Lic Housing Finance Ltd · NSE:LICHSGFIN
Lic Housing Finance — Q2 FY2018 Earnings Presentation
21 slides from Lic Housing Finance's earnings presentation, November 2017
Slide 1: Q2 FY18 Investor Update
7 aa See: LIC HOUSING FINANCE LTD Q2 FY18 Investor Update
Slide 2: A Journey of 28 Years
A Journey of 28 Years… • Best HFC by ABP 2016 News •Business Today- Best CEO Award 2014 2015 • Business World - •Crosses Rs 1 Most Respected Co •Crossed Rs. 1000 cr profit & lakh cr in Award Rs 75,000 Cr assets portfolio •Outlook Money- •Best Housing Best HFC 2013 Finance Co. by •Best HFC by ABP BFS
Slide 3: Executive Summary – Q2/FY18
Executive Summary – Q2/FY18 Q2 FY18 PAT at Rs 489.12 cr as against Rs 494.76 cr Q2 FY18 Revenue from operations up by 7% to Rs 3687 cr Outstanding Loan portfolio up by 16% to Rs.151417 cr Individual Loan Portfolio up by 14 % to Rs 145486 cr Q2FY18 Disbursements Rs 10975 cr against Rs 9123
Slide 4: Update – last 5 years
Update – last 5 years Disbursement (Rs. Cr) CAGR 14% Loan Portfolio (Rs.cr) CAGR 17% 50000 41541 40000 36151 30327 30000 24359 25271 20000 10000 0 2013 2014 2015 2016 2017 Income (Rs. cr) CAGR 16% Profit After Tax (Rs. cr) CAGR 17% 4
Slide 5: Update – last 5 years
Update – last 5 years Gross & Net NPAs Total Provisions* (Rs cr) Operating Expense to Total Income Profit per employee (Rs. lacs) * Provisions Including Provisions on Std. Assets & Teaser Loans 5
Slide 6: Update – last 5 years
Update – last 5 years EPS (Rs) (Rs 2/- pd up) Book Value (Rs)(Rs 2/- pd up) Return on Avg Equity Return on Avg Loan Assets 6
Slide 7: Geographic Presence
Geographic Presence Corporate office • 9 Regional Offices Regional offices Amritsar Jalandhar Back offices Operating offices • 22 Back Offices Shimla • 249 Marketing Offices Ludhiana Ambala Chandigarh Bhatinda Patiala Dehradun Hisar Noida Karnal • Rep offices in Dubai & Kuwait Meerut Haldwani Gurgao
Slide 8: Distribution Network
Distribution Network HOME LOAN AGENTS (HLAs) (Agents of LIC) DIRECT SALES AGENTS (DSAs) 249 (Small Firms/Companies etc) Marketing Offices CUSTOMER RELATIONS ASSOCIATES (CRAs) (Individual Agents) 39 branches of LICHFL Financial Services (100% subsidiary of LICHFL) 8
Slide 9: Origination Pattern & Average Ticket Size
Origination Pattern & Average Ticket Size 9
Slide 10: Loan Book Composition
Loan Book Composition 30.09.2017 30.06.2017 O/s Portfolio Rs. 151417 cr O/s Portfolio Rs. 147051 cr 10
Slide 11: Individual Loans – Portfolio Stats
Individual Loans – Portfolio Stats Pure Floating Rate Loans Loan To Value Ratio To Outstanding Portfolio On Incremental Sanctions As of FY 16 47% For FY 16 47% As of FY17 70% For FY17 45% As of Q1FY18 73% For Q1FY18 47% As of Q2FY18 78% For Q2FY18 45% Prepayment Installment to Net Income Ratio Lump
Slide 12: Financial Highlights- Q2
Financial Highlights- Q2 Q2 FY2018 Q2 FY 2017 Return on Average Equity (%) 17% 19% Return on Average Assets (%) 1.3% 1.5% Earnings per share (on Rs 2 pd up) 9.69 9.80 Capital Adequacy Ratio March 2017 Sept 2016 Tier I 13.35 13.99 Tier II 2.29 2.65 Total 15.64 16.63 12
Slide 13: Executive Summary-Q2/H1FY18
Executive Summary-Q2/H1FY18 Var Q2 Q2 Var H1 H1 FY18 FY17 FY18 FY17 Interest Income on Individual Loans 6% 3490.68 3308.21 6% 6935.60 6520.24 Interest Income on Project Loans 39% 167.39 120.10 41% 331.24 234.4 Total 7% 3658.08 3428.31 8% 7266.84 6754.64 Processing Fees & Other Fees 4% 29.34 28.14 (1
Slide 14: Executive Summary-Q2/H1FY18
Executive Summary-Q2/H1FY18 Var Q2 Q2 Var H1 H1 FY18 FY17 FY18 FY17 Disbursements Individual 18% 10366.78 8754.97 18% 18652.97 15819.44 Project 65% 608.47 367.79 21% 1021.6 845.31 Total 20% 10975.25 9122.76 18% 19674.57 16664.75 Outstanding Portfolio Individual 14% 145486.20 127434.08 14% 145486.20
Slide 15: Liability Profile
Liability Profile as on 30.9.2017 Outstanding Borrowings – Rs.133622 cr Source Wtd Avg Cost (%) Banks 8.31% Non Convertible Debenture 8.46% National Housing Bank 8.22% Sub. Bonds & Upper Tier II 9.18% Commercial Paper 6.37% Deposits 8.04% Total 8.37% During Q2FY18, Borrowings were Rs 15677cr @ 7.23%
Slide 16: Change in Liability Mix- last 3 yrs
Change in Liability Mix- last 3 yrs Bank funding has reduced from 32% in FY12 to 25% in FY14. Retail Deposits increased to 2.2% Wtd. Avg. cost 8.37% 8.50% 8.59% 9.14% 9.48% of Funds 16
Slide 17: Yield & Cost of Funds on portfolio
Yield & Cost of Funds on portfolio 17
Slide 18: NIMs
7 ape orl, LIC HOUSING FINANCE LTD 3.00% + 2.68% 2.50% +4 2.00% T T T T 1 Q2FY14 Q2FY15 Q2FY16 Q2FY17 Q2FY18 18
Slide 19: Gross & Net NPAs
Gross & Net NPAs 30.9.2017 30.9.2016 Gross NPA (Rs. cr) 1211 750 Gross NPA (%) 0.80% 0.57% Provisions for NPA (Rs. cr)* 561 382 Net NPA(%) 0.43% 0.28% Provisions including standard asset 1192 931 provisions Provisions cover including standard asset 98% 124% provisions *Excluding provisions on standa
Slide 20: Gross & Net NPAs
4 ape orl, LIC HOUSING FINANCE 0.80% 4 0.70% + 0.60% + 0.50% { 0.40% 0.30% 0.20% 4 0.10% Gross & Net NPAs 0.80% 0.73% “> 0.63% 0.60% 057 0.44% 0.43% 0.33% 32% 0.28% ' t t ' as rte) © Nn ce) & & a a & N N N N N ie} ie} So Go o e=eeGross NPA = mmm Net NPA 20
Slide 21: Thank you
Thank you DISCLAIMER This presentation is made purely for information. We have attempted to provide relevant information which we believe will help in knowing the Company. The users may use their own judgment and are advised to make their own calculations before deciding on any matter based on the i
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