Banks' NII seen up 10% to Rs 40,600 cr: CRISIL Research

Written By Unknown on Selasa, 15 Juli 2014 | 20.07

CRISIL Research expects net interest income of Rs 40600 crore (growth of 10 percent Y-o-Y) as against Rs 40500 crore in the last quarter and Rs 36800 crore in the same quarter of the previous year.

CRISIL Research has come out with its April-June quarter earnings estimates for the banking sector. The brokerage house expects net interest income of Rs 40600 crore (growth of 10 percent Y-o-Y) as against Rs 40500 crore in the last quarter and Rs 36800 crore in the same quarter of the previous year.

Total income is expected to be Rs 154700 crore in Q1 FY15 (growth of 1 percent Q-o-Q) growth of 12 percent Y-o-Y as against Rs 152700 crore in the previous quarter and Rs 137800 crore in the year ago period.

Overall income is expected to slow down to 11-12 percent Y-o-Y, vis-à-vis a 14 percent increase seen in the previous quarter largely owing to weak pricing power and slower credit growth.

Growth in net interest income (NII) is also likely to remain subdued at 9-10 percent following an expected decline in net interest margins (NIMs).

In the coming quarters, CRISIL Research expects gross non-performing assets (GNPAs) of banks to remain stable at the current high levels.

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