20 January 2020 FB reported moderation in business growth due to the weak environment and higher repayments/stress account resolutions. Although slippages stood elevated, bulk of it came from the pre-disclosed watch-list, which resulted in an overall decline in stressed assets. We tweak our estimates marginally for FY21/22 and believe that the bank remains well positioned to deliver a continued improvement in RoA led by margin/cost improvements. Maintain PAT of INR4.4b (+32% YoY) came in higher than our estimate of INR3.9b as provisions were lower at INR1.6b (-36% QoQ) aided by lower charge on debit card loyalty points. NII growth moderated to 7% YoY (INR11.5b), affected by interest reversals of INR0.2b, while margins stood stable at 3%. PPoP stood at INR7.4b (+5% YoY). C/I ratio declined ~100bp QoQ to 52.4%. Loan growth moderated to 13% YoY, led by sluggish trends in corporate/commercial banking, while retail loans continued growing strongly at 23% YoY.