Axis Bank (AXSB) delivered a weak operating performance in 2QFY22 that was characterized by margin weakness (7bp QoQ decline) and a muted trend in Core PPoP. However, lower provisions (INR17.3b) aided earnings which surpassed our estimate by 13%. Business growth was tepid and was pulled down by a 5% QoQ decline in corporate advances, while a strong sequential recovery was witnessed in SME/Retail loans. On the asset quality front, fresh slippages remained elevated at INR54.6b although higher upgrades/recovery of INR47.6b aided an improvement in...