HDFC Bank Limited

Ladies and gentlemen, good evening and welcome to HDFC Bank Limited Q4 FY21 earnings conference call on the financial results presented by the management of HDFC Bank. As a reminder, all participant lines will be in the listen-only mode and there will be an opportunity for you to ask questions after the brief commentary by the management. Should you need assistance during the conference call, please signal an operator by pressing star then zero on your touch-tone telephone. Please note that this conference is being recorded. I now hand the conference over to Mr. Srinivasan Vaithyanathan, Chief Financial Officer, HDFC Bank. Thank you and over to you, sir.

Okay. Thank you, Stephen. I appreciate all of you calling in today. Apologize for the five-minute delay. People are still getting in, but we will get going. I do want to start to use this time to start with some environmental context to how we operated in the recent quarter. That gives you a good backdrop of what some of those results are. You know that in 4Q, the high frequency data remained robust, right? For the most part, certainly for the early part, it was quite robust as we saw. particularly the consumer durables, the production, good growth, six odd percent, reflecting that the consumption demand was holding up. The PMI 57.5 in February, 57.7 in January, more or less similar kind of levels, right? While the tractor sales were slower in February, the overall auto sales recorded quite a good growth at six odd percent year on year. Both the two-wheeler and passenger vehicles contributed to that. Double-digit exports and power generation augurs well. Record GST collection, 1.2 trillion rupees. That's also great. Those were all case for building a positive growth rate. So that's why our house view has been and is that the GDP growth in the quarter that ended is perhaps at 1.5% here on your growth. which will make the full year at about contract by seven and a half percent or so. Then getting to the RBA policy was more dovish than expected, recognizing the risks associated with the rising infection cases in the country and continuing to support the growth, several measures to keep the liquidity in surplus, extension measures like the ONTAP TLTRO Those were supportive measures that are helping. While the pandemic situation and vaccination drive are expected to be critical factors for economic recovery, we do expect our House views that India will be one of the fastest growing economies in the world in FY22. and reach the pre-pandemic level, which is 2019 levels, by end of the current calendar year. Of course, we need to watch out for anything to do with the pandemic and the vaccination, how it progresses, but assuming they're all progressing, that's where the growth is coming from. The resurgence of COVID cases across the country presents some uncertainty, but we'll talk more as we go along in selective micro-segments more than broad-based. Coming to the Q4, equity capital markets, we saw positive trends driven by global liquidity. Compared to the prior quarter, private issuers raised approximately 25,900 crores, a mix of IPOs, rights, and QIPs, and approximately 44,000 crores via block deals. Retail participation in IPOs have been strong during this quarter. The equity fundraising pipeline both in public and private markets continues to be robust. During the quarter, we mandated four IPOs, including two IPOs where we were appointed as left-lead merchant backers. On the debt capital market, Indian debt capital markets are a slow start in Q4. The market took a breather after heavy issuances in the year till date. Market yield showed some sign of hardening. Q4 saw a fund raise of about Rs. 2.24 lakh crore, which was marginally lower than prior year and prior quarter. About 1% to 3% was lower. Our bank improved its ranking to second place amongst arrangers for INR bonds in FY 2021, from third place in FY 2020. Our market share during Q4 was about 15.5% or so. Thanks. Now talking about our partnership in the CSC, in the semi-urban and rural strategy, as of March 31st, we signed up approximately 1.67 lakhs village-level entrepreneurs, of which 1.12 lakhs are onboarded as business facilitators, and about 15,565 as business correspondents. expanding our distribution in some form, right? Non-branch form as business correspondence. The BCs are not only executing financial transactions through the use of other enabled payment system, which works on biometric authentication, but are also enabled to sell multiple products, including CASA, fixed deposit, different type of loans. We have recently enabled our BCs with the EMI collection facility in selected cases. On the healthcare initiative, which we have talked over the last, quarter and a half or so, we started reaching out to 500 large hospitals in the country to provide patient finance from their counters, including providing VMI facility on credit card and debit card. We have activated 37 hospitals and customers are appreciating access to funding at hospitals. On the retail branch front, During the quarter, we have opened about 2 million new liability relationships and about 7 million liability relationships during this year, FY21. The bank has successfully acquired a little more than 2.5 million corporate salary customers during this year. Personalized link for account opening has been started for each corporate which is yielding good results. Also, unique bulk account opening process has been launched for large corporates which make it very easy to open large number of accounts by reducing manual interventions. A new approach towards customer engagement was put in place in Q4. The concept is that before every customer engagement, the RM is checking about service-led next best action for a meaningful engagement and furtherance of business. On the digital, to ensure seamless KYC process complementing the digital CASA acquisition, the video KYC delivered good results. The highlight of this process is the seamless less than five minute journey for the customer to fulfill the entire KYC. The video KYC will serve both the liability and asset acquisition of the bank. On the payment side, issuing spends continued to show progress that we made in the previous quarter. Previous quarter, as you remember, is a big festive quarter. Now coming to January to March, it continued to progress. There was some revival in the previously dormant merchant category course like the air travel, et cetera, that was coming back, but that pushed some spends up. We are also seeing good spend growth in categories like business cards for SME where digitization has helped in awareness building and more spends on cards. We are working on summer treats, which is currently the program is on, which is our platform to bring consumers and merchants. consumers and merchants together to motivate spends on key customer segments. Spends such as electronics, daily grocery needs, online spends will be the key focus in the Summer Treat program. We're showing the trends in the acquiring business with increased digitalization prompting merchants to accept more spends across cards, UPI, and wallets. Bank strategy of offering one box acquiring solution coupled with business value add such as customer marketing tools for merchants, the CASA facility, merchant loyalty, digitization for home delivery, et cetera, have helped to target entire business of merchant coupled with current account balances. On the asset retail asset front, the momentum picked up during, picked up what we observed in Q3, continued its stride in Q4 as well, with disbursals registering a 21% year-on-year growth and a 6% growth sequentially. As we go along, Arund will give more color on what's happening on the ground on the retail assets front. Wholesale business across large, mid, and SME performed as pre-COVID levels. Growth in mid-sized corporates and SME was particularly robust, aided by new-to-bank customer acquisition, deeper geographical penetration, and higher utilization. Corporate banking saw a lower year-on-year growth due to higher base effect. Large prepayments as a result of surplus corporate cash flows, general deleveraging sentiment, reduction in corporate liquidity buffers that was built up in the first half. The bank continued its progress in gaining market share due to diligent adherence of sales process, and we'll have Rahul give more color, exactly a little more detail on what's going on on those fronts, right? Collection, the bank continued to remain sensitive to customers' needs, providing customers clarity on their options under the relief packages announced by RBI and supporting them through the processes to avail the same. The bank resolution rates, both in the front end and mid buckets, will be discussed in detail by Jimmy in a short while. On the society and community, The bank spent 2% of the average profits after tax for the past three years towards the various projects undertaken as part of our community initiatives under CSR. While we continue to support areas of financial literacy and inclusion, health and sanitation, education and rural development, we plan to substantially increase our focus on livelihoods and skilling. We have initiated a multi-year project impacting the livelihoods of close to 3 lakh farmers. Additionally, we'll be creating over 42,000 skilled entrepreneurs Promoting education, our intervention expansion is to include additional 25 lakh children in an endeavor to improve learning level outcomes, reduce dropouts rates, enhance retention, and enrollment rates in formal education. Now let's talk about certain balance sheet strength before we dive into the P&L. Franchise building continued, as I mentioned, in terms of bringing the customers in. Persistent focus on deposits, bringing new customer relationship, gained market share across the board. Liquidity is consistently strong, reflected in our average LCR ratio for the quarter at approximately 138%, little more than 80,000 crores of surplus, approximately $11 billion, considering 110% LCR as a floor. Capital adequacy at 18.8%, We have 7.7 percentage point more capital than regulatory minimum of 11.075. Our CET1 at 16.9 is 9.3 percentage point more than the regulatory minimum of 7.57. The balance sheet remains resilient. So floating and contingent provisions totaling to 7,300 crores built over a period of time helps in de-risking the balance sheet. We continue to originate loans in conformity with our proven credit models. As I said, we'll cover more on credit as we go, so I wouldn't cover here now. Now getting on to net revenues, which grew by 16.4% to 24,714 crores, driven by advances growth of 14% and deposit growth of 16%. Net interest income for the quarter was at 17,120 crores, up 12.6% over previous year, and grew by 4.9% over previous quarter. For the quarter, the core net interest margin was at 4.2%. Prior year was at 4.3%, and prior quarter was also at 4.2%. As mentioned earlier, the bank's average liquidity coverage ratio was 138%. The excess liquidity position of the bank impacts current NIM call it 10 to 15 basis points or so. This drag was offset by monetizing some of the investments in the form of trading gains, which we have described in the past quarters too. That's how it's part of the ALCO strategy, we have managed that. Moving on to other income, total other income at 7,594 crore was up 25.9% versus prior year and 2% versus prior quarter. Fees and commission income constituting about two thirds of other income was at 5,023 crore grew by 19.6% compared to prior year and 1% compared to prior quarter. Retail constitutes approximately 94% and wholesale constitutes 6% of the fees and commission income. FX and derivatives income at 879 crore was higher than prior year and prior quarter of 501 and 562 crores respectively, reflecting pickup in activities both sequentially and year on year. Our trading income was at 655 crores for the quarter. Some of the gains from excess equity investments were monetized in line with our ALCO strategy. Other miscellaneous income, 1036 crores includes recoveries and dividends from subsidiaries. On the operating expenses for the quarter, which is at 9,181 crores, an increase of 11% or so versus prior year. During the year, we added 354 branches which is approximately one branch per day, and added 123 branches during the quarter. Since last year, we have added 1,100 ATMs, cash deposits, and withdrawal machines, and 546 during the quarter. We have 15,556 business correspondence managed by common service centers, including 2,054 open during the quarter. During the financial year 2021, we added 10,177 business correspondence. The start count increased by 3,100 during the last 12 months and is at 1,20,093. Cost to income ratio for the quarter was at 37%. We anticipate the spend levels to increase driven by sales, promotional activities, discretionary spends and investments. As we have said in the past, the cost to income ratio will be reverting to a recent trend of 38, 39 in the short run as the activity volume picks up and we make some investments. while our goal remains to bring it down in the medium term to longer term. Moving on to PPOP, the pre-provision operating profit at 15,533 crores grew by 19.9% over prior year. Coming to asset quality, last quarter we mentioned about the Supreme Court passing an interim order stating that those accounts that had not been declared NPA till August 31 should not be declared as an NPA until further orders. The interim order granted not to declare was vacated on March 23rd. Further to that, RBI on April 7th issued a circular in this connection whereby directing the banks to continue with the asset classification of borrower accounts as per extant RBI instructions and IRAC norms. The bank has completed the said directive of asset classification. The bank had estimated potential NPAs which were identified and reported during the previous two quarters on a pro forma basis. These pro forma basis NPAs have now been reported as NPAs. As we had mentioned, the bank had created contingent provisions of approximately 3,600 crores towards those pro forma NPAs that has now been utilized against the specific provisions for these NPAs. The bank holds provisions as of 31st March 21 against the potential impact of COVID-19 based on the information available at this point in time. The core annualized slippage ratio for the current quarter is at 1.66. as against 1.86 on a pro forma basis in the prior quarter and 1.2 in the prior year. GNPA ratio was at 1.32 of gross advances compared to 1.38 in the prior quarter and 1.26 in the prior year. GNPA ratio excluding NPAs in the agriculture segment was at 1.2. Prior quarter was also at 1.2 on a pro forma basis and prior year was at 1.1. Net NPA ratio at 0.4% of net advances Preceding quarter was also at 0.4 on a pro forma basis and prior year was at 0.36. Restructuring under the RBI resolution framework for COVID-19 was approximately 60 basis points. Provision, the core specific loan loss provisions for the quarter were 3,153 crore as against 3,170 crore on a pro forma basis during the prior quarter and 1,918 crore for prior year. The specific loan loss provisions reported were 6,762 crores for the quarter. As mentioned earlier, this includes approximately 3,600 crores of pro forma specific provisions of prior quarters, which has no effect on P&L as the contingent provisions that were created against this pro forma was adjusted to that. Total provisions reported were 4,694 crores. against 3,414 crore during the prior quarter and 3,784 crore for the prior year. Total provisions in the current quarter included additional contingent provisions of approximately 1,300 crore. Included here is approximately 500 crores for interest on interest provisions, which is being worked with IBA to standardize the computation across the system. The reported specific provision coverage ratio was 70% as against 71% pro forma in the prior quarter and 72% in the prior year. There are no technical write-offs. Head office branch books are integrated. At the end of current quarter, contingent provision towards loans were approximately 5,900 crores. The bank's floating provisions remained at 1,450 crores as of March end. General provisions were 5,300 crores. As on March quarter end, the total provisions comprising specific floating contingent and general were 153% of gross non-performing loans. This is in addition to the security held as collateral in several of the cases. Coming to the credit cost ratios, the core credit cost ratio, that is the specific loss ratio, is at 1.10 for the quarter, as against 1.16 on a performer basis for prior quarter, and 0.77 for the prior year. As you are aware, recoveries are in miscellaneous income. The recoveries amounted to 25 basis points of gross advances for the quarter against 24 basis points that we recovered prior quarter and 21 basis points in the prior year. The total credit cost ratio for the quarter annualized, including contingent provision created, was at 1.64 as against 1.51 in prior year and 1.25 in prior quarter. The reported profit before tax at 10,839 crores grew by 18.1% over prior year. Net profit for the quarter at 8,187 crores grew by 18.2% over prior year. Net profit for the year ended March 31, that's the full year, was at 31,117 crores, up 18.5% over prior year. Some balance sheet items, total deposits amounted to, 13,35,060 crores, an increase of 16.3% over prior year and up 5% over prior quarter, which is an addition of approximately 64,000 crores in the quarter and approximately 1,88,000 crores since prior year. Retail constituted about 80% of total deposits. CASA deposits grew by 27% ending the quarter at 6,15,682 crores with savings account deposits at 4,03,500 crore and current account deposits at 2,12,182 crore stemming from our enduring focus on granular deposits. CASA deposit also registered a robust sequential growth at about 12%, 12.6%. Time deposit at 7,19,378 crore grew by 8.5% over previous year and margin rate declined minus 0.7% over prior quarter. CASA deposits comprised 46% of total deposits. Credit deposit ratio was at 85% for the current quarter against 87% in prior year. Now advances, 11,32,837 crores, an increase of 14% over prior year and a sequential growth of 4.7%. This is an addition of approximately 51,000 crores in the quarter and about 1,39,000 crores since prior year. Retail advances on a Basel basis grew by 6.8% year-on-year and sequentially grew by 4.5%. And wholesale advances, again, on a Basel basis grew by 21% year-on-year and 5.2% sequentially. Getting on to capital ratios, capital adequacy, the total capital adequacy ratios for Basel III guidelines stood at 18.8% as against regulatory requirement of 11.075. Prior year was at 18.5%. Tier 1 capital adequacy was at 17.6% as compared to 17.2% in prior year. CET1 capital stood at 16.9% compared to 16.4% in prior year. Now let's get on some highlights on HDB financial services under IGAP, which are made for consolidation of the bank. The supply-side shocks have impacted the livelihood of self-employed segment that HDBFS caters to. Throughout the past year, HDB Financial Services has made provisions and taken elevated credit costs while ensuring the new business return was through tighter credit filters. The company has seen its business and collection reach pre-COVID level in Q4. Disbursements for Q4 were up 15% over Q3 and 32% over Q4 of last year, which had an impact of, first impact of the lockdown then. All business line continued their growth momentum with secured business of lap and vehicle segment, providing the largest contribution to sequential growth. STB Financial Services will manage growth depending upon how environment plays going forward, and they have large distribution footprint, 1,319 branches, will allow to pick and accelerate growth according to opportunities. The AUM reached 61,358 growth, Net interest income for the quarter at 1,252 crore, a growth of 15.4% over Q4 last year, while sequential growth was at 23.9%, driven by favorable product mix, lower cost of funds. PPOP for Q4 was at 989 crore, growing 20% over previous year and 32% sequentially. Provisions for the current quarter were 613 crores, Core credit costs in Q4 has reached pre-COVID levels, so the credit reserves going forward were warranted. This is a good opportunity to build, were warranted, particularly if the outlook remains uncertain then. For the quarter, HDBFS had profit of 284 crore, and for the full year, profit was 502 crores. As of March end, the gross NPA as per the NBFC recognition methodology was at 3.9% as against 3.5% as of last year, March, and 5.9% on a pro forma basis prior quarter. SEBFS has adequate liquidity. LCR is at 265% and is able to borrow at attractive rates coupled with strong capital position of 19% that are well positioned for market opportunities. Now, coming back to the bank. At the outset, let me talk about the outage. You have some details about the November 18, December 19, November 20 outage incidents. I will not go into detail again. However, a couple of minutes on a recent incident of March 30. It was an intermittent issue on net and mobile banking that occurred due to a server hardware component failure and had no correlation with any capacity issues. On net banking, mobile banking, quite a few users close their browsers or quit their app without logging out. The backend system monitors this and clears the inactive sessions periodically. The hardware failure impacted the session clearance. However, the minute inactive sessions were cleared, a fresh set of users were able to log in. Substantial number of customers were able to carry out their transactions despite impairment on that particular day. We continue to make good progress on our plans, short, medium, long term. addressing various matters. Like many other things, we set higher standards. It broadly covers the areas of security enhancements, disaster recovery, resiliency, optimizing both recovery time and the recovery point, automation of orchestration, obsolescence management, including consolidation of data centers, infrastructure scalability like the cloud strategy, Application network monitoring tools, right? These are some of the focus areas that we are working on, right? The audit by independent third party is in the final stages, and we'll update further as we get to know more from the regulators. In the meantime, we continue to focus on the design and development. It's an ongoing process, as you know, working with various partners. We continue to build capabilities in the area of core systems to keep it stable, always on and scalable. by partnering with OEMs, like Oracle as an example, and draw their expertise given our landscape of applications. We are also working on migration to cloud for resiliency. Expose the functions and data services from core through APIs, microservices, and data exchanges by partnering with major tech companies. Building customer-friendly experience on cloud-native engagement platforms We are leveraging data and AAML for personalization, underwriting, risk and fraud control, and analytics. We are also building new muscle and infusing new talent to execute these strategies by establishing a digital factory. Now, on another front, which is the cards front. All of you know that the cards lifecycle management to mature takes a couple of years. The stages on cards management, sourcing, onboarding, activation, engagement, deepening, etc. Investments are continuously made in increasing spend depth and width, revolve behaviors, product updates, line enhancements, loan on cards, etc. The impact of the non-issuance of cards on new employees in corporates, new corporates, onboarding, etc. This loss of new customers can normally be made up within a few quarters of stoppage being lifted since the bank continues to source liability customers who will be pre-approved. About three-fourths of our sourcing comes from existing customers of the bank. In the meantime, the focus of all the channels and feet on street is on engaging with the existing card customers, which is dormant or inactive to resuscitate them. This way portfolio activations and card dynamics are up, improving portfolio quality and increasing downstream activity. In summary, we are proud of our staff who have intensely managed customer relationship in executing our strategy by delivering quality services despite complex environment, pandemic situation throughout the year. Our results reflect robustness across various parameters, deposit growth of 16%, advances growth 14%, operating profit growth 20%, profit after tax increased by 18%, delivering the return on asset of about 2%. With that, Jimmy, you want to give some color on some of those credit and market dynamics? Sure.

Hi, everyone. Good evening. I'll first just take up the wholesale and SME portfolios from the risk perspective. Then I'll just hand over to Rahul who will take you through the forward-looking business vision on that front. And I'll come back a little later to talk on the retail before handing it over to Arvind for the same. So on the wholesale, Business is, frankly, a rather boring report from my side. It's all pretty much the same and no changes in any way. So we, once again, I think I've mentioned enough about our HDB rating scale, which we trust in and has served us very well. It's a 1 to 10 scale. 1 is best, 10 is worst. 7 is the threshold for investment grade. So I'm just looking at the incremental portfolio initially, and the average rating of the incremental portfolio is a 4.24. And we have, I must say when I put all these in that there is, I don't know if it sounds right saying it this way, but there is considerable scope for deterioration in this score before we even get below a AA kind of average portfolio rating. So just to put that in perspective. The externally rated portfolio, and this will probably give all of you all a better idea. So from the incremental portfolio, the externally rated portion of it, 62% of that is rated AA and above, and that is rated much more in favor of AAA than AA. and if i move now into the static portfolio the static portfolio has an average rating of 4.33 if you look at the outstanding advances and a 4.22 if you look at the actual exposure sanctioned but it's better to look at the outstanding advances because that's the real risk on the book at that point of time so i take the conservative number The weighted average rating of the top 20 borrowers of the bank is 2.92. So the large exposures are definitely better rated than the average portfolio. The unsecured exposure, because this is often a question that you ask, has an average rating of 3.36, if you compare that to the average a secured book which has an average rating of 4.57. This just reflects the extreme caution that we exercise before we take any unsecured exposure because we do understand and recognize the incipient risk in such an exposure. So that's pretty much where we stand. We had a pretty good quarter when it comes to the wholesale bank. NPAs were really small and a good chunk of the NPAs actually are being booked right now because they are part of the COVID resolution, which as soon as the resolution is put into effect will be upgraded as standard requirements. If I move on to Is there anything more for me to tell you here? No, except that the higher grades, the HDBs 1 to 4 have seen better growth, but I think that is kind of obvious if you looked at the incremental and the stock book portfolios. So I'll just move into the SME book right now, which is of interest to many more. In the December to March period, and let me add December into this because it's been four months of The return of cash flows into our accounts is, you know, we run the book on a very holistic basis. We don't just give loans. We look at holistic banking. We rely a lot on the cash flows of the companies and those cash flows are coming back in a reasonably good and healthy way. So that's something that we have seen across the ground. The resumption in these cash flows has also been beneficial to the 30 plus book of the bank which has come down. The bulk of the 30 plus reduction has been through repayments. A very small part has been through the COVID restructuring. On the restructured accounts, the COVID restructured accounts, not very large. There was around 550 odd crores. But I must mention that of this 550 odd crores, a little over 200, somewhere between 200 and 250, were actually in some form of delinquency at the time of restructuring. So a lot of it was precautionary. The approach we had to the restructuring was given the circumstances in which we find ourselves in, all of us in these circumstances. So then there was a requirement earlier on that someone had to demonstrate that he needed it and he was in distress, etc. We were obviously following that, but as soon as it got opened up and it was allowed on request, we were much more forthcoming in permitting the restructuring and that's pretty much reflected in the fact that a very large chunk of it is not delinquent at this point in time. I must also mention to the credit of a lot of our clients, that several of them who we thought we might want to restructure actually refused and assured us that they will be paying us back because they did not want the tag of being restructured. So rather heartening in a way. Moving on to industry granularity. Again, nothing to report, pretty mundane. It's pretty much where we've always been. Apart from agriculture, which is directed lending, everyone is below 5%. By the time you hit the 10th odd industry, you're at around 3.5% or so. So the portfolio is genuinely very, very granular. And it's always been that way, and it remains that way. If I look on the delinquency trend, we are now Either if you look at very early, which is a 7 plus, which we measure, or a 15, 30, 60, all these levels are virtually back to where they were pre-COVID. So the 7 plus is maybe around 10 to 15 basis points away from that level. And the 60 plus is barely 5. It's less than five basis points away from that level. So we're pretty much back to where we were in that front. Moving on to the, I'm not getting into the numbers of non-performing assets, but we have frankly had a good quarter. I think Srini looked at the numbers on that front. So it has gone better for us than it was previously if you look on a YOY position as well. The two three metrics that I always mentioned to you, which we rely on as indicators, the self funding ratio of the promoters, which again I emphasize is not security, but it is reflective of their wealth and liquidity. That has held up now for well over a year. The entire year of COVID, we've not had any appreciable change. It's been a couple of percent this way, that way. Not much more to say on that front, frankly. The wealth of the promoters is holding up, and in this segment, in the SME segment, it is demonstrated, and we always expect that they will bring their money in to fund the business whenever the need arises, so that is a comfort to us. The collateral coverage, again, at a portfolio level, holding up very well. between 80% to 85% covered with collateral. This is over and above the current asset security that we anyway hold. The current asset covers the portfolio completely. I'm here talking of incremental real estate collateral, which is usually the office or the residence of the promoter in question. This 86 is again on a conservative basis, assuming full drawdowns. If you look at it basis, the outstanding, the coverage is actually in excess of 100% at this point of time. Just to put out that the flows have come back, they actually started coming back in around October, which is actually, if you look at it, is as soon as the moratoriums, et cetera, got lifted. That's when they started coming back, and they have been coming back in good measure since then. One more thing that we have done recently, just to corroborate that our views on the flows are all right and genuine, ran the increase or decrease in flows along with the GST collections of the country. And we found that there is a considerable correlation between the two. Only I would say maybe in the quarter from Jan to now, maybe our collections have a little bit bucked the trend in the positive direction. The GST collections dipped a bit, but our collections pretty much held up at the same level. But that's not much to talk about. I think the correlation is a great comfort to us that the flows that are coming in are genuine revenue generation by these people and they're not some capital inflows or something like that. So our measurements are not off track. So all this is good. While I'm saying all this, one has to now consider that we are into a second wave when you look at the medical condition. Has not yet impacted the financial system the way one may expect. At least let us, if you look at it, the medical condition versus the financial condition in the first wave and the second wave, I think the gap is much wider in the second wave. The financial condition has not yet deteriorated to that extent. Lockdowns have been Sporadic, localized, most restrictions are in benign times for economic activity like weekends and nighttime. Manufacturing has been allowed to continue. Logistics and transportation has been allowed to continue. So it has been a muted level of strictures. Up to this point in time, this can change. We don't know. This point of time is all I can speak about. I think we should also mention that wherever strictures have been imposed, the observance as well as the enforcement has not been as strict as it was the last time around. I think we should put this caveat out, basis everything that we are saying at this moment in time. That said, at this point in time, our behavioral scores on our SME portfolio also show that we have a higher level of the portfolio in the better scores than we previously had, etc., etc. With that one caveat, things at this point in time are moving along. Quick thing on the ECLGS. ECLGS 1, as all of you know, we were among the prominent banks to be disbursing this amount. I must emphasize once more because I think some confusion arose a couple of quarters back as to whether EC-LGS disbursements should be equated with stress. At least in EC-LGS 1, they should not because it was universally available to anybody who met certain criteria of having a particular level of exposure, being an SME, and not being delinquent beyond a particular level prior to the February date. So in EC-LGS-1, it does not count. EC-LGS-2 and 3, one might say that it was explicitly for the committee's test sector. EC-LGS-3 further for certain test sectors. A bit of liberalization very recently. I think yesterday or day before, allowing a higher level of DPD to avail the EC-LGS 2 or 3, but frankly, we have not done very much over there because we don't have very much in these sectors. So it's been quite low for us and will remain so. If you don't have the exposure in the stress sectors, you won't be giving the EC-LGS for those sectors. So that's about it on the EC-LGS. I think that's pretty much what I have to say. So Raul, why don't you come in here?