Indian Bank · NSE:INDIANB
Indian Bank — Q3 FY2023 Earnings Presentation
50 slides from Indian Bank's earnings presentation, Jan 25, 2023
Slide 1: Cover letter to stock exchanges
कॉर्पोरे ट कार्ाा लर् 254-260, अव्वै षण्मुगम सालै , रार्र्पेट्टा, चेन्नै – 600 014 निवेशक सेवाएँ कक्ष Corporate Office INVESTOR SERVICES CELL 254-260, Avvai Shanmugam Salai, वेबसाइट / website: www.indianbank.in Royapettah, Chennai - 600 014 ई-मेल / e-mail: ibinvestorrelations@indianbank.co.in दरू भा
Slide 2: Performance Analysis Q3 / NME FY23
Your own Bank, Always with You IB Home Ind Sakthi & 555 Vehicle loans Performance Analysis Q3 / NME FY23 IB Safe Ind Deposit DIGI KCC Locker IndOASIS Digital Payments…Convenient.… Contactless… Seamless… IB IND SME My Own Secure Shop
Slide 3: Contents
Contents 1 Performance Highlights 2 Business snapshot 3 Financials 4 Capital & Risk Management 5 Asset Quality 6 Financial Inclusion 7 Digital Banking & Business Network 8 Initiatives, Awards & Accolades 2/49
Slide 4: Performance Highlights Q3 FY 23
01 Performance Highlights Q3 FY 23 3/49
Slide 5: Performance Highlights Q3 FY 23 (YoY)
Performance Highlights Q3 FY 23 (YoY) CASA Business Deposits Advances CD Ratio CASA: 3% ₹ 10.49 lakh Cr ₹ 5.97 lakh Cr ₹ 4.52 lakh Cr SB: 5% 9% 6% 13% 75.64% -CA: 11% Business RAM Retail Agriculture MSME Corporate Credit ₹ 2.63 lakh Cr ₹ 87219 Cr ₹ 98220 Cr ₹ 77372 Cr 12% 15% 15% 6% ₹ 161351 Cr 7% G
Slide 6: Business Snapshot
sande Indian Bank| Amrit Mahotsav
Slide 7: Business Snapshot
Business Snapshot ₹ in Cr Sl No Parameter 31.12.2021 30.09.2022 31.12.2022 Q-o-Q (%) YoY (%) DOMESTIC DEPOSITS 1 Deposits 562575 588860 597114 1 6 Domestic 553537 577455 583998 1 6 Term Deposits Savings Bank Current account Overseas 9038 11405 13116 15 45 Total 553537 577455 583998 Deposits breakup
Slide 8: Advances (Domestic)
Advances (Domestic) ₹ in Cr Sector 31.12.2021 30.09.2022 31.12.2022 YoY (%) Retail 31.12.2021 30.09.2022 31.12.2022 YoY (%) Gross Advances-Domestic 385095 411498 424162 10 Home Loan (Incl.Mortgage loans) 51059 55309 57263 12% Retail 75646 83655 87219 15 Auto Loan 3948 4625 4999 27% Personal Loan 493
Slide 9: Performance under Priority sector
Performance under Priority sector 31.12.2022 ₹ in Cr Mandatory Achievement (Amt) Achievement Segment Target (Excluding PSLC) (Excluding PSLC) Priority Sector 135303 152850 45.19% Agriculture 60886 66823 19.76% Small /Marginal Farmers 32135 35860 10.60% Weaker Section 38900 54727 16.18% Micro under M
Slide 10: Sector Deployment – Domestic Advances
Sector Deployment – Domestic Advances ₹ in Cr % share to % share % share Sector 31.12.2021 Gross 30.09.2022 to Gross 31.12.2022 to Gross Advances Advances Advances Infrastructure 60199 16 57009 14 55817 13 Of which Power 18841 5 18629 5 19246 5 Port and Road Project 9373 2 9064 2 9059 2 Other infras
Slide 11: Rating wise – Domestic Credit
Rating wise – Domestic Credit ₹ in Cr 31.12.2021 30.09.2022 31.12.2022 • More than ₹10 Cr External Rating Exposure % to Total Exposure % to Total Exposure % to Total • For CRE > ₹5 Cr Rated Exposure AAA 36710 16% 40905 17% 42856 17% AA 57004 26% 68005 28% 72417 29% A 58951 27% 60231 25% 60294 25% BB
Slide 12: Standard NBFC Advances
Standard NBFC Advances ₹ in Cr Standard NBFC 31.12.2021 % 30.09.2022 % 31.12.2022 % NBFC - PSUs 4573 10% 6190 11% 6744 11% NBFC - HFCs 18948 41% 22850 39% 23125 38% NBFC - MFIs 1889 4% 2116 4% 1738 3% NBFC - Others 20653 45% 27066 46% 28678 48% Total 46063 100% 58222 100% 60285 100% Rating of Standa
Slide 13: Investments (Domestic)
Investments (Domestic) ₹ in Cr AFS Book (YoY) Details 31.12.2021 30.09.2022 31.12.2022 YoY (%) 31.12.21 SLR Investments 144920 147112 144668 -0.17 13% Of which 9% Central Government Securities 88726 93280 93253 5.10 1% 50546 48361 48871 -3.31 52% State Government Securities 25% Treasury Bills 5644 5
Slide 14: Non SLR Investments
Non SLR Investments ₹ in Cr Details 31.12.2021 30.09.2022 31.12.2022 PSU Bonds 1210 1338 1277 Corporate and other Bonds 12252 11662 11960 Special Govt.Sec.(Excluding Recap Bonds) 1853 1793 1785 CG Recap.Bond 17927 17927 17927 Share of PSU/Corporate/Others 2304 2233 2152 Venture Capital Fund 151 206
Slide 15: Financials
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Slide 16: Operating Profit and Net Profit
Operating Profit and Net Profit ₹ in Cr Quarter Ended Nine Months Ended Year Ended Sl No Components 31.12.2021 30.09.2022 31.12.2022 Q-o-Q (%) YoY (%) 31.12.2021 31.12.2022 YoY (%) 31.03.2022 1 Interest Income 9926 10710 11834 10 19 29024 32698 13 38856 2 Interest Expenses 5531 6026 6335 5 15 16551
Slide 17: Income
Income ₹ in Cr Quarter Ended Nine Months Ended Year Ended Sl No Components 31.12.2021 30.09.2022 31.12.2022 QoQ (%) YoY (%) 31.12.2021 31.12.2022 YoY (%) 31.03.2022 1 Interest Income on Advances and Discount on Bills 6844 7434 8552 15 25 20249 23091 14 26928 2 Interest on investments 2797 2896 2918
Slide 18: Fee Income
Fee Income ₹ in Cr Quarter Ended Nine Months Ended Year Ended Sl No Components 31.12.2021 30.09.2022 31.12.2022 Q-o-Q (%) YoY (%) 31.12.2021 31.12.2022 YoY (%) 31.03.2022 1 Transaction fees 184 190 163 -14 -11 522 540 3 700 2 Loan processing charges 146 171 175 2 20 402 485 21 574 3 Commission on Go
Slide 19: Expenses
Expenses ₹ in Cr Quarter Ended Nine Months Ended Year Ended Sl No Components 31.12.2021 30.09.2022 31.12.2022 Q-o-Q (%) YoY (%) 31.12.2021 31.12.2022 YoY (%) 31.03.2022 1 Interest on deposits 5221 5597 5911 6 13 15737 16857 7 20936 2 Interest on borrowings 70 200 191 -5 - 100 442 - 248 3 Other inter
Slide 20: Overhead Expenses
Overhead Expenses ₹ in Cr Quarter Ended Nine Months Ended Year Ended Sl No Components 31.12.2021 30.09.2022 31.12.2022 Q-o-Q (%) YoY (%) 31.12.2021 31.12.2022 YoY (%) 31.03.2022 1 Rent, Taxes & Lighting 150 163 159 -2 6 440 449 2 614 2 Depreciation 149 133 131 -2 -12 452 400 -12 597 3 Insurance 190
Slide 21: Provisions and Net Profit
Provisions and Net Profit ₹ in Cr Quarter Ended Nine Months Ended Year Ended Sl No Components 31.12.2021 30.09.2022 31.12.2022 Q-o-Q (%) YoY (%) 31.12.2021 31.12.2022 YoY (%) 31.03.2022 1 Operating Profit 3288 3629 4061 12 24 9979 11255 13 12717 2 Total Provisions 2598 2404 2665 11 3 7018 7421 6 877
Slide 22: Performance Ratios
Performance Ratios Annualised Sl Quarter Ended Nine Months Ended Year Ended Parameters No 31.12.2021 30.09.202231.12.2022 31.12.2021 31.12.2022 31.03.2022 1 Cost of Deposits 3.85 4.02 4.19 3.92 4.02 3.97 2 Cost of Funds 3.86 4.05 4.26 3.94 4.04 3.90 3 Cost to Income Ratio 44.75 44.27 43.71 43.99 43.
Slide 23: Performance Ratios
Performance Ratios % annualised Cost of Deposits Yield on Advances Cost of Funds Yield on Funds Return on Assets (RoA) Return on Average Networth (RoE) Return on Assets (RoA) Return on Average Networth (RoE) 8.19 7.48 7.91 7.19 7.27 6.76 15.21 13.83 14.42 12.24 4.19 3.85 4.02 4.26 8.26 3.86 4.05 0.7
Slide 24: Capital & Risk Management
04 Capital & Risk Management 23/49
Slide 25: Capital & Risk Management
Capital & Risk Management ₹ in Cr Parameters 31.12.2021 30.09.2022 31.12.2022 CRAR % Capital 47274 50991 50819 Common Equity Tier I (CET 1) 34777 38709 38638 16.15% CRAR Total 15.47% 15.74% Additional Tier I 1980 1980 1980 Tier II 10517 10302 10202 Total Risk Weighted Assets 305509 315744 322683 3.4
Slide 26: Share Holding
Share Holding 31.12.2022 Mutual Funds: 8.50% Government of India 79.86% Resident Individual: 3.34% Insurance Companies:3.31% FPI,FII, NRI & AIF: 3.83% Employees: 0.74% HUF,Trusts, Body Corporate, & Clearing Members: 0.42% Pattern of Equity Shareholding % Shareholder Promoters 79.86 Public & Others 2
Slide 27: Asset Quality
05 Asset Quality 26/49
Slide 28: Asset Quality
Asset Quality Amount ₹ Cr Gross NPA Net NPA Gross NPA Net NPA % 36540 9.13 31959 29484 7.30 6.53 10155 2.72 6174 1.50 4271 1.00 QE Dec 21 QE Sep 22 QE Dec 22 QE Dec 21 QE Sep 22 QE Dec 22 Annualised % PCR (Incl TWO) PCR (Excl TWO) % Slippage Ratio Credit Cost 3.13 93.59 91.08 2.44 85.49 2.55 85.52 2
Slide 29: Movement of NPA
Movement of NPA ₹ in Cr Quarter Ended Nine Months Ended Year Ended S No Details 31.12.2021 30.09.2022 31.12.2022 31.12.2021 31.12.2022 31.03.2022 1 Gross NPA opening balance 36886 34573 31959 38455 35214 38455 ADDITIONS : Fresh Slippages 2732 2379 1192 8708 4942 9807 To old NPAs / Others 73 81 121 2
Slide 30: NPA Position – Sector-wise
NPA Position – Sector-wise ₹ in Cr 31.12.2021 30.09.2022 31.12.2022 S % to % to % to Sector Gross Gross Gross No respective respective Outstanding respective NPA NPA NPA portfolio portfolio portfolio 1 Retail Credit 3451 4.56% 3568 4.26% 87219 3209 3.68% Of which Home Loan 1375 3.08% 1487 3.08% 4979
Slide 31: NCLT & NARCL
NCLT & NARCL ₹ in Cr 31.12.2022 Category No.of Accounts Exposure Provision PCR% RBI List I 7 1700 1700 100.00% RBI List II 9 2806 2806 100.00% NCLT Accounts filed by Bank 24 1465 1465 100.00% Accounts filed by other Banks 185 17568 17568 100.00% Total 225 23539 23539 100.00% Q3 FY 22 Q2 FY 23 Q3 FY
Slide 32: SMA Position
SMA Position ₹5 Cr and above ₹ in Cr 30.09.2022 31.12.2022 % to % to Standard Respective % to Total Standard Respective % to Total Sector Advances as SMA 1 SMA 2 Total Sector Standard SMA 1 SMA 2 Total Advances as Sector Standard on Standard Advances on 31.12.22 Standard Advances 30.09.2022 Advances
Slide 33: Collection Efficiency (Month on Month)
Collection Efficiency (Month on Month) 99% 99% 99% Corporate Corporate 95% MSME Retail 94% 94% Retail 94% 91% 91% Agriculture MSME 90% 90% Agriculture 88% Dec-21 Sep-22 Dec-22 Collection efficiency from Dec'21 to Dec'22 Sector Dec-21 Sep-22 Dec-22 Retail 94% 94% 94% Agriculture 88% 90% 91% MSME 90%
Slide 34: COVID Restructuring – Sector-wise
COVID Restructuring – Sector-wise ₹ in Cr Sector Outstanding as Addition during the quarter Reduction during the Outstanding as Recovery on 30.09.22 Dec'22 quarter Dec'22 on 31.12.2022 Percentage (Standard) Addition (Interest/ Upgradation Recovery Fresh NPA (Standard) Additional Funding/ NPA to STD
Slide 35: Financial Inclusion
06 Financial Inclusion 34/49
Slide 36: Financial Inclusion - Performance
Financial Inclusion - Performance S No FI Parameters Dec'21 Sep'22 Dec'22 1 BCs engaged (Nos.) 9322 10256 10368 2 BSBD Accounts (No. in lakhs) 266 277 285 3 PMJDY Accounts under BSBDA (No. in lakhs) 183 192 199 4 Balance in PMJDY accounts (₹ in Cr) 7046 7851 8331 5 Overdraft Sanctioned (₹ in Cr) 29
Slide 37: Digital Banking & Business Network
07 Digital Banking & Business Network 36/49
Slide 38: DBU & Migration to Digital Channels
DBU & Migration to Digital Channels Terminals Services offered Delhi Cash Recycler Cash Withdrawal. Cash Deposit. Interoperable cash deposit. Balance Inquiry & Mini-statement. Green PIN. Fund Transfer. Bank’s 3 DBUs Lucknow Statement Request. Cheque Book Request Account opening-cum- Account opening
Slide 39: Digital Banking
Digital Banking In lakhs Mobile Banking Internet Banking UPI Cards Users Users Users Users Debit Cards 74 YoY 62 73% 265 293 YoY 19% YoY YoY 119 11% 108 19% 100 62 Dec-21 Dec-22 Dec-21 Dec-22 Dec-21 Dec-22 Dec-21 Dec-22 Transactions Transactions Transactions Credit Cards Users 94 YoY 91 85% YoY 1.53
Slide 40: Business Network
Business Network Domestic Branches ATMs & FY23 No.of branches Region-wise 5770 (Including BNAs Opened 62 3 DBUs) 4969 Merged 24 (315 since amalgamation) Business Overseas Correspondents Branches: 3 + 691 Northern 10368 IBU: 1 140 Pan India Touch Points: 21108 North Eastern 402 Population group wise
Slide 41: Staff Position & HRM Initiatives
Staff Position & HRM Initiatives 31.12.2022 Average % of Domestic Total Male Female age of staff Female Officers 25347 18231 7116 37 28% Clerks 12937 8255 4682 38 36% Sub-staff 2623 2277 346 46 13% Full Time Sweepers 282 216 66 45 23% Total 41189 28979 12210 38 30% HRM Initiatives Skilling & Re-Skil
Slide 42: Initiatives & Awards
08 Initiatives & Awards 41/49
Slide 43: Transformation Initiatives
Transformation Initiatives Project Wave.. World of Advanced Virtual Experience Project INDLEAP (Leadership through Efficiency, Agility & Process Transformation) Digital transformation …Journeys launched Digital Marketing & Adoption Operating Model Transformation Facets of Digital Loan against Market
Slide 44: Environmental, Social & Governance (ESG) Practices
Environmental, Social & Governance (ESG) Practices Governance Social Environmental Implemented Solar Power plant of 93 kW for Sponsoring of Mahindra Bolero vehicle to Effective mechanism supported by well defined IMAGE Auditorium, 106 kW for HO/ CO. Ramakrishna Mission Vivekananda Educational
Slide 45: Joint Venture & Subsidiary
Joint Venture & Subsidiary 31.12.2022 (Provisional) Joint venture Consortium of credible Public & Private Corporate entities from India and Sompo of Japan as promoter. Incorporated & licensed in 2007. Bank’s shareholding : 28.52% Operating Profit (NME FY23): ₹142 Cr (FY22: ₹111 Cr) Net Pro
Slide 46: Regional Rural Banks (RRBs)
Regional Rural Banks (RRBs) ₹ in Cr TNGB SGB PBGB Total Parameters NME NME NME NME FY22 FY22 FY22 FY22 Dec'21 Dec'22 YoY Dec'21 Dec'22 YoY Dec'21 Dec'22 YoY Dec'21 Dec'22 YoY Business 34359 38649 12% 34711 16170 20548 27% 17453 1815 2167 19% 1957 52344 61364 17% 54121 Operating Profit 460 531 15% 57
Slide 47: Awards & Accolades
Awards & Accolades NABARD Award CIMSME Award APY Award SHG-Bank Linkage Programme MSME Banking Excellence Awards – 2021 (PSB category) • Best Innovative Bank: Winner • Best Bank for implementing COVID related Govt Schemes: Winner • Best MSME friendly Bank: Runner Up Bank Bags the Best Performing Ban
Slide 48: Awards & Accolades
Awards & Accolades Bank emerges as the winner for Financial Express Governance Now 5th India BFSI awards 2022 Top Improvement Award for Best Public Sector Bank 2020-21 ‘Digital Transformation leader’ won by in the EASE 4.0 reforms index Shri Deepak Sarda, GM-IT & CTO FICCI CMSME Tamil Nadu State Lev
Slide 49: Disclaimer
Disclaimer This presentation has been prepared by Indian Bank (the “Bank”) solely for information purposes, without regard to any specific objectives, financial situations or informational needs of any particular person. Certain forward-looking statements in these slides involve a number of risks, u
Slide 50: Thank you
Thank you