Margin compression from high deposit rates
Elevated term deposit rates (7.25% special scheme) may pressure NIM, potentially falling to 2.9% if liquidity remains tight.
medium · management_commentaryCanara Bank — Q2 FY24
Canara Bank reported a strong Q2 FY24 with net profit surging 42.81% YoY to INR 3,606 crore, driven by 19.76% YoY NII growth and improved asset quality.
bullish
high
Financial stats pending filing verification
Risk Intelligence
Material risks this quarter
Concise cards keep the risk register scannable while preserving evidence-level context in the underlying quarter data.
Risks
Potential slippage from large LRD account
A single large LRD account (mall) under SMA-2 has been provisioned INR 650 crore; if it slips to NPA, recovery may be slow despite collateral.
medium · analyst_questionSlow NCLT recovery process
Recovery from NCLT-referred accounts remains slow, with most resolutions via liquidation, limiting recoveries.
low · management_commentaryWage hike arrears impact
Bipartite settlement arrears from Nov 2022 could create a one-time expense shock; bank has provisioned INR 1,150 crore so far.
low · management_commentary