Rbl Bank Ltd. · NSE:RBLBANK
Rbl Bank — Q3 FY17 Earnings Presentation
37 slides from Rbl Bank's earnings presentation, Jan 20, 2017
Slide 1: Investor Presentation
Investor Presentation 3rd Quarter / 9 Month FY 17 January 20, 2017
Slide 2: Disclaimer
Disclaimer By attending the meeting / telephonic call where this presentation is made, or by reading the presentation materials, you agree to be bound by the following limitations: The information in this presentation has been prepared by RBL Bank Limited (the “Company”) for use in presentations by
Slide 3: Glossary and Key Notes
Glossary and Key Notes 9M 9 months period ended December 31 H1 6 month period ended September 30 AEPS Aadhaar Enabled Payment System KYC Know Your Customer Agri Agribusiness banking LAP Loan Against Property APB Aadhaar Payment Bridge MF Mutual Funds API Application Programming Interface MFI Microfi
Slide 4: Table of Contents
Table of Contents Topic Page Number Key Performance Highlights 5 RBL Vision 2020 7 Financial Performance 11 New Initiatives and Recent Developments 23 Distribution Network 26 Shareholding Pattern and Ratings 28 Annexures 30 4
Slide 5: Key Performance Highlights
Key Performance Highlights
Slide 6: Performance Overview
Performance Overview Q3 FY 17 Financial Highlights Strong performance in a challenging environment Good asset quality levels maintained Significant increase in CASA; assisted by demonetization Continue to invest in retail and mass banking Notes: Performance tracking to Figures in brackets are Q3 FY
Slide 7: RBL Vision 2020
RBL Vision 2020
Slide 8: Performance Benchmarks
Performance Benchmarks RBL Vision 2020 Actual 9M FY 17 Advances 30-35% CAGR 46% 0.75 - 1% increase March 31, 2016: 18.6% CASA Ratio every year December 31, 2016: 23.2% Other Income % ~ 1/3rd of Net Total Income 37.4% Cost/Income ratio of March 31, 2016: 58.6% Operational Efficiency 51% - 52% by 2020
Slide 9: Key Initiatives of Vision 2020
Key Initiatives of Vision 2020 Leveraging technology to acquire, engage and service clients Technology Enhancing distribution through a combination of owned branches, BCs, Customer Service Points ('CSPs') Distribution Creation of Transaction and Payment platforms that leverage changes in ecosystem d
Slide 10: Key Fundamentals
Key Fundamentals 1. One of India’s Fastest Growing Private Sector Banks 2. Robust Corporate Governance Framework as well as Experienced Management Team 3. Focus on Effective Risk Management and Asset Quality 4. Focus on Operational Quality and Scalability 5. Leveraging Partnerships and Technology fo
Slide 11: Financial Performance
Financial Performance
Slide 12: Performance Highlights
Performance Highlights Parameter Q3 17 Q3 16 YoY Q2 17 QoQ 9M 17 9M 16 FY 16 Net Interest Income 322 222 45% 303 6% 869 579 819 Other Income 182 110 66% 169 8% 519 348 491 Net Total Income 504 332 52% 472 7% 1,388 927 1,310 Operating Profit 235 149 58% 219 7% 639 382 542 Net Profit 129 81 59% 109# 1
Slide 13: Performance Highlights (Contd.)
Performance Highlights (Contd.) Parameter 9M 17 9M 16 YoY H1 17 QoQ FY 16 Advances 26,773 18,300 46% 24,875 8% 21,229 Deposits 30,005 20,847 44% 27,960 7% 24,349 Investment 12,838 10,068 28% 12,262 5% 14,436 Parameter 9M 17 9M 16 H1 17 FY 16 CASA 23.15% 18.22% 19.89% 18.64% GNPA 1.06% 1.08% 1.10% 0.
Slide 14: Key Profit & Loss Parameters
Key Profit & Loss Parameters Other Income breakup Core Fee Income breakup 110 169 182 348 519 99 147 153 282 422 10% 11% 9% 11% 10% 10% 13% 16% 19% 19% 12% 11% 16% 18% 16% 14% 14% 13% 16% 16% 90% 87% 84% 81% 81% 47% 39% 35% 46% 38% 17% 20% 21% 19% 20% Q3 16 Q2 17 Q3 17 9M 16 9M 17 Q3 16 Q2 17 Q3 17
Slide 15: Advances Breakup
Advances Breakup Yield 9M 17 9M 16 YoY H1 17 QoQ FY 16 9M 17 Proportion C&IB 11,544 6,940 66% 10,592 9% 8,186 Wholesale 10.01% 62% CB 5,034 4,276 23% 4,624 9% 4,689 (11.03%) Wholesale 16,578 11,216 50% 15,216 9% 12,875 BBB 4,789 3,062 48% 4,343 10% 3,465 Agri 1,747 1,461 20% 1,676 4% 1,756 Retail 13
Slide 16: Advances Breakup (Contd.)
Advances Breakup (Contd.) Break up of advances - Geography Secured-Unsecured 18,300 21,229 24,875 26,773 18,300 21,229 24,875 26,773 7% 17% 19% 20% 10% 14% 14% 17% 22% 22% 20% 19% 43% 40% 39% 40% 83% 83% 81% 80% 28% 28% 27% 27% 9M 16 FY 16 H1 17 9M 17 9M 16 FY16 H1 17 9M 17 Secured Unsecured North W
Slide 17: Top Industry Exposures and Break up of NFB Book
Top 10 Industry Exposures and Break up of NFB Book Top 10 industry exposures* Industry Exposure FB-NFB Split % of Exposure Construction 3,293 52 : 48 7.2% Retail / Distribution 2,511 74 : 26 5.5% Pharma 2,148 79 : 21 4.7% NBFC-MFI 2,062 97 : 3 4.5% Engineering 1,819 55 : 45 4.0% Real estate 1,737 98
Slide 18: Asset Quality
Asset Quality 9M 17 9M 16 H1 17 FY 16 Gross NPA by business segment Movement of Gross Business 9M 17 9M 16 H1 17 FY 16 NPAs segment Opening Balance 208 111 208 111 C&IB 37.8 17.1 37.8 17.1 (+) Additions during % 0.33% 0.21% 0.36% 0.21% 128 166 106 200 the period CB 160.4 134.4 159.2 138.4 (-) Upgrad
Slide 19: Capital Adequacy - Well Capitalized to Support Growth
Capital Adequacy - Well Capitalized to Support Growth Particulars 9M 17 9M 16 H1 17 FY 16 Tier 1 Capital Funds 4,120 2,898 3,991 2,972 Tier 2 Capital Funds 846 83 837 491 Total Capital Funds 4,967 2,981 4,828 3,463 Total RWA 34,073 21,693 32,040 26.761 Tier 1 CRAR 12.1% 13.4% 12.5% 11.1% Total CRAR*
Slide 20: Deposits Breakup
Deposits Breakup CASA: 18.2% CASA: 18.6% CASA : 19.9% CASA : 23.2% 29%* 30,005 67%* 30%* 27,960 24,349 11.2% 9.9% 12.0% 20,847 11.4% 10.0% 7.2% 10.3% 7.9% 81.4% 80.1% 76.8% 81.8% 9M 16 FY 16 H1 17 9M 17 * Annualised Term Deposits Savings Account Current Account 20
Slide 21: Investment Breakup and Yields
Investment Breakup and Yields Investment Breakup 10,068 14,436 12,262 12,838 7% 7% 9% 6% 12% 10% 9% 11% 12% 13% 12% 13% 69% 71% 67% 72% 9M 16 FY 16 H1 17 9M 17 G-Sec Debentures & Bonds Money Market /Equities/MF Others Yield Yield Q3 17 Q2 17 Q3 16 9M 17 9M 16 Total Investments 7.75% 7.95% 7.89% 7.80
Slide 22: Trends in Key Business Parameters
Trends in Key Business Parameters Quarterly Yields Cost of Funds, Deposits 7.6% 7.5% 7.5% 11.7% 11.5% 11.2% 11.3% 11.3% 10.4% 10.2% 7.2% 10.2% 9.9% 10.1% 7.4% 7.3% 7.3% 6.9% 7.9% 7.8% 8.0% 7.1% 7.7% 7.8% 6.9% 3.2% 3.2% 3.4% 3.4% 2.8% Q3 16 Q4 16 Q1 17 Q2 17 Q3 17 Q3 16 Q4 16 Q1 17 Q2 17 Q3 17 Yield
Slide 23: New Initiatives and Recent Developments
New Initiatives and Recent Developments
Slide 24: Digital/ technology led initiatives
Digital/ technology led initiatives Leverage BFL customer base of over 12M and strong branch network of 800 branches &34,000+ distribution network. Deep customer insight and seamless integration through technology, big data analytics, customer profiling and micro-segmentation allowing for custom
Slide 25: Digital/ technology led initiatives (contd.)
Digital/ technology led initiatives (contd.) First bank to launch APB system to enable MFIs to disburse loan amounts into Aadhaar enabled bank accounts through RBL Bank RBL uses AEPS to support MFIs in their collections by authenticating borrower using Aadhaar and biometric credentials & transfe
Slide 26: Distribution Network
Distribution Network
Slide 27: Our Distribution Network
Our Distribution Network Locations Customers (Mn.) Chandigarh 1 9 2.52 2.04 2.30 New Delhi 1.70 1.88 1 4 Q3 16 Q4 16 Q1 17 Q2 17 Q3 17 4 8 Channel Breakup 14 13 5 Channels Number of Number of 1 transaction points transaction points (9M 17) (H1 17) 1 97 Branch 215 201 Daman 3 & Diu Metro 73 67 25 4 U
Slide 28: Shareholding Pattern & Ratings
Shareholding Pattern & Ratings
Slide 29: Shareholding Pattern & Ratings
Shareholding Pattern & Ratings Shareholding by category (%) Ratings Instrument Rating Limits Implication by ICRA (Rs. Cr.) 1.2 1.5 Basel III A+ hyb 800 Instruments 8.0 compliant rated in this Tier II category are 6.8 bonds considered to have 38.5 high degree of safety regarding 10.9 timely servicing
Slide 30: Annexures
Annexures
Slide 31: Professional and Experienced Leadership Team
Professional and Experienced Leadership Team Board of Directors Mr. Vishwavir Ahuja Mr. Palepu Sudhir Rao Managing Director and CEO Independent Director Previously, Managing Director & Country Executive Officer of Bank Currently, Associated with a Number of Corporates including Aditya of America for
Slide 32: Professional and Experienced Leadership Team (Contd.)
Professional and Experienced Leadership Team (Contd.) Experienced and Professional Management Team Mr. Vishwavir Ahuja Mr. Rajeev Ahuja Managing Director and CEO Head - Strategy, Retail, Transaction Banking & Financial Inclusion Previously, Managing Director & Country Executive Officer of Bank Previ
Slide 33: Professional and Experienced Leadership Team (Contd.)
Professional and Experienced Leadership Team (Contd.) Experienced and Professional Management Team (Cont’d) Ms. Shanta Vallury Mr. Rana Vikram Anand Head - HR, CSR & Internal Branding Head –Segments and Products, Branch & Business Banking Previously, Vice President of Acquisitions and Partnerships D
Slide 34: Profit & Loss Statement
Profit & Loss Statement Particulars Q3 17 Q3 16 Q2 17 9M 17 9M 16 Income Interest Earned 961 713 902 2727 1,982 Interest Expended 640 491 599 1858 1,403 Net Interest Income 322 222 303 869 579 Other Income 182 110 169 519 348 Total Income 504 332 472 1388 927 Expenditure Operating Expenses 269 183 2
Slide 35: Balance Sheet Statement
Balance Sheet Statement Particulars 9M 17 9M 16 H1 17 FY 16 Liabilities Capital 373 323 370 325 Reserves and Surplus 3,815 2,630 3,660 2.665 Deposits 30,005 20,847 27,960 24,349 Borrowings 8,426 6,333 7,775 10,536 Other Liabilities 1,400 1,083 1,290 1.287 Total 44,019 31,216 41,055 39,161 Assets Cas
Slide 36: Our 10 year History
Our 10 year History Particulars FY 07 FY 08 FY 09 FY 10 FY 11 FY 12 FY 13 FY 14 FY 15 FY 16 9M 17 Net Worth 196 320 338 349 1,075 1,131 1,594 2,012 2,224 2,960 4,188 Deposits 876 1,101 1,307 1,585 2,042 4,739 8,341 11,599 17,099 24,349 30,005 Advances (Net) 531 586 801 1,170 1,905 4,132 6,376 9,835
Slide 37: Thank you
Thank you Contact us at: ir@rblbank.com +91-22-4302 0600 Please email us your contact details at the above id to get added to our investor relations mailing list 37