17 October 2018 DCBB reported in-line PAT of INR734m, driven by moderation in opex and provisions. PPoP growth of 17 % YoY came in below our estimate due to a 12 % decline in other income. NIM shrank by 7bp YoY due to a 14bp decline in yield on advances. Our full-year estimate suggests DCBB should deliver PAT of INR1.5b in 2HFY19 (after INR1.4b in 1HFY19). Strong growth in AIB (+42 %), MSME (+27 %) and Corporate (+12 %) books led to 4 %/27 % QoQ/YoY growth in the loan book to INR220.7b. Other smaller categories such as CV (+78 %), Gold (+27 %) and Construction Finance (+27 %) also exhibited strong growth, while Mortgages grew at a marginally slower rate of 21 % YoY. Deposits grew by 27 % YoY (+4.5 % QoQ) to INR261.7b. Opex declined 11 % YoY to INR2.1b, largely due to the reduced pace of branch addition, leading to a decline in the C/I ratio to 59 %.