Indian Bank share price target

Higher slippages offset a decline in cost of funds keeping margins flat at ~2.9%. Hence, NII growth came in at 14% YoY to | 1955 crore. Other income rose 133% YoY to | 1039 crore, led by one-off income tax refund of | 296 crore and healthy growth in fee based income. Healthy topline & steady opex aided operational performance with PPP at | 1919 crore, up 67.3% YoY. Excluding one-off tax refund, growth in PPP remains healthy at 41.5% YoY to | 1623 crore. Despite higher provision and tax outgo (as the bank shifted to new tax regime), earnings came at | 247 core, up 62% YoY....

Despite the macroeconomic headwinds Indian bank's total advances increased by 9% YoY to 1.9tn during the quarter. The domestic loan book increased by 8.2% YoY, buoyed by growth in RAM (Retail, Agricultural and MSME) segment, which was up by 18% YoY (3%...

Indian bank is a mid-sized bank in the public sector, with a loan book size of ~Rs1,93,000cr and deposit base of ~Rs257,000cr. The bank operates through a network of 2,887 domestic branches largely distributed across the Southern states. The merger of Indian bank and Allahabad bank to make it the 7th largest public sector bank, with nationwide presence. Pre provision profit grew at 67% YoY with Net Interest Income growing at 14% and other income at 134%....

In 2QFY20, Indian bank's total advances increased by 12.7% YoY to INR 1.94tn. The domestic loan book grew by 12.5% YoY (+ 5.3% QoQ), driven by strong growth in RAM (Retail, Agricultural and MSME) segment, which was up by 17.3% YoY (6.5% QoQ). The bank's corporate lending segment registered slightly muted growth of 5.8% YoY, however the management expects to achieve 12% growth in the coming quarters. The bank's management has guided for overall loan book growth of 15-18% for FY20E,...

Indian bank is a mid-sized bank in the public sector, with a loan book size of ~Rs194,000cr and deposit base of ~Rs253,000cr. The bank operates through a network of 2,884 domestic branches largely distributed across the Southern states. The merger of Indian bank and Allahabad bank to make it the 7th largest public sector bank, with nationwide presence. The Net Interest Income (NII) grew at 7.6% YoY due to higher growth in cost of funds compared to that of the interest yield....

1QFY20 PAT of INR3.7b (significantly ahead of estimates), was led by higher treasury gains and lower provisions of INR7.9b (v/s est. of INR10.6b). NII declined 1% YoY to INR17.8b (in-line); however, domestic margins declined 10bp QoQ to 2.9% due to 5bp increase in cost of funds. Other income grew 58% YoY led by treasury gains of INR2.0b. Total income trailed opex growth of 16% YoY, resulting in modest PPoP growth of 6% YoY. C/I ratio stood at 44.6% (v/s 46.6% in 4QFY19). Loan book grew 12% YoY (2% QoQ decline) to INR1.8t while deposits grew...

Indian bank is a mid-sized bank in the public sector with loan book size of ~ Rs1,87,900cr. The bank operates through a network of 2,875 branches largely distributed across the Southern states like Tamil Nadu, Karnataka, Andhra Pradesh and Kerala. The bank has rebalanced the loan portfolio from corporate to retail, agriculture and MSME segments to reduce credit risk. Strong CASA ratio at 35.5% act as a major strength which helps to keep the cost of funds at a lower level....

Sector: Banks /Mid-Cap | Earnings Update 4QFY19 Background: Indian Bank features among the mid-sized banks in the public sector space, as of 4QFY19 the bank had business of about INR 4.3tn. The Bank operates through a network of 2842 branches; Indian Bank's footprint is largely skewed towards the southern states of Tamil Nadu, Karnataka, Andhra Pradesh and Kerala. With...

seasonally strong quarter, while forex income nearly doubled to INR841m. However, growth in total income trailed that in opex (+13% YoY), leading to modest PPoP growth of 7% YoY. C/I ratio was at 46.6% (4QFY18: 45.3%). Loan book grew by 15.8% YoY to INR1.8t, while deposits increased 16.2% YoY to INR2.4t. The share of RAM advances stood at 58.1% (v/s 56.9% in 4Q FY18). CASA deposit growth stood at 9.2% YoY, leading to a marginal decline in the CASA ratio to 35.5% (v/s 35.7% in 3QFY19). Slippages moderated to INR10.1b (v/s INR17.5b in 3QFY19), while...