Federal Bank has witnessed a sharp decline in SMA-2 balance, which clearly suggests fresh slippage during 1QFY18 was more of a one-off event. Hence, we expect substantial improvement in the Bank's performance in remaining quarters of FY18. Notably, the Bank is gradually coming out of the scenario marked with higher provisioning and continued stress on asset quality for last few quarters. We expect the healthy traction in earnings to continue, going forward owing to robust growth in loan book, moderate credit cost and healthy margins. We reiterate our BUY...