12 August 2018 largely driven by the complete absorption of MTM losses, as it made investment depreciation provisions of INR71b. Asset quality improved, aided by moderation in fresh slippages and resolution of two NCLT cases. The size of watch-list including SMA-1 & 2, thus, declined to INR246.3b (1.3% of loans; INR289.9b in 4QFY18). aided by asset recovery of INR19.3b via interest income, even as the loan portfolio declined 3% QoQ (~12% QoQ decline in overseas portfolio). Core PPoP grew 12% YoY to INR113b, while the margin improved 44bp YoY to 2.8%. of 14% YoY, while the corporate/mid-corporate segment reported a sequential decline. Management guided for 12% loan CAGR till FY20E. as SBIN recognized INR9.02b of gratuity liability (pending INR18.05b to be provided by 3QFY19) and also made wage provisions of ~INR10b.