Union Bank Of India Limited · NSE:UNIONBANK
Union Bank Of India — Q3 FY2016 Earnings Presentation
32 slides from Union Bank Of India's earnings presentation, Feb 11, 2016
Slide 1: Financial Results Q3 & 9M FY 2015-16
Financial Results Q3 & 9M FY 2015-16 February 11, 2016
Slide 2: Digital Initiatives
Digital Initiatives DigiPurse is a mobile wallet that enables the users to preload a certain amount in the wallet and spend the amount for various online services viz. Bill payment, Mobile recharge, DTH Recharge, Online shopping, Funds transfer etc. "Union Selfie" is a mobile application based savin
Slide 3: Performance Highlights
Performance Highlights • Global Business increased by 5.2% to ` 589889 crore Business • CASA deposits have crossed the landmark figure of Rs. 1 lakh crore; CASA Share improved to 30.6%. • Non Interest Income for Q3/FY16 stood at ` 892 crore; Non Interest Income • Non Interest Income for 9M /FY16 sto
Slide 4: Business Performance
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Slide 5: Deposits
Deposits Parameters Dec Mar Sep Dec Growth (%) (` crore) 2014 2015 2015 2015 Y-o-Y Q-o-Q Total Deposits 312912 316870 330665 327412 4.6 -1.0 Current Deposits 21891 21092 21046 25149 14.9 19.5 Savings Deposits 68019 71558 73367 75024 10.3 2.3 CASA 89910 92650 94413 100173 11.4 6.1 • The Bank activate
Slide 6: Advances
Advances Parameters Dec Mar Sep Dec Growth (%) (` crore) 2014 2015 2015 2015 Y-o-Y Q-o-Q Gross Advances 248099 262757 254022 262477 5.8 3.3 - Domestic 227339 241323 229339 235948 3.8 2.9 - Overseas 20760 21434 24683 26529 27.8 7.5 Retail Advances 30155 31658 33621 34816 15.5 3.6 Agriculture 29707 31
Slide 7: Advances
Advances Annual Growth (%) RAM Share (%) in Domestic Advances 26.6 51.2 24.0 Advances RAM Segment 51.1 16.6 49.6 49.7 12.1 10.2 48.8 8.9 6.7 7.0 5.8 3.9 Dec/14 Mar/15 Jun/15 Sep/15 Dec/15 Dec/14 Mar/15 Jun/15 Sep/15 Dec/15 Dec-15 Dec-14 6.1 8.1 Home Loans 18.0 Vehicle Loans 16.3 Education Loans 7.8
Slide 8: Advances – Top Exposures
Advances – Top Exposures Sl. Sectors Top 10 Sectors (Domestic ) Top 10 Sectors % Share in Advances (Domestic ) (31th Dec 2015) Dec Mar Sep % Share Amount 2014 2015 2015 ( ` crore) 1 Infrastructure 15.7 15.9 16.5 16.1 37959 2 Agriculture 13.1 13.1 15.8 15.6 36926 3 Retail Advances 13.3 13.1 14.7 14.7
Slide 9: Investments
Investments Investment (` crore) 104898 101520 98580 Dec/14 Sep/15 Dec/15 (` crore) Dec 2015 % to Total Duration (Years) Dec 2015 Held to Maturity 70080 71.1 4.1 Held for Trading 1616 1.6 5.7 Available for Sale 26884 27.3 4.8 Total Investment 98580 100 4.3 • 89.1% of AFS & HFT portfolio is interest
Slide 10: Overseas Operations
Overseas Operations Overseas branches at Hong Kong, DIFC (Dubai) & Business from Overseas Branches Antwerp (Belgium) Growth Dec -14 Sep-15 Dec-15 US $ (%) (` crore) YoY- US$ Business 4.2 4.7 5.0 19.5 Representative offices at billion billion billion Shanghai, Beijing, (26383) (30382) (32927) Abu Dha
Slide 11: Statement of Assets & Liabilities
Statement of Assets & Liabilities (` crore) As at As at As at Growth (%) 31.12.14 30.09.15 31.12.15 Y-o-Y Q-o-Q LIABILITIES Capital 636 687 687 8.0 0.0 Reserves and surplus 19156 21316 21387 11.6 0.3 Deposits 312912 330665 327412 4.6 -1.0 Borrowings 30658 32493 32466 5.9 -0.1 Other Liabilities and P
Slide 12: Financial Highlights
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Slide 13: Cost & Yield Ratio
Cost & Yield Ratio Parameters Dec-14 Sep-15 Dec-15 9M 9M (%) (Q3) (Q2) (Q3) FY 15 FY16 Domestic Global Domestic Global Domestic Global Domestic Global Domestic Global Cost of Deposit 7.43 7.33 7.19 7.09 7.03 6.94 7.40 7.31 7.17 7.08 Cost of Funds 6.80 6.58 6.53 6.25 6.44 6.14 6.85 6.64 6.56 6.28 Yie
Slide 14: Non-Interest Income
Non-Interest Income (` crore) Parameters Dec-14 Sep-15 Dec-15 Growth Growth 9M 9M Growth (Q3) (Q2) (Q3) (%)- (%)- FY 15 FY 16 (%) Y/Y Q/Q a. Core Non 455 469 437 -3.9 -6.7 1242 1329 7.0 Interest Income b. Treasury Income 379 435 421 11.1 -3.2 901 1177 30.6 W/w •Profit on Sale 252 259 257 2.0 -0.8 42
Slide 15: Operating Profit
Operating Profit (` crore) Dec-14 Sep-15 Dec-15 Growth Growth 9M 9M Growth (Q3) (Q2) (Q3) (%)-Y/Y (%)-Q/Q FY15 FY16 (%)-Y/Y Parameters Interest Income 8044 8141 7910 -1.7 -2.8 23843 24311 2.0 Interest 5924 6039 5913 -0.2 -2.1 17521 18082 3.2 Expenditure Net Interest 2120 2102 1997 -5.8 -5.0 6322 622
Slide 16: Provisions
Provisions (` crore) Parameters Dec-14 Sep-15 Dec-15 9M 9M (Q3) (Q2) (Q3) FY15 FY16 NPAs 674 924 1243 1703 2647 Standard Assets 22 2 -17 94 -37 Depreciation on Investment -26 -113 21 -85 107 Shifting Loss 0 0 0 39 6 Restructured Advances 106 -320 -6 210 -318 Others (FITL etc) 76 -61 -4 69 -92 Taxati
Slide 17: Net Profit
Net Profit ` crore 1338 302 1255 78 Dec/14 Dec/15 9M FY 15 9M FY 16 17
Slide 18: Efficiency/ Profitability Ratios
Efficiency/ Profitability Ratios Sl. Efficiency Parameters Dec-14 Sep-15 Dec-15 9M 9M (Q3) (Q2) (Q3) FY 15 FY 16 1 Return on Avg. Assets (%) 0.34 0.68 0.08 0.51 0.44 2 Return on Equity (%) 6.60 12.80 1.53 9.74 8.13 3 Cost to Income Ratio (%) 51.13 51.32 53.82 52.07 51.35 4 Book Value Per Share (`) 2
Slide 19: Asset Quality
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Slide 20: Asset Quality
Asset Quality (` crore) Parameters Dec-14 Sep-15 Dec-15 9M 9M (Q3) (Q2) (Q3) FY 15 FY 16 Gross NPAs - Opening 11462 14144 15541 9564 13031 Add : Additions 1738 1931 3409 4980 6698 Less : Reductions 604 534 455 1948 1233 1. Recoveries 358 205 77 987 404 2. Upgradation 28 59 119 275 143 3. Write Off 2
Slide 21: Asset Quality: Sectoral
Asset Quality: Sectoral (` crore) Sectors Slippages NPAs % to Total % to Sector Loan During Q3 Dec 2015 NPAs Dec Mar Sep Dec FY 16 2014 2015 2015 2015 Agriculture 156 1776 9.60 5.42 5.08 4.75 4.81 Micro & 454 3024 16.35 5.64 6.09 6.90 7.44 Small (MSE) Retail Loans 459 970 5.24 2.03 1.96 2.76 2.79 Ot
Slide 22: Restructured Assets
Restructured Assets (` crore) Dec-15 (Q3) Particulars Standard NPA Total Restructured Assets as on October 01,2015 13913 5597 19510 Fresh Restructuring during the Quarter 0 0 0 Upgradation to Standard Restructured Accounts during 28 -28 0 the Quarter Down gradation of restructured accounts during th
Slide 23: Sector wise Standard Restructured Accounts
Sector wise Standard Restructured Accounts (` crore) Sector Amt. % to Standard Restructured 1 Infrastructure 8547 62.8 a. Power 7221 53.0 w/w SEBs 5727 42.1 2 Engineering 927 6.8 3 Iron & Steel 667 4.9 4 Textiles 518 3.8 5 Hotel 418 3.1 Amt % to Standard % to Gross Restructured Advances Loans Outsta
Slide 24: Human Capital
Human Capital Avg. age of employee 35993 35514 36152 35801 40 years 5547 5493 5386 5124 15.4% 15.5% 14.9% 14.3% 11875 11731 11779 11612 32.6% 32.4% Sub-Staff 33.0% 33.0% Clerks Officers 18571 18290 18987 19065 51.6% 51.5% 52.5% 53.3% Dec/14 Mar/15 Sep/15 Dec/15 24
Slide 25: Extensive & specialized distribution network
Extensive & specialized distribution network focused on the needs of the different business segments Branch Distribution by Urbanization Rural Metro 31.3% 18.2% Jammu & Kashmir Urban Chandigarh Semi (12) (18) 21.0% (10) (21) Arunachal Pradesh Urban Himachal Pradesh Meghalaya (1) (1) 29.5% Punjab (5)
Slide 26: Multiple Delivery Channels
Multiple Delivery Channels Debit Card Base (Lakh) Internet Banking User (Lakh) Mobile Banking User 12.4 (Thousands) 277 246 237 12.0 224 219 11.5 211 167 11.1 137 192 121 10.6 Dec/14 Mar/15 Jun/15 Sep/15 Dec/15 Dec/14 Mar/15 Jun/15 Sep/15 Dec/15 Dec/14 Mar/15 Jun/15 Sep/15 Dec/15 Transactions throug
Slide 27: Basel III: Capital & Liquidity
Basel III: Capital & Liquidity 10.30 10.22 10.26 10.30 7.50 7.67 7.70 7.32 CRAR Tier I Tier II 2.98 2.72 2.60 2.60 Dec/14 Mar/15 Sep/15 Dec/15 (` crore) Dec 2014 Mar 2015 Sep 2015 Dec 2015 Risk Weighted Assets 240924 253162 260508 258677 Capital Funds 24807 25885 26740 26632 CRAR-BASEL III ( % ) 10.
Slide 28: Shareholding Details
Shareholding Details • Share Capital ` 687.4 crore •No. of Equity Shares: 68.74 crore • Net worth: ` 20596 crore • Book Value per share ` 299.62 •Return on Equity 8.13% •Market Cap ` 10219 crore Shareholding Pattern (%) 63.44% 63.44% Mar/15 Sep/15 Dec/15 60.47% 18.04% 8.49% 17.95% 10.03% 8.89% 18.27
Slide 29: Financial Inclusion
Financial Inclusion Progress under Pradhan Mantri Jan Dhan Yojana (PMJDY) Parameters Achievements of the Bank Villages covered 18396 Sub Service Areas 5407 Urban Wards 2581 Accounts opened till December 31, 2015 56.8 Lakh Deposits ` 672.3 Crore RuPay Cards issued 54.2 Lakh Aadhar Seeding 16.0 Lakh P
Slide 30: Awards During the Quarter
Awards During the Quarter "National Award for Innovative Training Practices" (Second Prize for 2014-15) by Indian Society for Training & Development (ISTD) MSME Banking Excellence Awards 2015 from Chamber of Indian Micro Small & Medium Enterprises (CIMSME) 1. Best Bank Award for Promotional Schemes
Slide 31: Disclaimer
Disclaimer Except for the historical information contained herein, statements in this presentation which contain words or phrases such as “is”, “aims”, „will‟, „would‟, „indicating‟, „expected to‟ etc., and similar expressions or variations of such expressions may constitute „forward-looking stateme
Slide 32: Investor queries
Investor queries: investor.relations@unionbankofindia.com
Union Bank of India — Q3 FY2016 Earnings Presentation on 6ix