Suryoday Small Finance Bank Limited · NSE:SURYODAY
Suryoday Small Finance Bank — Q3 FY2022 Earnings Presentation
35 slides from Suryoday Small Finance Bank's earnings presentation, Feb 3, 2022
Slide 1: Cover letter to exchanges: revised investor presentation
Ref.: SSFB/CS/80/2021-2022 Date: February 3, 2022 To, National Stock Exchange of India Limited BSE Limited Listing Department Listing Compliance Exchange Plaza, C-1, Block G, Bandra Kurla P.J. Tower, Complex, Dalal Street, Bandra (East) Fort, Mumbai —400 051 Mumbai — 400 001 Symbol: SURYODAY Scrip C
Slide 2: Investor Presentation – Q3FY22
Suryoday Small Finance Bank Limited Investor Presentation – Q3FY22
Slide 3: Safe Harbour
Safe Harbour This presentation and the accompanying slides (the “Presentation”), which have been prepared by Suryoday Small Finance Bank (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any
Slide 4: Table of Contents
Tables of Content About Us Business Performance Liability Update Table of Contents Asset Business Update Digital Initiatives & Distribution Financials & Key Ratios
Slide 5: About Us
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Slide 6: Our Journey So Far
Our Journey So Far • Gross Advances of ₹ 4,872.3 cr with 564 2021 banking outlets and 18.5 lacs customers as of 9MFY22 • The Company was listed on BSE & NSE on March 21 • 2018-20 Investment by DEG, Kotak Life Insurance and TIAA • Long-term rating of ‘[ICRA]A’ and short-term rating of ‘A1+’ from CRIS
Slide 7: Well Diversified Product Offerings
Well Diversified Product Offerings Inclusive Finance Liability & Fee Based Products • Unsecured group loans built on joint liability group model given to microentrepreneurial women for use in their income generating activities Retail Products Affordable / Micro Housing Loans • Current Account • Aime
Slide 8: Business Performance
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Slide 9: Q3FY22 Management Commentary
Q3FY22 Management Commentary Business Performance • In Q3 FY22, the Bank disbursed ₹ 1,121.0 crores, up from ₹ 1,066.9 crores in Q2 FY22 and ₹ 785.3 crores in Q3 FY21. The main focus is on retaining quality Micro finance clients and increasing the affordable housing portfolio and secured business lo
Slide 10: Q3FY22 Management Commentary
Q3FY22 Management Commentary • Cost of Funds reduced to 6.8% in Q3FY22 compared to 7.1% in Q2FY22. • Cost to income during the same period moderated to 56.6% as compared to 65.7% in Q3FY22 which was primarily due to rise in income coupled with lower cost of borrowing. • PPOP increased from ₹ 48.2 cr
Slide 11: Q3FY22 Performance Highlights
Q3FY22 Performance Highlights ₹ in Crs. Deposits - 3,169.5 Gross Advances (-5.2% YoY) Disbursement Retail: Bulk Deposit 4,872.3 (+24.7% YoY) Retail deposit- 1,121 (+43.0% YoY) 88.4%:11.6% 2,801.1 (+15.7% YoY) Asset Mix COF ROA* ROE* IF – 66.8% 6.8 (-60.0bps) 0.3% 1.2% Others – 33.2% PPOP – 80.5 PBT
Slide 12: Q3FY22 Performance Highlights
Q3FY22 Performance Highlights Disbursements (₹ in Crs.) Net Interest Income (₹ in Crs.) Gross Advances (₹ in Crs.) +25% +43% +53% 4,872.3 1,067.0 1,121.0 167.3 4,470.4 147.2 3,908.0 785.3 109.6 Q3FY21 Q2FY22 Q3FY22 Q3FY21 Q2FY22 Q3FY22 Q3FY21 Q2FY22 Q3FY22 PPOP (₹ in Crs.) PPOP (Ex MTM) ₹ (in Crs.)
Slide 13: Q3FY22 Performance Highlights
Q3FY22 Performance Highlights Yield (%) Cost ofYield% Funds (%) Cost / Income DisbursementsYield% Ratio NIM (%) +60 bps -120 bps +250 bps 18.6% 19.3% 19.2% 8.0% 9.9% 7.1% 6.8% 9.1% 7.4% Q3FY21 Q2FY22 Q3FY22 Q3FY21 Q2FY22 Q3FY22 Q3FY21 Q2FY22 Q3FY22 OERReturn % Ratios (%)* PAT PAT / Income Ratio (%)
Slide 14: Outlook & Way Ahead
Road Map Cost to Loans & Asset Deposits 10.5% Income 56.6% Overall Advances -5.2% Quality Ratio 24.7% ▪ JLG normalization to pre-Covid ▪ GNPA at 10.5% and NNPA at ▪ Cost Income ratio under 60% ▪ Moderate impact of 3rd wave of ▪ Growing retail business at ₹ The Story So Far levels [₹ 800 Cr./ QTR] 5.
Slide 15: Liability Update
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Slide 16: Healthy Balance Sheet
Healthy Balance Sheet Balance Sheet Mix • Long term refinance continue to form significant portion of our liability profile comprising of 87% of the overall borrowings. 3.4% • Bulk deposits share in total deposits reduced to 11.6% at 31st December 21.3% 2021 from 28% in December 2020 Shareholders Fu
Slide 17: Deposit Update (1/2)
Deposit Update (1/2) Deposits CASA Mix ₹ in Crs. 3,344 3,129 3,170 ₹ in Crs. 445.4 578.9 608.6 49.9 54.4 59.0 11.2% 9.4% 9.7% 2,421.1 72.4% 2,750.4 2,801.1 87.9% 88.4% 395.5 524.5 549.6 88.8% 90.6% 90.3% 922.9 27.6% 378.6 367.7 12.1% 11.6% Q3FY21 Q2FY22 Q3FY22 Q3FY21 Q2FY22 Q3FY22 Retail Bulk CA SA
Slide 18: Deposit Update (2/2)
Deposit Update (2/2) Cost of Deposits Geographic diversification of Deposits 4.3% 6.6% 6.0% 7.7% 7.1% 7.1% 6.4% 39.6% 6.6% 30.6% Q3FY21 Q2FY22 Q3FY22 Maharashtra Karnataka Delhi Others Tamil Nadu Gujarat Odisha • Cost of deposits declined to 7.1% as on 30 December 2021 • The Bank had a total of 97 l
Slide 19: Asset Business Update
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Slide 20: Asset Business Update
Asset Business Update Particulars IF CV HL SBL FIG Others Total Gross Advances (Rs. Crore) 3,255 338 419 202 370 288 4,872 Disbursement - Q2FY22 (Rs. Crore) 787 30 70 30 132 71 1,121 Collection Efficiency - 1 EMI Restricted Month of December 2021 (%) 82% 89% 94% 88% 100% - 84% Portfolio Mix – Produc
Slide 21: Asset Quality
Asset Quality Gross GNPA after Floating Total PCR2 PCR2 Provisions NNPA GNPA4 NNPA4 Product Advances w/off Provision Provision (%) (Incl (%) (Incl 1 (₹ in Crore) (₹ in Crore) (%) % (₹ in Crore) (₹ in Crore) (₹ in Crore) (₹ in Crore) Tech W/off) Tech W/off) JLG 3,254.5 369.4 98.7 91.3 195.9 173.5 11.
Slide 22: Bucket-wise Paying Analysis – December
Bucket-wise Paying Analysis – December Portfolio status Total paying Product from delinquency 1-30 31-60 61-90 90+ Current % POS Paying % POS Paying % POS Paying % POS Paying % IF 73.50% 6.40% 5.10% 96.10% 7.60% 72.50% 7.30% 18.00% 68.70% CV 74.90% 8.90% 5.80% 99.40% 0.90% 100.00% 9.50% 42.60% 78.00
Slide 23: Movement of PAR
Movement of PAR 31.90% 31.10% 28.50% 22.30% 21.50% 20.70% 19.50% 19.20% 19.00% 15.70% 13.50% 13.40% 12.80% 10.90% 10.80% 9.10% 8.80% 8.40% 6.40% 6.40% 6.40% 5.20% 4.20% 3.20% 3.50% 3.30%4.10% 4.60% 4.10% PAR 1+ PAR 30+ PAR 60+ PAR 90+ 3.00% 2.90% 2.80% Mar-20’ Jun-20’ Sep-20’ Dec-20’ Mar-21’ Jun-21’
Slide 24: Restructured Advances
Restructured Advances Rs in Cr Prudential Norms Covid-19 related Stress Resolution related to Product Closing Balance Standard Book on IRAC of MSME Covid-19 related Stress JLG (including smile OD) 118.4 15.5 544.1 678.0 516.2 CV 22.3 44.4 - 66.7 41.5 HL 2.5 - 10.3 12.8 9.4 LAP - 0.4 12.0 12.4 12.3 T
Slide 25: Digital Initiative & Distribution
Digital Initiative & Distribution
Slide 26: Distribution Network
Distribution Network Branch Distribution Asset focused outlets 356 Liability focused outlets 97* Rural Centers 111 CG:1 Total 564 DL:3 Note: 15 29 * Includes 26 Composite Branches 40 Geographical Mix of the Branches 34 17 94 Outlets Liability Focused Asset Focused URC 156 Tamil Nadu* 17 64 17 2 42 7
Slide 27: Leveraging technologies to enhance our digital footprint
Leveraging technologies to enhance our digital footprint *Digital Transactions Transactions via UPI ₹ in Crs. Digital transactions (%) Total transactions 28,96,580 Digital transactions at 88% despite 23,28,525 significant rise in total volumes No. of 53,93,717 Transactions 14,85,360 50,04,417 432 88
Slide 28: Financial & Key Ratios
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Slide 29: Financials – Balance Sheet
Financials – Balance Sheet Particulars (figures in ₹ crores.) Dec-21 Dec-20 Y-o-Y Sep-21 Q-o-Q Capital and Liabilities Net-worth 1,553.5 1,191.0 30.4% 1,548.9 0.3% Deposits 3,169.6 3,343.8 -5.2% 3,129.0 1.3% Borrowings 2,322.2 1,487.1 56.2% 1,706.5 36.1% Others Liabilities and Provisions 251.1 328.5
Slide 30: Financials – P&L Account
Financials – P&L Account Particulars (figures in ₹ crores.) Q3 FY22 Q3 FY21 Y-o-Y Q2 FY22 Q-o-Q 9M FY22 9M FY21 Y-o-Y Interest Earned 255.0 203.6 25.3% 234.5 8.7% 705.2 624.3 13.0% Interest Expended 87.7 93.9 -6.6% 87.2 0.6% 267.2 271.1 -1.4% Net Interest Income 167.3 109.6 52.6% 147.3 13.6% 438.0 3
Slide 31: Key Metrics
Key Metrics Particulars Unit Q3 FY22 Q3 FY21 YoY Q2 FY22 Q-o-Q 9M FY22 9M FY21 Y-o-Y Gross Advances ₹ Crore 4,872.3 3,908.0 24.7% 4,470.4 9.0% 4,872.3 3,908.0 24.7% Disbursement ₹ Crore 1,121.0 785.3 43.0% 1,067.0 5.0% 2,547.6 1,157.8 120.0% Deposits ₹ Crore 3,169.5 3,343.8 -5.2% 3,129.0 1.3% 3,169.
Slide 32: Our Digital Initiatives
Our Digital Initiatives The pandemic added impetus to speed up digital adoption in order to provide greater customer convenience and make way for enhanced operational efficiency Introduced tech-enabled and real-time opening of bank account, OD account, ECLGS account through the launch of Smile OD fo
Slide 33: Corporate Social Responsibility
Corporate Social Responsibility • The CSR activities of the Bank are being implemented through Suryoday Foundation. In Q2FY22 Foundation focused on following activities • Recruitment of human resources as per the revised geographical locations • Selection of Blocks and Areas in 5 identified district
Slide 34: Board of Directors
Board of Directors Mr. R Ramachandran - Non-Executive Chairperson Mr. John Arunkumar Diaz - Independent Director and Independent Director Former CMD Andhra Bank, Former ED Syndicate Over 28 years with Standard Chartered Bank & Bank, Former Director SIDBI Banking Consultant Mr. Mrutunjay Sahoo - Inde
Slide 35: Investor Relations contacts
Investor Relations Advisor : Company : Suryoday Small Finance Bank Limited Strategic Growth Advisors Pvt. Ltd. CIN: L65923MH2008PLC261472 CIN: U74140MH2010PTC204285 Ms. Radhika Gawde Mr. Aakash S Mehta / Mr. Abhishek Shah E: radhika.gawde@suryodaybank.com E: aakash.s.m@sgapl.net / abhishek.shah@sgap
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