Repco Home Finance Ltd. · NSE:REPCOHOME
Repco Home Finance — Q4 FY20 Earnings Presentation
30 slides from Repco Home Finance's earnings presentation, Jul 23, 2020
Slide 1: Repco Home Finance exchange filing cover letter
Repco Home Finance REPCO HOME FINANCE LIMITED. (Promoted by Repco Bank-Govt. of India Enterprise) ON: L65922TN2000PLC044655 RHFL/SE/16/2020-21 July 23,2020 The BSE Ltd, The National Stock Exchange of India Ltd, Phiroze Jeejeebhoy Towers, Exchange Plaza, C-1, Block G, 26th Floor, Dalai Street, Bandra
Slide 2: Earnings Presentation Q4FY20
Repco Home Finance Limited Earnings Presentation Q4FY20 www.repcohome.com Earnings Presentation July 2020
Slide 3: Agenda
Agenda Repco Home Finance Limited Q4FY20 Performance ► Business summary…………………………………………….……. ► Financial performance…………………………… ► Borrowing profile………………..……………….…………………. Geographic Presence ► Footprint.……………………………………………….. ► Region-wise loan book.………………………………………….… Annexure Earnings Presentat
Slide 4: Q4FY20 Performance
Repco Home Finance Limited Q4FY20 Performance Earnings Presentation July 2020
Slide 5: Business Summary
Business Summary Repco Home Finance Limited • Loans outstanding (Mar 31, 2020) Rs. 1,18,261 mn • Net worth (Mar 31, 2020) Rs. 16,707 mn • Tier 1 capital adequacy ratio 25.9% • Average loan per unit Rs. 1.5 mn • Number of live accounts 99,878 • Current employee Strength 994 • Stage 3 EAD (%) (Mar 31,
Slide 6: Impact of Covid-19
Impact of Covid-19 Repco Home Finance Limited 1. The company could not do much lending for between March 2020 and July 2020 from our about two months starting the mid of March 2020. regulator and leading banks at competitive rate 2. The company restarted operations gradually from of interest. the la
Slide 7: Q4FY20 performance
Q4FY20 performance Repco Home Finance Limited Figures in Rs million Total income Net interest income Pre-provisioning profit Q4FY20 3,461 1,379 1,092 12% 19% 23% Q4FY19 3,081 1,164 890 TN & Pondicherry book Rest of India book Overall loan book Q4FY20 67,234 51,171 1,18,261 6% 9% 7% Q4FY19 63,567 46,
Slide 8: Asset book
Asset book Repco Home Finance Limited Figures in Rs million Sanctions and disbursements Loan Book 38,000 1,40,000 33,700 33,000 1,18,261 30,918 1,20,000 1,10,368 27,578 28,000 26,269 1,00,000 23,000 80,000 18,000 13,000 60,000 8,000 40,000 3,000 20,000 FY19 FY20 Mar'19 Mar'20 Sanctions Disbursements
Slide 9: Income and earnings growth
Income and earnings growth Repco Home Finance Limited Figures in Rs million Total income Net interest income 5,500 5,205 16,000 13,511 4,693 14,000 11,952 4,500 12,000 10,000 3,500 8,000 6,000 2,500 4,000 1,500 2,000 - 500 FY19 FY20 FY19 FY20 Net profit Net worth 3,000 19,000 2,804 16,707 17,000 2,5
Slide 10: Operating cost
Operating cost Repco Home Finance Limited Figures in Rs million Employee cost Other opex 700 664 585 450 399 401 600 400 500 350 300 400 250 300 200 150 200 100 100 50 0 0 FY19 FY20 FY19 FY20 Cost to income ratio 21.0% 20.5% 20.0% 15.0% 10.0% 5.0% 0.0% FY19 FY20 9 Earnings Presentation July 2020
Slide 11: Profitability ratios
Profitability ratios Repco Home Finance Limited Net interest margin Spread 3.2% 3.1% 3.1% 4.8% 4.5% 4.6% 4.6% 3.0% 4.4% 2.8% 4.2% 4.0% 2.6% 3.8% 2.4% 3.6% 3.4% 2.2% 3.2% 2.0% 3.0% FY19 FY20 FY19 FY20 Return on equity Return on assets 3.0% 20.0% 17.7% 18.0% 2.5% 2.5% 2.2% 15.0% 2.0% 10.0% 1.5% 1.0% 5
Slide 12: Rising ROE and declining leverage
Rising ROE and declining leverage Repco Home Finance Limited 18.5% 7.2 18.2% 7.0 18.0% 6.9 18.0% 17.7% 17.7% 6.8 17.5% 7.0 17.5% 6.6 6.3 17.0% 6.7 6.4 6.4 16.5% 6.2 6.0 6.0 16.0% 16.1% 5.8 15.5% 5.6 15.0% 5.4 FY15 FY16 FY17 FY18 FY19 FY20 Return on equity Debt equity ratio (RHS) 11 Earnings Presenta
Slide 13: Asset quality
Asset quality Repco Home Finance Limited 90+ dpd(%) 5.0% 4.5% 4.2% 4.3% 4.2% 4.2% 4.0% 3.9% 4.0% 3.6% 3.5% 2.9% 3.0% 3.0% 2.5% 2.0% Mar'18 June'18 Sep'18 Dec'18 Mar'19 June'19 Sep'19 Dec'19 Mar'20 Gross NPA 12 Earnings Presentation July 2020
Slide 14: Loan Book - Stagewise
Loan Book - Stagewise Repco Home Finance Limited Figures in Rs million 4.3% Stage-3 3.0% 2.3% Stage-2 12.0% 93.4% Stage-1 85.1% 0.0% 20.0% 40.0% 60.0% 80.0% 100.0% FY20 FY19 FY19 FY20 Stage-1 93,885 1,10,443 Stage-2 13,224 2,702 Stage-3 3,258 5,117 Total 1,10,368 1,18,261 13 Earnings Presentation
Slide 15: ECL Provisioning
ECL Provisioning Repco Home Finance Limited Figures in Rs million Mar'19 Dec'19 Mar'20 Gross Stage 3 3,258 4,896 5,117 % portfolio in Stage 3 3.0% 4.2% 4.3% ECL provision - Stage 3 1,179 1,399 1,830 Net - Stage 3 2,079 3,497 3,287 Coverage ratio - Stage 3 36% 29% 36% Gross Stage 1 & 2 1,07,111 1,11,
Slide 16: Borrowing profile
Borrowing profile Repco Home Finance Limited Figures in Rs million Average % 100% Source (Rs mn) Mar'19 Mar'20 9% 6% cost change 80% National Housing Bank 6.9% 9,036 7,810 -14% 60% 75% 73% Repco Bank 8.3% 7,987 10,604 33% 40% Commercial Banks 8.5% 67,497 75,665 12% 20% 9% 11% 0% 10% 8% NCDs 8.1% 8,2
Slide 17: Change in borrowings (net)
Change in borrowings (net) Repco Home Finance Limited Figures in Rs million 16 Earnings Presentation July 2020
Slide 18: Movement in borrowing cost
Movement in borrowing cost Repco Home Finance Limited 9.00% 8.80% 8.62% 8.60% 8.61% 8.62% 8.59% 8.58% 8.58% 8.60% 8.52% 8.53% 8.52% 8.46% 8.40% 8.37% 8.20% 8.78% 8.74% 8.63% 8.68% 8.00% 8.45% 8.46% 8.44% 8.37% 8.28% 8.22% 8.19% 8.12% 7.80% 7.60% Apr-19 May-19 Jun-19 Jul-19 Aug-19 Sep-19 Oct-19 Nov-1
Slide 19: Geographic Presence
Repco Home Finance Limited Geographic Presence Earnings Presentation July 2020
Slide 20: Footprint
Footprint Repco Home Finance Limited Present in 12 states and 1 Union Territory with 153 branches and 24 satellite centers. Plus 2 asset recovery branches. Entered the State of Rajasthan in FY20. Presence beyond South: branches in West Bengal, Orissa, Maharashtra, Gujarat, Madhya Pradesh & R
Slide 21: Region-wise loan book
Region-wise loan book Repco Home Finance Limited Others, 3.0% Andhra Pradesh, 6.2% Telangana, 4.6% Gujarat, 3.6% Karnataka, 14.1% Tamil Nadu, 55.9% Kerala, 3.3% Maharashtra, 9.2% Annualized Exposure YoY QoQ States Mar'19 Dec'19 Mar'20 growth growth Andhra Pradesh 6.7% 6.4% 6.2% 0% -5% Telangana 4.6%
Slide 22: Annexure
Repco Home Finance Limited Annexure Earnings Presentation July 2020
Slide 23: Shareholding pattern
Shareholding pattern Repco Home Finance Limited % Outstanding shares – 62.6 mn Major non-promoter shareholders shareholding India Capital 7.4% Bodies Resident HDFC Mutual Fund 5.8% Corporate s, 0.7% Individuals Franklin Templeton Mutual Fund 5.5% , 6.4% Aditya Birla Mutual Fund 4.6% DSP Mutual Fund
Slide 24: Profit and loss statement (Standalone)
Profit and loss statement (Standalone) Repco Home Finance Limited Figures in Rs million QOQ (Rs. million) Q4FY20 Q4FY19 YoY (%) Q3FY20 FY20 FY19 YoY (%) (%) Income: Revenue from operations 3,378 3,004 12% 3,320 2% 13,174 11,634 13% Other income 83 77 8% 91 -9% 337 318 6% Total Income 3,461 3,081 12%
Slide 25: Balance Sheet (Standalone)
Balance Sheet (Standalone) Repco Home Finance Limited Figures in Rs million (Rs. million) As on March 31, 2020 As on March 31, 2019 EQUITY AND LIABILITIES: Shareholder's Funds 17,869 15,274 Share Capital 626 626 Reserves and Surplus 17,243 14,648 Financial liabilities 1,01,553 93,656 Debt securities
Slide 26: Relative performance – Q4FY20
Relative performance – Q4FY20 Repco Home Finance Limited Particulars Units Q4FY19 Q4FY20 Sanctions Rs. mn 9,728 6,321 Disbursements Rs. mn 8,781 6,020 Net interest income Rs. mn 1,164 1,379 PAT Rs. mn 515 477 NIM % 4.3 4.7 Yield on assets % 11.4 11.8 Cost of funds % 8.4 8.3 Spread % 3.0 3.5 Return o
Slide 27: Relative performance – FY20
Relative performance – FY20 Repco Home Finance Limited Particulars Units FY19 FY20 Sanctions Rs. mn 33,700 27,578 Disbursements Rs. mn 30,918 26,269 Net interest income Rs. mn 4,693 5,205 PAT Rs. mn 2,346 2,804 NIM % 4.5 4.6 Yield on assets % 11.4 11.7 Cost of funds % 8.3 8.5 Spread % 3.1 3.1 Return
Slide 28: Historical performance at a glance
Historical performance at a glance Repco Home Finance Limited Particulars Units FY15 FY16 FY17 FY18 FY19 FY20 CAGR Loan Book Rs Mn 60,129 76,912 89,399 98,568 1,10,368 1,18,261 14% Home Loans Rs Mn 48,584 61,683 71,340 80,234 90,060 96,146 15% Home Equity Rs Mn 11,545 15,229 18,059 18,334 20,308 22,
Slide 29: Repco MFL performance – FY20
Repco MFL performance – FY20 Repco Home Finance Limited Figures in Rs million Particulars FY19 FY20 Growth Total income 1,563 1,921 23% Net interest income 870 1,054 21% Profit after tax 453 541 19% Loans 9,072 10,843 20% Borrowings 7,451 8,850 19% Equity 1,664 2,105 26% Ratios NIM 10.8% 10.6% Retur
Slide 30: For any Investor Relations queries, please contact
Repco Home Finance Limited For any Investor Relations queries, please contact: Bala S Repco Home Finance Limited Phone: +91 44 42106650 Email: bala@repcohome.com Safe Harbor: This presentation may have certain statements that may be “forward looking” including those relating to general business plan