InCred Equities - Canara Bank

	Mar-20A	Mar-21F	Mar-22F	Mar-23F
Net Interest Income (Rsm)	131,240	247,731	268,959	293,421
Total Non-Interest Income (Rsm)	78,130	136,613	148,679	151,453
Operating Revenue (Rsm)	209,370	384,344	417,638	444,874
Total Provision Charges (Rsm)	(111,150)	(167,468)	(167,787)	(147,225)
Net Profit (Rsm)	(22,350)	19,425	32,727	56,185
Core EPS (Rs)	(21.69)	11.80	19.87	34.12
Core EPS Growth	(571%)	(154%)	68%	72%
FD Core P/E (x)	(4.01)	7.38	4.38	2.55
DPS (Rs)	3.00	3.00	3.00	3.00
Dividend Yield	3.44%	3.44%	3.44%	3.44%
BVPS (Rs)	381.4	327.1	343.9	375.1
P/BV (x)	0.23	0.27	0.25	0.23
ROE	(5.9%)	4.2%	5.9%	9.5%
% Change In Core EPS Estimates
InCred Research/Consensus EPS (x)

(Rs mn)	Mar-20A	Mar-21F	Mar-22F	Mar-23F
Net Interest Income	131,240	247,731	268,959	293,421
Total Non-Interest Income	78,130	136,613	148,679	151,453
Operating Revenue	209,370	384,344	417,638	444,874
Total Non-Interest Expenses	(111,185)	(185,864)	(200,550)	(216,432)
Pre-provision Operating Profit	93,600	193,437	211,540	222,339
Total Provision Charges	(111,150)	(167,468)	(167,787)	(147,225)
Operating Profit After Provisions	(17,550)	25,969	43,753	75,114
Pretax Income/(Loss) from Assoc.
Operating EBIT (incl Associates)	(17,550)	25,969	43,753	75,114
Non-Operating Income/(Expense)
Profit Before Tax (pre-EI)	(17,550)	25,969	43,753	75,114
Exceptional Items
Pre-tax Profit	(17,550)	25,969	43,753	75,114
Taxation	(4,800)	(6,544)	(11,026)	(18,929)
Consolidation Adjustments & Others
Exceptional Income - post-tax
Profit After Tax	(22,350)	19,425	32,727	56,185
Minority Interests
Pref. & Special Div
FX And Other Adj.
Net Profit	(22,350)	19,425	32,727	56,185

(Rs mn)	Mar-20A	Mar-21F	Mar-22F	Mar-23F
Gross Loans/Cust Deposits	72.1%	71.3%	72.4%	72.7%
Avg Loans/Avg Deposits	73.6%	71.6%	71.9%	72.6%
Avg Liquid Assets/Avg Assets	32.6%	33.9%	33.8%	33.6%
Avg Liquid Assets/Avg IEAs	37.6%	39.0%	38.8%	38.5%
Net Cust Loans/Assets	59.7%	59.0%	59.3%	59.1%
Net Cust Loans/Broad Deposits	69.1%	67.0%	67.5%	67.6%
Equity & Provns/Gross Cust Loans	13.4%	14.4%	14.9%	15.4%
Asset Risk Weighting	53.2%	51.1%	51.0%	50.7%
Provision Charge/Avg Cust Loans	2.38%	2.65%	2.29%	1.86%
Provision Charge/Avg Assets	1.51%	1.66%	1.45%	1.18%
Total Write Offs/Average Assets	(2.65%)	(4.60%)	(4.44%)	(4.67%)

(Rs mn)	Mar-20A	Mar-21F	Mar-22F	Mar-23F
Total Gross Loans	4,509,651	6,901,788	7,439,955	7,989,088
Liquid Assets & Invst. (Current)	1,754,241	2,641,530	2,760,015	2,959,557
Other Int. Earning Assets
Total Gross Int. Earning Assets	6,263,892	9,543,317	10,199,970	10,948,644
Total Provisions/Loan Loss Reserve	(187,898)	(419,160)	(503,543)	(567,127)
Total Net Interest Earning Assets	6,075,993	9,124,158	9,696,427	10,381,517
Intangible Assets
Other Non-Interest Earning Assets	298,640	567,416	624,157	686,573
Total Non-Interest Earning Assets	480,040	766,985	840,333	920,922
Cash And Marketable Securities	682,715	1,092,344	1,169,077	1,260,453
Long-term Investments
Total Assets	7,238,748	10,983,486	11,705,836	12,562,893
Customer Interest-Bearing Liabilities	6,253,510	9,677,379	10,279,098	10,983,646
Bank Deposits
Interest Bearing Liabilities: Others	289,925	347,910	389,660	436,419
Total Interest-Bearing Liabilities	6,681,128	10,245,597	10,915,503	11,696,419
Banks Liabilities Under Acceptances
Total Non-Interest Bearing Liabilities	164,688	199,309	221,460	246,355
Total Liabilities	6,845,816	10,444,907	11,136,963	11,942,774
Shareholders Equity	392,930	538,577	566,364	617,609
Minority Interests
Total Equity	392,930	538,577	566,364	617,609

	Mar-20A	Mar-21F	Mar-22F	Mar-23F
Total Income Growth	(9.4%)	88.8%	8.6%	9.1%
Operating Profit Growth	(10.8%)	102.1%	9.4%	5.2%
Pretax Profit Growth	(25%)	(248%)	68%	72%
Net Interest To Total Income	62.7%	64.5%	64.4%	66.0%
Cost Of Funds	5.48%	5.38%	4.59%	4.57%
Return On Interest Earning Assets	8.0%	8.9%	7.6%	7.7%
Net Interest Spread	2.49%	3.52%	3.05%	3.09%
Net Interest Margin (Avg Deposits)	2.14%	3.11%	2.70%	2.76%
Net Interest Margin (Avg RWA)	3.36%	5.23%	4.64%	4.76%
Provisions to Pre Prov. Operating Profit	119%	87%	79%	66%
Interest Return On Average Assets	1.85%	2.72%	2.37%	2.42%
Effective Tax Rate		25.2%	25.2%	25.2%
Net Dividend Payout Ratio	(13.8%)	25.4%	15.1%	8.8%
Return On Average Assets	(0.32%)	0.21%	0.29%	0.46%

(91) 22 4161 1551 bhavik.shah@incredresearch.com

(91) 22 4161 1569 rishabh.jogani@incredresearch.com