PNB's Q4FY15 results were sharply below estimates as the earnings declined by 62% YoY (-60% QoQ) to Rs 3.1 bn. Bank reported a loss at PBT level whereas tax reversals led to earnings being positive. NII also declined by 5.3% YoY contributed by lower NIMs (due to interest income reversals) and slower advances growth. Advances grew by 9% YoY and 5% QoQ whereas NIMs declined by 42 bps to 2.79%.