LIC Housing Finance’s (LICHF) Q3FY23 performance was a mixed bag – with the much-awaited NIM expansion of 62bps QoQ to 2.42%, but surprising 27bps QoQ rise in credit cost to 1.15%. Higher provisions at Rs7.6bn during Q3FY23 (Rs5.7bn QoQ) was driven mainly by management intent to improve the coverage ratio on stage-3 assets.