, there would be benefit of 10%. We have simulated that more than 600 crore is going to be the additional.

Thank you for answering the question, but my thinking is that Central Bank is geared up for a lot of betterment in the coming year, and the years to come under the tenorship and the leadership along with your team. So, if I get some kind of advice, will we... Be doing what the industry is estimating 12 to 14% or we'll be better off in deposit, advance, NIM, CASA in the current year or years to come. And that is what is what I'm looking for because the thing is that I see that strength is building up towards betterment. So if that is the case, I would like to hear if you can specifically address on those parts.

Yes, actually, we are working on bringing improvement in the processes, investing in people. Yes, you told about HR also. Yeah, investing in people, number of training programs we are providing, the first time regional aid program, leadership development program, all these things are also on the card so that our capabilities are built. In technology side also, a lot of investments we are making. So that's why we are sure that guidance which we have given for business growth of 14 to 15 percent for current year and deposit growth by 10 to 12 percent and advances growth by 14 to 16 percent, we are going to achieve all these guidance which we have given to the, with the confidence I am talking because the kind of enablement and system improvement, technological integration with business models we have made, We are sure that easily Central Bank of India will be able to achieve all these parameters.

Sir, what would be the balance between RAM and corporate in the current year, your estimate?

See, we have given the guidance of 65-35, plus minus 5 percent. And we are maintaining this year also. This year, 58.32 is the ratio. We are going to maintain this guidance. 65.35 plus minus 5%. Because you know, in corporate side, we are actually really balancing with the risk and return. And only good rated customer only we are selecting because looking to our experience of PCA days. In that way, we are very selective in corporate side. But you can see, still there is growth in corporate side also, 1,09,960 crore, that amounts to 14.50% growth.

Sir, what kind of sanctioned pipeline and undiscussed credit limits are visible to you today? What is not available today?

Actually, there might be that data. I am not ready with that now. Actually, I will be able to provide you offline.

Sir, what is the estimate of recovery forecast for current year from return of assets?

Recovery, actually, see, we are having 32,000 plus crore in technical return of account. And this year also if you can see 2,270 crores we have recovered in return of account. And previous quarter was more than 1,100 crores. Similarly, 2,200 to 2,500 crores easily we can recover from return of account this year also and coming 2-3 years is not going to be a challenge for us.

Rajmira missed a question which has been repeated in the last 8-9 quarters about the lumpy account of the airline. Where are we today?

At lumpy account, actually, process is going on. Previous quarter, we received 515 crore as a guarantee. But recovery process is going on. We are going for auction and all. Whatever processes are available, we are going to utilize those processes.

Sir, you are strengthening a lot of HR process and digital and fleet on street and a lot of government accounts, which means you are going to do a lot of digital spend. Have you made some kind of a budget for current year for digital spend, sir?

Yes, yes, there is budget for, actually, for capital budget, it is 1,442 crore, and revenue is 1,276 crore for 26-27 for current year.

Sir, second thing I noticed that you have tied up with a lot of mutual funds for distribution now, and with CASA at 47% to 50% range over a period of number of years, I see a lot of income likely to generate from CASA, 3-in-1 accounts and distribution capabilities which you are building. Are we sensing early benefits of it, or is it yet to fructify?

See, two, three things. Actually, we are going to start wealth management division, rightly said by you, and that we are going to establish, and customer relationship concept, and also credit card part, and also sales and marketing team. These initiatives we are going to implement in Central Bank of India, which will certainly help us in actually garnering more income, fee-based income, advisory income. Those opportunities will be opened for Central Bank of India.

Sir, any highlights on the insurance, JV, from where we and how it's shaping up for income size?

See, these are untapped potential for Central Bank of India. Both life and non-life, we are having relationship with generally insurance companies. And this year also, 161 crore total, 161 crore we got. But it is flat. If you compare with the previous year, the huge opportunity is there. So, for that purpose, our team is working on how to leverage upon these tie-ups and how we can get more and more revenue and income from these tie-ups.

You answered that so far there are no indicative signals led by the global mishap which is led by war. But any indicators on retail or MSME in month of April about collection, any early signals or everything seems in order?

Till now, actually, I am regularly, proactively interacting with my credit monitoring team, and daily morning, in charge of the credit monitoring team updates me, but till now, such kind of slippage, I can give you example of 20th April, it was 250 crores, slippage was 250 crores, because that was the date when that... Demand is fired. Demand is fired. So, only 250 crore. And it is March also and February also, approximately, this is the number of slipkits. So, that's why there is no abnormality or any incipient signal due to the Middle East crisis we are facing.

Sir, thank you for answering all my questions. Good luck for the year, and best wishes to the entire team of Central Bank of India.

Thank you, Mr. Chokshi. Thank you.

Thank you. The next question is from the line of Ashleesh Shodzneh from Koordak Securities. Please go ahead.

Hi, sir. Good evening. Sir, first question is on your slippages. I see that your fresh slippages have increased substantially QQ. Can you just explain the reason for that?

C, Q4. Actually, if you compare year-on-year, then Q4, every time there is actually slippages are there, but many

of these slippages, particularly in MSME, may be attributed to a kind of technical. Okay, the auditors are saying that the credit summations are not commensurate with the business projection, whereas the units are working. So, because most of these branches go under audit in the quarter of this, so that is one thing. And secondly, some agriculture accounts have been identified, so no put slippages away. That is the only reason why our slippages are 1301 crore, as against roughly around 800 crores on an average, every quarter.

As a major region, the government sponsored scheme, Mudra, PME, GP, etc., up to 10 lakhs, it was more slippery as well, yeah.

Understood, sir. Sir, second one is on the ECL transition. I understand that you would want to wait before sharing an impact, the one-time impact, but can you at least comment on what the recurring credit cost can increase by when you transition to the ECL region?

See, our back of the envelope kind of a calculation for ECL impact was always around 4000 crores, which is very conservative. Out of that 1525 crores we have already built up. Now that Reserve Bank of India has permitted that we can take the impact through reserves. So, bank being sufficiently capitalized at 17.91%, I can easily take the impact on day one. I can easily take the entire impact on day one without any problem. Secondly, what you are saying is an ongoing basis. So, ongoing basis estimates are that roughly around 600 crores of provisions would be required for the entire financial year on an ongoing basis. But that one impact that my transition to new tax regime itself is likely to give me a positive impact of around 600 to 800 crores. So these two impacts can easily be balanced.

Sir, the benefit of 6 to 800 crores would be on account of what reason?

Because we are going to transition from the old tax regime of 35% to new tax regime of 25%. Yes, 10% benefit would be. So that 10% benefit comes to around 750 crores.

And the 600 crore ongoing credit cost, that 600 crore is the ongoing, sorry, increase the ongoing credit cost.

You see, now I'll have to provide for standard assets also based on the PD and other things. Pool, whatever is the floor. In many cases, suppose if my thing is very low, still then as per RBA circular, there is a floor below which I cannot go. So, based on all these things, we estimate that around 600-650 crores would be the total financial cost for an ongoing provision, additional ongoing provision. So, that will be easily balanced out of the new tax regime thing.

Sorry, sir. I'm just confirming this.

My understanding is very clear.

I hope this is better. This is 600 to 650 crore number. That is the increase in credit cost on ongoing basis, or that is the final credit cost on ongoing basis?

No, no, no. See, what we are saying, because of the transition to ECL, Suppose if my SMAs increase, even normal course, as per the IRAC guidelines, I need to maintain 0.25%, 0.4% and 1% provision on all the assets. Here, in the ECL regime, there is different slaps provided. So based on that, we estimate that additional provision required would be of the order of 600 to 650 crores. Because as my standard advance is also increased, there will be an additional outgo, right? So that additional cost will be more than met out by transition to new tax regime, where also we are seeing an upside of around 700 crores.

In a sale, actually, I would like to tell you. See, the estimate which you are trying to plan, because these things we have not simulated till now, but our strategy, see, unsecured loan, we are very cautious in unsecured loan. And also, we are improving overall trade underwriting quality, also monitoring aspect also being improved. In that way, the impact which we are going to face due to implementation of ECL, we are very proactively and consciously working on those directions. We are working on the models on which actually we have to see and simulate the kind of things so that we can migrate. But one thing I would like to say, as Mukulji also told you, that our reserves are surplus capital. We are very well capitalized. So therefore, migration to ECL is not going to impact us in any significant way.

Understood, sir. And just lastly, your margin has improved quite a bit in this quarter by 30 basis points. But your yield on advances and cost of funds has not really moved. How to understand the reason for this increase in NIM?

Yield on advances year on year basis is 8.21% and in this quarter it is 7.78% and cost of deposit is actually if you see 4.82%. So in cost of deposit actually reduction of only two basis point but if you see in yield on advances it is 57 basis point dip. Major reason behind it, actually, our more than 60%, 61% rather, advances our external benchmark links are, that way, impact was huge. Our major advances, as 61%, I told you, are external benchmarking. The rates are immediately actually passed on to the customer. The deposit gets reprised with a lab. So that was the major reason behind actually what you are saying. But currently actually we are working on these aspects also so that how we can revisit our processes that so that at larger scale our team can handle the sanction and disbursement of retail agriculture and MSME side. And also the deposit repricing also will happen. In next quarter, it will be completed. That margin part also will be improved.

Sir, sorry to interrupt, but the question is on the quarter-on-quarter movement in NIM. In spite of all the things you said, the NIM has actually improved by about 30 basis points quarter-on-quarter. That is the movement I am trying to understand.

See, there is one item. We got a refund of 431 crores in income tax interest, as income tax interest. So that has also contributed towards improving the NIM on a quarter-on-quarter basis. This we accounted for in March 26th quarter. But, excluding this item also, the NIM has not been much impacted. I mean, it was 2.96 in last quarter. It is around 2.89 or 2.90 in this quarter.

Understood, sir. Perfect. Thank you, sir. Those are all the questions.

Thank you. Thank you. Participants, you may please press star and 1 to ask a question. The next question is from the line of Siddharth. From Systematics, please go ahead.

Thank you for the opportunity. Sir, can you give your total, say, standard asset provisions which are incremental to the IREC norms?

We are holding around 0.87 to 0.88% of total provision on standard assets. So, I mean, this works out to roughly around... Roughly around 2,800 to 2,900 crores of total standard provision we are holding.

Okay.

Yeah.

And what will be incremental as compared to what would be required? The gap would be how much, sir?

See, 1,525 crores is straight away the ECL provision. That is the additional provision. Thereafter, under the earlier 7th June RBI circular, then restructuring also, we are holding provisions. So all this put together, we are holding this around 2800, 2900 provisions.

Okay. Sir, what will be our gold loan book size and what will be the LTV in it and the yield on the same?

Sorry?

What will be our gold loan book? The LTV in it and the yield on the same?

Gold on 10,000 crores? Total gold on is around 28,000 crores.

28,000 crores? And 8.04 is the yield.

8.04 is the yield.

I think they are compared to the 52%. 62%. 52%. LTV is 52%.

Okay. And what would be the year on year growth in this book, sir?

Year on year growth, gold on. Percentage, actually, for retail year-on-year growth, it is 157%, aggregate 56%, and total growth is 88.62%, and yield on gold loans under retail sector is 8.04%.

Okay. Yes, sir, we have a kind of industry-leading, CASA and our NCR is also industry-leading. So, on liquidity side, we are very strong. So, how do you see because banks would have constrained in terms of deposits going forward and CD rates are also moving up. So, how do you see your yield kind of your limb kind of moving in the next year?

We have given direction that we are going to remain above 3%. And in that way, CASA and rightly said by you, liquidity is not a concern for us. Previous year, we maintained 210, actually, as liquidity coverage ratio. And CD also, they have closed by 73.90%. Ample scope of advances and also liquidity we are having which can support our growth. And having good CASA base, we have actually good margin also through which we can maintain the NIM side. And our focus area for this year, current year also and onward, focus upon building upon our strong CASA belt and base, Aligning with the customer behavior, we are providing them ample opportunities for actually invest and all through our digital app and all. And regarding advances, RAM side where better margins are available, this is focus. Our 68% book was of March 26th belonging to RAM. That is also going to continue. We have given 65-35 plus minus 5% guidance. So, therefore, I am sure, confident that we will be able to maintain NIM above 3.

Okay.

Sir, does that answer your question? Do you want to ask more?

No, I am fine. I am done with my questions.

Thank you. A reminder to all the participants, if you wish to ask a question, please press star and one. As there are no further questions from the participants, I now hand the conference over to the management for closing comments.

Yeah, thanks for the opportunity, and thank you for asking a very good question and giving us the opportunity to actually present the numbers and also study in front of you all, investors. So, I can tell you that Central Bank of India, actually, not only we believe in numbers, but also we believe in capability building and also our strategy for main focus towards building CASA, retail agriculture MSME, contentment of slipages, improvement in overall improvement in asset quality, and these are going to be the... Thank you for your main focus area, and I will be very happy to assure you all that all stakeholders, kind of dividend which we have given this year also, and that is going to be maintained, and in that way, thanks for this opportunity and meeting. Anything else?

I'm sorry, sir, to interrupt. We have one question in the queue. Can we take it?

Yes, please.

All right. So, we will take the next question from Plane, from G&G. Please go ahead.

Thank you, sir, for this operation. I'm sorry for punching this a little late. So, if I take off the two one-off items, which is the tax impact for that provision and your income tax refund, Our net profit would get basically settled at around 1050 crores, if I am right.

What is the quarter? And 732. 732 and 632.

724 plus 632 minus 431. So 925 crores. 925 crores. So what was the tax? See, these tax refunds, because we were supposed to make the payment advance tax and all we are making, whereas we were not required to actually pay any taxes because we had the business losses. So these, I mean, even though it appears as a one-off item, but it has been a regular feature for the last five years, if you can see, right from 2021 onwards, we are getting these funds. Yes, 632 crores DTA impact, yes, I agree that this is actually one time and this will not be there next time onwards going.

Yeah, so in March 25, we had 318 crores as other income. How much income tax refund would have been in that, what would be that component over there?

March 25 quarter, you are saying?

So, year end, March 25th. In interest income, there is one line item, others, which is 318 crores.

Yeah, so out of that, income tax difference was around 280.72 crores.

Okay.

Thank you. That was the last question for today. On behalf of Systematics Shares and Stock Limited, that concludes this conference. Thank you all for joining us today, and you may now disconnect your lines.