Mortgage lender HDFC Ltd is set to release its first-quarter earnings today and one of the key things that the Street will be focusing on is the moratorium book. The moratorium book was close to 22 percent in the last quarter.
The assets under management (AUM) growth can moderate downwards. HDFC is holding excess cash on its balance sheet of about Rs 32,000 crore, which could impact the net interest income (NII) on a negative basis. Hence, the net interest margin (NIM) could decline sequentially.
Provisions could remain on the higher side. CNBC-TV18's poll suggests NII growth of 9.3 percent while net profit on account of elevated provisions could decline by close to 16 percent YoY.
CNBC-TV18’s Abhishek Kothari lists out the key things to watch out for