Indian Bank · NSE:INDIANB

Indian Bank — Q1 FY2019-20 Earnings Presentation

36 slides from Indian Bank's earnings presentation, Aug 5, 2019

  1. Slide 1: Cover letter to stock exchanges

    Corporate Office Indian Bank Investor Services Cell FAX : 28134075 254-260, Avvai Shanmugam Salai PHONE : 28134076 Royapettah E-mail : investorsAindianbank.co.in Chennai 600 014 Ref : ISC /282 / 2019-20 05.08.2019 The Vice President The Manager National Stock Exchange of India Limited BSE Limited "E

  2. Slide 2: Press Release: Financial Results for Quarter Ended June 2019

    PRESS RELEASE FINANCIAL RESULTS FOR THE QUARTER ENDED JUNE 2019 Highlights The Board of Directors at their meeting held in Chennai on August 05th 2019 approved the Bank’s results for the Quarter ended June 30th 2019. Business (Y-o-Y):  Global Business : `425793 Cr  14%  Global Deposits : `241457

  3. Slide 3: Capital Adequacy, Business Network and Recognitions

    Capital Adequacy:  CAR: 13.62% vis-à-vis 13.64% (June 18) and 13.21% (Mar 19). Of which: Total Tier I: 11.72% (CET 1: 11.40% + AT1: 0.32%) and Tier II 1.90%  Capital of `295.48 Cr raised in May 2019 under Employees Stock Purchase Scheme (ESPS).  Networth : `16463 Cr (`16075 Cr PY)  Book value pe

  4. Slide 4: Key Summary of Q1 FY 2019-20 Results

    Key Summary of Q1 FY 2019-20 Results ` in Cr QE QE QE YoY% June 18 March 19 June 19 Profit & Loss Interest Income 4692.17 4967.88 5137.58 9.49 Interest Expenses 2885.18 3204.42 3352.14 16.18 Net Interest Income 1806.99 1763.46 1785.44 -1.19 NIM % (Domestic) 3.14 2.95 2.85 -29 bps Operating Profit 12

  5. Slide 5: Performance Analysis Q1 2019-20

    Performance Analysis Q1 2019-20

  6. Slide 6: Table of Contents

    Table of Contents Key strengths/Performance Highlights Financials Business Snapshot Capital & Risk Management Asset Quality Digital Banking Financial Inclusion / Awards 2/32

  7. Slide 7: Key Strengths

    Key Strengths Listed in 2007- Unbroken record of earning Strong brand profits since 2002 Pan India recognition - presence with Customer 9791 touch Base of 50 points million+ Pioneer in 113 years of SHG Bank dedicated Linkage – Banking Recognised Services to as Best Bank the Nation for 10th successiv

  8. Slide 8: Performance Highlights – Q1 2019-20 (YoY)

    Performance Highlights – Q1 2019-20 (YoY) Total Deposits Advances Diversified Business `2.41 lakh Cr `1.84 lakh Cr Loan Book `4.26 lakh Cr 15% 12% RAM 60% 14% Operating Net Profit RoA RoE Domestic Profit `365 Cr 0.52% 9.06% NIM `1374 Cr 75% 19 bps 381 bps 2.85 % 6% Slippage CRAR PCR at Credit Cost R

  9. Slide 9: Financials - Net Interest Income (NII) and Operating Profit

    Financials - Net Interest Income (NII) and Operating Profit ` in Cr Quarter Ended S No Components 30.06.2018 31.03.2019 30.06.2019 Y-o-Y (%) 1 Interest Income 4692.17 4967.88 5137.58 9.5 2 Other income 439.80 569.59 694.54 57.9 Of which : Profit on sale of investment 17.18 95.81 202.31 Recovery of b

  10. Slide 10: Net Profit - Snapshot

    Net Profit - Snapshot ` in Cr Quarter Ended S No Components 30.06.2018 31.03.2019 30.06.2019 Y-o-Y (%) 1 Operating Profit 1297.56 1245.41 1374.21 5.9 2 Total Provisions 1088.25 1435.18 1008.84 -7.3 Of which : Loan loss 456.59 1432.94 482.22 Depreciation on investments 648.09 116.32 293.03 Standard a

  11. Slide 11: Interest Income / Expenses and NII

    Interest Income / Expenses and NII ` in Cr Quarter Ended S No Components 30.06.2018 31.03.2019 30.06.2019 Y-o-Y (%) 1 Interest Income on Advances and Bills 3379.55 3659.13 3851.74 14.0 2 Interest on investments 1289.84 1254.63 1243.26 -3.6 3 Sundry interest income 22.78 54.12 42.58 86.9 4 Total Inte

  12. Slide 12: Operating Expenses

    Operating Expenses ` in Cr Quarter Ended S No Components 30.06.2018 31.03.2019 30.06.2019 Y-o-Y (%) 1 Staff Expenses 554.32 571.94 596.19 7.6 Of which Salary 435.58 454.14 460.93 5.8 Contribution for Employees 118.74 117.80 135.26 13.9 1A Discount on ESPS -- -- 73.88 -- 2 Overheads 394.91 515.71 435

  13. Slide 13: Business - Snapshot

    Business - Snapshot ` in Cr Domestic Deposits Parameter 30.06.2018 31.03.2019 30.06.2019 YOY (%) Term Deposits Savings Bank Current account Global Business 374551 429972 425793 13.7 12778 11595 Domestic Domestic 362337 415582 411029 13.4 CASA 11676 70681 68481 YoY Overseas 12214 14390 14764 20.9 3.5

  14. Slide 14: Advances (Domestic) - Breakup

    Advances (Domestic) - Breakup ` in Cr ` in Cr RETAIL : `33774Cr (18%)* AGRICULTURE : `40022 Cr (23%)* MSME : `32967 Cr (19%)* Home Loans (Incl. 3% Mortgage Loans) 5% Crop Loans Micro 19% 10% Enterprises Investment Credit 11% 10% Auto Loans 41% Agri Allied Small 5% 66% Enterprises 48% Educational 82%

  15. Slide 15: Corporate Sector portfolio - Overview

    Corporate Sector portfolio - Overview ` in Cr % to Gross % to Gross % to Gross Composition 30.06.2018 31.03.2019 30.06.2019 Advances Advances Advances NBFCs 16968 10.7 19865 11.0 19035 10.8 NBFC - PSUs 609 0.4 56 0.0 49 0.0 NBFC - HFC 4905 3.1 7223 4.0 7044 4.0 NBFC- MFI 574 0.4 923 0.5 772 0.4 NBFC

  16. Slide 16: Sectoral Deployment - Domestic Advances

    Sectoral Deployment - Domestic Advances ` in Cr % share to % share to Sector 30.06.2018 30.06.2019 Gross Advances Gross Advances Infrastructure 24208 15.32 23059 13.06 Of which Power 9474 5.99 8496 4.81 Telecom 151 0.10 102 0.06 Roads 4158 2.63 3257 1.84 Other infrastructure 10425 6.60 11204 6.35 Ba

  17. Slide 17: Power Sector Exposure

    Power Sector Exposure ` in Cr Central State Private Category Total Government Government Sector Generation 373 2962 1945 5279 Distribution 0 1422 217 1640 Transmission 0 103 377 481 Investment 78 428 270 776 Total Exposure 451 4915 2809 8175 Of which NPA 0 0 2120 2120 13/32

  18. Slide 18: Standard Domestic Credit exposure – Profile of External rating

    Standard Domestic Credit exposure – Profile of External rating ` in Cr 30.06.2018 31.03.2019 30.06.2019 External Rating % to % to % to Grades Exposure Exposure Exposure Total Total Total AAA 14753 12.8 11464 10.6 12753 11.8 AA+ 19538 16.9 16735 15.4 23066 21.4 A 10820 9.4 9298 8.6 13347 12.4 BBB 188

  19. Slide 19: Investment - Domestic

    Investment - Domestic ` in Cr Composition 30.06.2018 31.03.2019 30.06.2019 Y-o-Y (%) Central Government Securities 44284 38139 40616 -8.3 0.17% State Government Securities 13204 13880 15384 16.5 31.18% Other Approved Securities 24 5 4 -83.4 Debentures & Bonds 8364 9275 8908 6.5 68.65% Treasury Bills

  20. Slide 20: Performance Ratios

    Performance Ratios % Annualized Quarter Ended Parameters 30.06.2018 31.03.2019 30.06.2019 Cost of Deposits 5.15 5.34 5.40 Cost of Funds 5.20 5.37 5.42 Cost to Income Ratio 42.25 46.62 44.59 Yield on Advances 8.57 8.43 8.40 Return on Assets (RoA) 0.33 -0.28 0.52 Net Interest Margin (NIM) Domestic 3.1

  21. Slide 21: Capital Adequacy & Risk Management

    Capital Adequacy & Risk Management ` in Cr Parameters 30.06.2018 31.03.2019 30.06.2019 Risk Weighted 30.06.2018 31.03.2019 30.06.2019 Capital 19169 20234 21034 Assets (RWA) 123780 127604 129276 Common Equity Tier I (CET 1) 16840 16790 17604 Credit (75.30%) (67.91%) (70.13%) Additional Tier I 500 500

  22. Slide 22: Shareholding Pattern & Balance Sheet

    Shareholding Pattern & Balance Sheet ` in Cr % of Holdings Pattern of Equity Shareholding Resident/ Shareholder % Employees/ FI/FPI/FII, Government of India 79.62 NRI, 4.70% Others , 6.66% 0.56% Mutual Funds 8.45 FI/FPI/FII 6.66 Mutual Funds, Resident/Employees/NRI 4.70 8.45% Government of India, Ot

  23. Slide 23: Asset Quality - Movement of NPA

    Asset Quality - Movement of NPA S QE ` in Cr Details No 30.06.2018 31.03.2019 30.06.2019 1 Gross NPA opening balance 11990 13198 13353 ADDITIONS : Fresh Slippages 1391 962 1035 To old NPAs / Others 51 43 42 2 Sub-Total 1442 1005 1077 Sectorwise Fresh Slippages LESS: Cash Recovery 698 255 342 Upgrada

  24. Slide 24: NPA Position – Sector wise

    NPA Position – Sector wise ` in Cr 30.06.2018 31.03.2019 30.06.2019 % to % to % to Sectorwise Gross NPA to Total Gross NPA % Sector Gross NPA respective Gross NPA respective Outstanding Gross NPA respective portfolio portfolio portfolio Retail Credit Agriculture MSME Corporate Retail Credit 747 2.75

  25. Slide 25: NPA Position – Industry wise

    NPA Position – Industry wise ` in Cr 30.06.2018 31.03.2019 30.06.2019 Industry % to % to % to Gross NPA respective Gross NPA respective Gross NPA respective portfolio portfolio portfolio Metal and Metal Products (Incl. Iron & Steel) 3030 54.21 1962 29.64 2116 30.25 Coal and Mining 293 57.76 830 81.1

  26. Slide 26: Status of NCLT Accounts – Q1 FY 19-20

    Status of NCLT Accounts – Q1 FY 19-20 ` in Cr No.of Category Exposure Provision PCR% Accounts RBI List I 6 1630 1242 76.2 RBI List II 8 621 608 97.9 Others * 50 3238 2736 84.5 Total 64 5489 4586 83.6 * of which accounts filed by other banks at NCLT: 21 accounts - `1228 Cr  Recovery through Resoluti

  27. Slide 27: Business Network

    Business Network Region wise Population Group wise Urban Northern 632 11 % 2% Semi 8% North Urban 825 Central Eastern Metro 10 % 679 Eastern 9% Rural Western 736 Overseas 60 % 3 Southern Growth – in Branch Network ( Global) 2872 branches 3885 2875 2822 ATMs & BNAs 3034 Business 3 Overseas Correspond

  28. Slide 28: Digital Products for Digital India

    Digital Initiatives igital Products for igital India Cash @ POS Facility M- SIP Cash Withdrawal facility at Bank’s Merchants Software Integrated POS POS terminals using Debit/Prepaid for collection of payments cards. UPI Collect Mandate Collect Merchant Payment integration ECS Mandate for utility pa

  29. Slide 29: Migration to Digital Channels

    Migration to Digital Channels igital Products for igital India Share of Transaction through Digital 40% Alternate Channels Transaction 47% 68% 21% ATM & BNA 21% Branch 39% 61% Transaction 32% FY 2018-19 Q1 FY 2019-20 Q1 FY 2018-19 Q1 FY 2019-20 Q1 Transactions at Branch Counters 7% Transactions thro

  30. Slide 30: Digital Footprint

    Digital Footprint Net Banking Mobile Banking Net Banking Users in lakhs Mobile Banking Users YoY 26% YoY 40% 22 22 17 16 Q1-FY 2018-19 Q1-FY 2019-20 Q1-FY 2018-19 Q1-FY 2019-20 Net Banking Transactions Mobile Banking Transactions YoY 16% YoY 289% 74 352 63 91 Q1-FY 2018-19 Q1-FY 2019-20 Q1-FY 2018-1

  31. Slide 31: Digital Footprint – Performance under 24*7 Banking

    Digital Footprint – Performance under 24*7 Banking No. of ATM and BNAs No of ATM Transactions(in lakhs) YoY 15% YoY 4% 3885 844 812 3381 FY 2018-19 Q1 FY 2018-19 Q1 FY 2019-20 Q1 FY 2019-20 Q1 POS/e-Com Transactions YoY 1.3% Number of Debit Cards as on 30.06.2019 145 147 147.60 Lakh  Highest RuPay

  32. Slide 32: Financial Inclusion – Performance under PMJDY

    Financial Inclusion – Performance under PMJDY Jun 19 38.25 Accounts (No.in lakhs) Jun 18 33.63 14% increase in number of accounts Overdrafts Sanctioned Jun 19 17.74 (Rs in Cr) 16.64 Jun 18 8% reduction in Jun 19 12.73 number of zero % of Zero Balance A/cs Jun 18 13.75 balance accounts 26% increase i

  33. Slide 33: Government Schemes

    Government Schemes PRADHAN MANTRI PRADHAN MANTRI MUDRA ATAL PENSION PSB Loans in 59 SURAKSHA BIMA JEEVAN JYOTHI YOJANA Minutes YOJANA BIMA YOJANA Disbursement 6.18 lakh `146.52 Cr 23.02 lakh 10.18 lakh `414.64 Cr in enrolments sanctioned in Policies Policies 24887 accounts Persistency 390 accounts (

  34. Slide 34: Awards & Accolades

    Awards & Accolades Financial Express Reader’s Digest NABARD Business World Voted as a First 2nd Runner-up FE India’s Best Bank ‘Trusted Bank’ among PSBs for in Mid-Size Bank 2017-18 in the Nationalised Excellence in performance under Category at Nationalised Bank Banks Magna Awards 2019 category “SH

  35. Slide 35: 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. Except for the historical information contained herein, statements in this rele

  36. Slide 36: Thank you

Indian Bank — Q1 FY2019-20 Earnings Presentation on 6ix