Bandhan Bank Ltd. · NSE:BANDHANBNK
Bandhan Bank — Q1 FY24 Earnings Presentation
35 slides from Bandhan Bank's earnings presentation, Jul 14, 2023
Slide 1: Exchange filing cover letter
Ref. No.: BBL/182/2023-24 July 14, 2023 BSE Limited National Stock Exchange of India Limited Dept. of Corporate Services The Listing Department Phiroze Jeejeebhoy Towers, Exchange Plaza, Dalal Street, Fort, Bandra Kurla Complex, Mumbai – 400001 Mumbai – 400051 BSE Scrip Code: 541153 NSE Symbol: BAND
Slide 2: Investor Presentation Q1FY24
Investor Presentation Q1FY24 July’ 2023
Slide 3: Disclaimer
Disclaimer • This presentation is confidential and may not be copied, published, distributed or transmitted. The information in this presentation is being provided by Bandhan Bank Limited (also referred to as ‘Bank’). By attending a meeting where this presentation is made, or by reading this present
Slide 4: Key Highlights
Key Highlights
Slide 5: Key Highlights
Key Highlights Bandhan Bank - Overview Snapshot of operations Q1FY24 Retail division grew 86% YoY, Commercial Banking division grew 78% YoY Total Deposits ₹ 1,084.8 bn Loan portfolio (on book + off book + TLTRO + PTC) for Q1FY24 grew 6.7% YoY Total Loans and Deposits grew by 16.6% YoY in Q1 FY
Slide 6: EEB Collection Efficiency
EEB Collection Efficiency Collection Efficiency for the month Collection Efficiency for the quarter Mar'23 Jun'23 Q4 FY 23 Q1 FY 24 124.1% 107% 94.7% 95% 98.5% 98% 123.0% 98.5% 98% 108% 96.1% 94% Including NPA Excluding NPA Including arrears Including NPA Excluding NPA Including Arrears Excluding Ar
Slide 7: Material Items for the Quarter
Material Items for the Quarter Background a. As on 31st Mar’23, the bank had Rs 31.7 bn of advances, which crossed 90+ dpd, covered under CGFMU scheme of NCGTC. These advances were part of NPA pool and continues to remain the same (net of recovery) as on Q1FY24. b. As on 31st Mar’23, the bank had Rs
Slide 8: EEB DPD movement
EEB DPD movement 1-30 days 31-60 Days Rest of India 2.6% Assam 1.9% 1.5% 1.3% 3.4% West Bengal 2.3% 1.4% 1.9% 1.1% 1.2% 0.8% Overall EEB 0.6% 1.5% 1.7% 1.3% 1.0% Rise in NPA % is Mar'23 Jun'23 Mar'23 Jun'23 primarily on account of 61-90 Days NPA • Classification of 9.3% ECLGS covered advances as non
Slide 9: EEB stress pool coverage analysis
EEB stress pool coverage analysis All amount in ₹ Bn. EEB Stress Pool - ₹ 55 Bn. Mar’23 Coverage Amount Provision 38 33.4 CGFMU recovery 17 Assam Relief Scheme Xx 7.4 13.9 Total 55 NPA SMA 2 SMA 1 EEB Stress Pool - ₹ 62 Bn. Jun’23 Coverage Amount Provision 43 47.5 CGFMU recovery# 16 ECLGS Guarantee#
Slide 10: NPA movement
NPA movement All amount in ₹ Bn. Particulars Q1 FY23 Q2 FY23 Q3 FY23 Q4 FY23 Q1 FY24 Opening GNPA (A) 63.8 69.7 68.5 69.6 53.0 Fresh Slippages (B) 11.3 39.5 32.7 11.2 13.6 Reductions (C) : - - - - - - Recoveries & Upgrades 5.4 5.3 6.2 4.7 2.8 - Write offs - 35.4 25.3 - - NPA Sale to ARC (D) - - - 23
Slide 11: Business & Financial Overview
Business & Financial Overview 10
Slide 12: Geographical Distribution
Geographical Distribution Banking Outlets Focus on serving the rural & underbanked population Banking Outlets as on 30th Jun 2023* 6,140 5,999 5,640 10% Metro 34% 18% Urban 1,542 1,411 Semi-Urban 1,190 38% Rural *Basis original classification at the time of opening 4,450 4,598 4,588 Diversifying pre
Slide 13: Asset Book Mix
Asset Book Mix Total Advances (₹ in Billion) 1031.7 1091.2 Jun-23 EEB Group 26.1% SBAL* 966.5 32.7% 202.0 Retail 120.9 215.5 55.2 20.9% 18.1 17.0% CB 33.7 Mortgages 246.2 265.8 269.5 3.3% Mar-23 EEB Group 581.3 568.2 513.0 24.3% SBAL* 34.9% Retail 18.5% 17.2% CB Jun'22 Jun'23 Mar'23 Mortgages EEB Mo
Slide 14: Emerging Entrepreneurs Business
Emerging Entrepreneurs Business Emerging Entrepreneurs Asset Growth Number of Active Borrowers (Mn) (₹ in Billion) 13.7 13.7 581.3 568.2 12.7 513.0 152.1 187.6 Jun'22 Jun'23 Mar'23 175.3 EEB Loan Disbursement (₹ in Billion) 429.2 211.7 380.6 337.7 64.0 82.2 80.2 Jun'22 Jun'23 Mar'23 21.2 147.7 24.0
Slide 15: Housing Finance
Housing Finance Housing Asset Bifurcation (₹ in Billion) Borrowers Bifurcation – Jun’23 269.5 265.8 0.4% 246.2 2.6 2.5 2.6 22.1 21.5 18.9 34.8 33.6 30.5 43.5% 56.1% 194.2 210.0 208.2 Jun'22 Jun'23 Mar'23 Housing LAP IBPC Construction Salaried Self Employed Professionals Housing Asset Segment wise (i
Slide 16: Commercial Banking (CB) & Retail Assets
Commercial Banking (CB) & Retail Assets Product wise CB Assets (₹ in Billion ) CB segment wise Growth NBFC SME 215.5 202.0 Q-o-Q YoY 120.9 105.3 99.4 7.4% 110.3% 68.5 110.2 102.6 6.0% 53.7% 52.4 Jun'22 Jun'23 Mar'23 NBFC SME Product wise Retail Assets (₹ in Billion ) CB & Retail Disbursements# – (₹
Slide 17: Liabilities Profile
Liabilities Profile Deposits Growth (₹ in Billion) Retail to Total Deposits (%) 78% 71% 71% 1084.8 1,080.7 930.6 312.4 311.2 Jun'22 Jun'23 Mar'23 201.1 CASA (%) 381.7 344.9 43.2% 327.6 36.0% 39.3% 358.2 338.7 360.4 Jun'22 Jun'23 Mar'23 43.7 52.0 64.2 Average SA Balance Per Customer (₹ in 000’) Jun'2
Slide 18: Financial Performance
Financial Performance Total income (₹ in Billion) Operating Profit (₹ in Billion) Net interest Income Other Income Total Income 18.2 18.0 15.6 28.8 31.0 28.4 6.3 3.3 3.9 Q1 FY 23 Q1 FY24 Q4 FY 23 PAT (₹ in Billion) 25.1 8.9 24.9 24.7 8.1 7.2 Q1 FY 23 Q1 FY24 Q4 FY 23 Q1 FY 23 Q1 FY24 Q4 FY 23 17
Slide 19: Break up of Other Income
Break up of Other Income Rs 3.3 bn Rs 6.3 bn Rs 3.9 bn 15.7% 15.3% 32.4% 2.7% 3.4% 3.5% 8.7% 14.3% 4.2% 0.6% - 8.8% 21.3% 25.8% 27.0% 48.0% 37.0% 31.2% Q1 FY23 Q4 FY23 Q1 FY24 Processing Charges Third Party Income Collection fees from ARC Profit on sale of Investment Card Charges Others 18
Slide 20: Financial Performance
Financial Performance Capital Adequacy Ratio (CRAR) NIM (Annualized) Tier I Tier II Total 8.0% 7.3% 7.3% 19.4% 19.8% 19.8% 1.1% 1.0% 1.1% 18.3% 18.8% 18.7% Jun'22 Jun'23 Mar'23 CRAR (incl. Q1FY24 PAT) is at 20.5%. Q1 FY 23 Q1 FY24 Q4 FY 23 Spread (Annualized) Yield Cost of funds (Excl Cap.) Spread 1
Slide 21: Financial Performance
Financial Performance ROAA & ROAE (Annualized) Operating expenses to Average Assets (Annualized) ROAA ROAE 19.7% 17.0% 3.5% 3.5% 14.4% 2.9% 2.5% 1.9% 2.2% Q1 FY 23 Q1 FY24 Q4 FY 23 Q1 FY 23 Q1 FY24 Q4 FY 23 Cost to Income Ratio 45.7% 42.1% 36.0% Q1 FY 23 Q1 FY24 Q4 FY 23
Slide 22: Financial Performance
Financial Performance Segmental GNPA movement - (₹ in Billion) Gross NPA and Net NPA Gross NPA (%) Net NPA PCR 69.6 69.6 74.9% 69.2% 74.3% 0.2 0.6 7.3% 6.8% 7.4 6.2% 76.8% 10.6 53.0 4.9% 8.7 Retail 1.9% 2.2% 10.9 0.4 1.7% 1.2% 8.8 CB Housing 10.4 Jun'22 Jun'23 Performa Jun'23* Mar'23 EEB * Adjusting
Slide 23: Profit & Loss Statement (IN ₹ Bn.)
Profit & Loss Statement (IN ₹ Bn.) Particulars Q1 FY 24 Q4 FY 23 QoQ% Q1 FY 23 YoY% Interest Income 45.23 42.68 5.97% 40.55 11.53% Interest expenses 20.32 17.96 13.14% 15.41 31.87% Net Int. Income (NII) 24.91 24.72 0.77% 25.14 -0.93% Non Interest Income 3.85 6.29 -38.79% 3.30 16.78% Net Total Income
Slide 24: Balance Sheet (IN ₹Billion)
Balance Sheet (IN ₹Billion) As at As at Particulars % Change 30th Jun 2023 31st Mar 2023 Capital & Liabilities Capital 16.11 16.11 0.00% Reserves & Surplus 186.97 179.73 4.03% Shareholder Funds 203.08 195.84 3.70% Deposits 1084.80 1080.69 0.38% Borrowings 188.91 247.11 -23.55% Other liabilities and
Slide 25: Credit Rating
Credit Rating Rating of Bank’s Financial Securities Amount Instrument Rating Rating Agency (₹ in Billion) [ICRA]AA (Negative) ICRA Non-Convertible Debenture # 15.60** CRISIL AA/Negative CRISIL Term Loans From Bank [ICRA]AA (Negative) ICRA 0.80 CRISIL A1+ CRISIL Certificate of Deposit 60.00* [ICRA] A
Slide 26: Our Board & Management
Our Board & Management 25
Slide 27: Management Team
Experienced and professional team… Chandra Shekhar Ghosh Ratan Kumar Kesh MD & CEO Chief Operating Officer Founder of BFSL, has 30 years of experience in the field of 28+ years of experience in financial, banking, manufacturing and microfinance and development service industry Awarded ‘Entrepr
Slide 28: Management Team
Experienced and professional team… P Ramaswamy Indranil Banerjee Chief of Internal Vigilance Company Secretary 29+ years of experience in experience in banking industry. 20+ years experience in financial industry Previously served as Head – Fraud Risk Management at Equitas Small Previously s
Slide 29: … backed by a strong independent Board
… backed by a strong independent Board Board of Directors Dr. Anup Kumar Sinha Chandra Shekhar Ghosh Ratan Kumar Kesh Non-executive (Independent) Chairman Managing Director & CEO Executive Director - Has more than two decades of experience in - Economist with Ph.D from University of - Has more than
Slide 30: Awards and accolades
Awards and accolades Forbes Worlds Best Banks 2023 Bandhan Bank featured in Forbes World’s Best Banks list for the year 2023. Market research was conducted by leading firm ‘Statista’. Gallup Exceptional workspace Bandhan Bank received the 2023 Gallup Exceptional Workplace Award. We are among the onl
Slide 31: Awards and accolades
Awards and accolades Businessworld Magna Awards Banker of the Year by Business 2019 Standard At Magna Awards 2019 organised by Businessworld, Bandhan Bank Mr. Chandra Shekhar Ghosh, Managing won two awards. Director and Chief Executive Officer was 1. Best Bank declared as the Business Standard 2. Fa
Slide 32: Awards and accolades
Awards and accolades Dun & Bradstreet Corporate Awards 2021 Dun & Bradstreet honoured the torchbearers among Indian corporates at its annual 'Corporate Awards 2021’ held on July 16, 2021. The awards were virtually presented across 30+ categories. Bandhan Bank was recognised in the category of Best G
Slide 33: Awards and accolades
Awards and accolades e4m Pride of India Brands 2022 Bandhan Bank received Pride of India Brands awards organized by Exchange for Media, the awards were recognised and celebrated for setting new standards of innovation and excellence in their products, processes and marketing practices. FE Pillar of
Slide 34: Awards and accolades
Awards and accolades Bandhan Bank wins IBS intelligence Global Fintech Award Bandhan Bank received the IBS intelligence Global Fintech Award for “Best Digital Channel/Platform Implementation: Best Project Implementation “for Corporate Internet Banking implementation on December 14, 2022. The IBSi Gl
Slide 35: Thank You
Thank You Investor.relations@bandhanbank.com 34