Jm Financial Limited · NSE:JMFINANCIL
Jm Financial — Investor Presentation (May 2019)
26 slides from Jm Financial's investor presentation, May 3, 2019
Slide 1: Exchange filing cover letter: Corporate Presentation
jJM FINANCIAL May 3, 2019 BSELimited National Stock Exchange of IndiaLimited Department of Corporate Services Exchange Plaza I st Floor, New Trading Ring Plot No.C-1, G Block Rotunda Building, P J Towers Bandra-Kurla Complex Dalal Street, Fort, Bandra ( East) Mumbai 400001 Mumbai-400 051 Security Co
Slide 2: JM Financial Asset Reconstruction Company Limited (JMFARC) Corporate Presentation
JM Financial Asset Reconstruction Company Limited (JMFARC) Corporate Presentation May 2019
Slide 3: Safe Harbour
Safe Harbour This presentation and the following discussion may contain “forward looking statements” by JM Financial Asset Reconstruction Company Limited (“JMFARC”) that are not historical in nature. These forward looking statements, which may include statements relating to future results of operati
Slide 4: Business Highlights
Business Highlights • JMFARC is the 3rd largest capitalised ARC with net worth of Rs. 1,265 Crore (as on March 31, 2019) Strong Balance Sheet • JM Financial Ltd is the holding company with 59.25% holding, balance equity held by Banks, HNIs & FII and Strong Sponsors • 79.25% stake is held by Sponsors
Slide 5: JMFARC Overview
JMFARC Overview Aim FINANCIAL
Slide 6: Summary of Assets Acquired & Outstanding
Summary of Assets Acquired & Outstanding as on March 31, 2019 Assets Acquired (Gross) & Security Receipts Outstanding • Acquired financial assets of Rs. 37,258 Crore (Total dues) • Total Acquisition Cost Rs. 16,641 Crore, acquired in 175 trusts from 71 Banks/FIs/NBFCs • Contribution by JMFARC in acq
Slide 7: Resolution and Recoveries
Resolution and Recoveries Cumulative recovery till March 31, 2019 • Capital / Business restructuring as required Rs. 4,598 Crore • Right sizing of Debt • Conversion of Debt to Equity Resolution • Additional financing for Working Capital / Growth Capital Strategy • Sale of Core / Non-Core Assets Poss
Slide 8: Accounting for JMFARC
Accounting for JMFARC Accounting • Accounting within the framework of IND AS issued by MCA Framework • Main items of revenue - Management Fees, Interest and Upside/ Profit • The recognition of revenue is as per the terms of the contract of specific trusts Revenue Recognition • Management Fees is cha
Slide 9: JMFARC Financial Performance
JMFARC Financial Performance Last 6 years trend Total Income AUM (Rs Crore) (Rs Crore) 600 560 16,000 14044 12965 500 11874 387 12,000 400 9821 319 8398 300 8,000 214 224 200 3646 120 4,000 100 0 0 2014 2015 2016 2017 2018 2019 2014 2015 2016 2017 2018 2019 Profit Before Tax Profit After Tax (Rs Cro
Slide 10: JMFARC Financial Performance
JMFARC Financial Performance Last 6 years Trend Networth Total Borrowings (Rs Crore) (Rs Crore) 1,400 1,265 3,000 1,200 2,440 2,500 967 1,000 2,000 800 1,500 1,351 580 1,163 600 525 1,130 417 330 1,000 765 400 500 346 200 0 0 2014 2015 2016 2017 2018 2019 2014 2015 2016 2017 2018 2019 Debt Equity RO
Slide 11: Liability Profile and Credit Rating
Liability Profile and Credit Rating Credit Rating Bank Loan of Rs. 1,000 Crore ICRA & CARE AA- (Stable) Non Convertible Debentures of Rs. 2,000 Crore ICRA & CARE AA- (Stable) Commercial Paper of Rs.1,500 Crore ICRA & CARE A1+ Market Linked Debentures of Rs.300 Crore ICRA PP-MLD [ICRA]AA-(Stable) Lia
Slide 12: Select Case Studies - Acquisitions
Annexure 1 Select Case Studies - Acquisitions 10
Slide 13: Project Textile
Project Textile • Company is a vertically integrated textile company engaged in the manufacturing and sale of a wide range of fabrics and garments from its production facilities spread across the country. Company • The Company manufactures a wide variety of fabrics and garments through 13 manufactur
Slide 14: Project Pharma
Project Pharma • Engaged in the manufacturing and sale of Intermediates and Active Pharmaceutical Ingredient (APIs). Also engaged in contract Company manufacturing Overview • Has 8 manufacturing facilities including 2 USFDA approved plants. • Good product portfolio which includes 65+ APIs and 55+ In
Slide 15: Project Pan India
Project Pan India • Among the largest real estate developer in development of residential and commercial complexes across India Company • Group has delivered ~30 million sqft while it had more than 32 million sqft in various stages of development Overview • Acquired dues of 13 projects with saleable
Slide 16: Project Hospitality
Project Hospitality • Leading player in the luxury hotels segment in India Company Overview • Owns & operates luxury 5-star hotels across India (5 owned hotels – Mumbai, Delhi, Chennai, Udaipur and Bangalore; and 4 managed hotels at Gurgaon, Kovalam, Goa, Shahdara) ARC • Acquired 96% of the debt res
Slide 17: Project Ceramics
Project Ceramics Company • Premium brand in India engaged in manufacturing of tiles (ceramic and vitrified), processing and refining of marbles Overview • Tile manufacturing units located at Alibaug and Morbi, and marble processing unit at Silvassa with non-core real estate assets ARC • Acquired 99%
Slide 18: Select Case Studies – Closed/Exited Accounts
Annexure 2 Select Case Studies – Closed/Exited Accounts 16
Slide 19: Select Case Studies
Select Case Studies Project Resin Project Retail Company • Engaged in manufacturing and trading of resins • Acquisition of 3.76 lakh Personal Loan & Credit Cards accounts spread across 24 Background • Non-operational unit locations • Price expectation mismatch between bank and JMFARC for • Establish
Slide 20: Select Case Studies (cont’d)
Select Case Studies (cont’d) Project Poultry Project Paint • Integrated poultry breeder located in Western India • Promoter having more than 45 years of experience in the • Engaged in manufacturing of paints Company business • Plants located at Rajasthan, Maharashtra & Tamil Nadu and windmills at Sa
Slide 21: Select Case Studies (cont’d)
Select Case Studies (cont’d) Project Metal Project Real Estate • Operating in a niche industry - Engaged in production of minor metal oxides which are used for making carbide grade tool • Engaged in the development of Real Estate Projects. Company steel, electronic and optical applications Backgroun
Slide 22: Corporate Details
Annexure 3 Corporate Details 20
Slide 23: Board of Directors & Shareholders
Board of Directors & Shareholders Board of Directors Mr. V. P. Shetty Chairman Public sector Banks* 12.33% Mr. Narotam Sekhsaria Sponsor Director Valiant Mauritius Partners FDI Mr. G. M. Ramamurthy Independent Director Limited 8.42% JM Financial Limited* Radhakrishna Mr. Pulkit Sekhsaria Sponsor Dir
Slide 24: Profile of Board of Directors (1/3)
Profile of Board of Directors (1/3) • Banking experience of 40 years. • Commerce Graduate and holds a CAIIB degree • CMD of UCO Bank, Canara Bank and IDBI Bank. Mr. V. P. Shetty • Chaired the CDR Core Group meetings. • Recipient of "Banker of the Year – 2003“. • Currently also Chairman of JM Financi
Slide 25: Profile of Board of Directors (2/3)
Profile of Board of Directors (2/3) • Eminent Chartered Accountant and has over 3 decades of experience in finance. • Group Director & CFO in IDFC alternatives business for a decade. Ms. Rupa Vora • Associated with Antwerp Diamond Bank NV as CFO. • Associated with KBC Bank NV as Financial Controller
Slide 26: Profile of Board of Directors (3/3)
Profile of Board of Directors (3/3) • Mr. Mathur joined the Indian Police Service in 1981. He retired a few months ago from Director General of Police, Maharashtra, holding the apex post for nearly 2 years. • In his long public service of nearly 37 years, he held various sensitive and challenging as