Indian Overseas Bank · NSE:IOB

Indian Overseas Bank — Q3 FY2023-24 Earnings Presentation

43 slides from Indian Overseas Bank's earnings presentation, Jan 25, 2024

  1. Slide 1: Performance Analysis Q3-FY 2023-24

    IND EX Performance Analysis Q3-FY 2023-24 1

  2. Slide 2: Index

    INDEX IND VISION EX ---------- 3 PERFORMANCE HIGHLIGHTS ---------- 4 FINANCIAL PERFORMANCE ---------- 6 BUSINESS PERFORMANCE ---------- 13 NPA MANAGEMENT ---------- 22 CAPITAL ADEQUACY ---------- 25 FINANCIAL INCLUSION ---------- 27 DIGITAL INITIATIVES ---------- 28 CUSTOMER TOUCH POINT ---------- 3

  3. Slide 3: Performance Analysis Q3-FY24

    IND EX 3 Performance Performance Analysis Analysis Q3-FY24 Q3-FY24

  4. Slide 4: Performance Highlights: Business Growth and Profitability

    PERFORMANCE HIGHLIGHTS IND BUSINESS GROWTH EX (Rs. In Crores) Parameters Dec-22 Sep-23 Dec-23 Q-o-Q (%) Y-O-Y ( %) CASA 114591 119206 120915 1.43% 5.52% BUSINESS GROWTH CASA% 44.50% 43.65% 43.49% (16 bps) (102 bps) Tot al Deposit s 257480 273093 278046 1.81% 7.99% Home Loan 23065 25596 26612 3.97% 1

  5. Slide 5: Performance Highlights: Asset Quality and Financial Indicators

    PERFORMANCE HIGHLIGHTS IND ASSET QUALITY EX (Rs. In Crores) Parameters Dec-22 Sep-23 Dec-23 Q-o-Q (%) Y-o-Y (%) Gross NPA 14333 9893 8441 -14.68% -41.11% QUALITY Net NPA 4000 1364 1303 -4.53% -67.44% ASSET GNPA% 8.19% 4.74% 3.90% -84 bps -429 bps NNPA% 2.43% 0.68% 0.62% -6 bps -181 bps STREGTHENING

  6. Slide 6: Financial Performance

    FINANCIAL PERFORMANCE IND EX (Rs. In Crores) Quarter Ending 9 Months Growth % Particulars 9Months 9 Months 9 Months Dec-22 Sep-23 Dec-23 Q-o-Q % Y-o-Y % FY 23-24 over FY-2022-23 FY-2023-24 9M FY 22-23 Interest Income 5056 5821 6176 14208 17421 6.09% 22.15% 22.61% Interest Expenses 2784 3475 3778 822

  7. Slide 7: Total Income

    TOTAL INCOME IND (Rs. In Crores) Quarter Ending EX 9 Months Growth % Particulars 9Months 9 Months 9 Months Dec-22 Sep-23 Dec-23 Q-o-Q % Y-o-Y % FY 23-24 over FY-2022-23 FY-2023-24 9M FY 22-23 Interest on Loans 3515 4288 4614 9519 12816 7.60% 31.27% 34.63% Interest on Investment 1448 1461 1519 4403 4

  8. Slide 8: Fee Based Income

    FEE BASED INCOME IND (Rs. In Crores) EX Quarter Ending 9 Months Growth % Particulars 9Months 9 Months 9 Months Dec-22 Sep-23 Dec-23 Q-o-Q % Y-o-Y % FY 23-24 over FY-2022-23 FY-2023-24 9M FY 22-23 A.Exchange & Commission 82 83 81 246 223 -3.18% -1.18% -9.09% B.Income from Non Fund Based 45 45 42 134

  9. Slide 9: Total Expenses

    TOTAL EXPENSES IND (Rs. In Crores) EX Quarter Ending 9 Months Growth % 9Months Particulars 9 Months 9 Months Dec-22 Sep-23 Dec-23 Q-o-Q % Y-o-Y % FY 23-24 over FY-2022-23 FY-2023-24 9M FY 22-23 Interest on Deposits 2594 3143 3283 7819 9271 4.45% 26.54% 18.57% Interest on Borrowings 190 332 495 410 1

  10. Slide 10: Profit Parameter

    PROFIT PARAMETER IND (Rs. In Crores) Quarter Ending EX 9 Months Growth % Particulars 9Months 9 Months 9 Months Dec-22 Sep-23 Dec-23 Q-o-Q % Y-o-Y % FY 23-24 over FY-2022-23 FY-2023-24 9M FY 22-23 Operating Profit 1540 1677 1780 4060 4803 6.15% 15.60% 18.29% Provisions 985 1053 1058 2612 2955 0.49% 7

  11. Slide 11: Performance Ratios - Quarterly

    PERFORMANCE RATIOS - QUARTERLY IND Cost of Deposits % Cost of Funds % EX 4.82 4.69 5.02 4.81 4.38 4.44 4.27 4.35 4.10 4.19 Dec-22 Mar-23 Jun-23 Sep-23 Dec-23 Dec-22 Mar-23 Jun-23 Sep-23 Dec-23 Yield on Investment % Yield on Advances % 8.78 8.88 6.42 8.52 8.52 8.43 6.00 6.04 5.89 5.86 Dec-22 Mar-23 J

  12. Slide 12: Performance Ratios - Quarterly

    PERFORMANCE RATIOS - QUARTERLY IND Yield on Funds % Return on Assets % 8.05 EX 7.74 0.86 7.50 0.83 7.27 7.31 0.73 0.75 0.62 Dec-22 Mar-23 Jun-23 Sep-23 Dec-23 Dec-22 Mar-23 Jun-23 Sep-23 Dec-23 Net Interest Margin % Cost to Income % 3.27 3.20 3.21 3.12 3.12 56.96 52.21 49.23 51.53 51.35 Dec-22 Mar-2

  13. Slide 13: Business Performance - Global

    BUSINESS PERFORMANCE - GLOBAL IND EX (Rs. In Crores) Q-o-Q variation Y-o-Y variation Particulars Dec-22 Sep-23 Dec-23 Amount % Amount % CASA 114591 119206 120915 1708 1.43% 6324 5.52% a)Retail Term Deposits 130771 135221 135815 594 0.44% 5044 3.86% b)Bulk Deposits 7951 13894 16522 2628 18.91% 8570 1

  14. Slide 14: Deposit Composition

    DEPOSIT COMPOSITION IND (Rs. In Crores) Parameters Dec-22 Sep-23 EX Dec-23 Q-o-Q variation Y-o-Y variation Amount % Amount % Domestic-Deposits Savings Bank 96537 100625 98544 -2081 -2.07% 2008 2.08% Current Account 15807 16182 19921 3739 23.10% 4114 26.03% CASA 112344 116808 118465 1658 1.42% 6122 5

  15. Slide 15: Business Composition

    BUSINESS COMPOSITION INDSHARE DEC- 23 BUSINESS PORTFOLIO Advances EX Savings Bank 20% 44% Current Deposits 4% Term Deposits 32% % SHARE OF DOMESTIC ADVANCE:DEC- POP CATEGORY WISE DISTRIBUTION 23 OF DEPOSITS:DEC-23 Metro Retail 46% Corporate/Others 24% 31% Urban 22% Overseas 3% Agri 25% Rural Semi MS

  16. Slide 16: Advances

    ADVANCES IND EX (Rs. In Crores) Q-o-Q variation Y-o-Y variation Parameters Dec-22 Sep-23 Dec-23 Amount % Amount % Retail 40838 45482 46616 1134 2.49% 5777 14.15% Agri 42284 47003 50326 3323 7.07% 8043 19.02% MSME 31783 39112 40643 1530 3.91% 8859 27.87% Corporate/others 45994 60226 60469 243 0.40% 1

  17. Slide 17: RAM Performance

    RAM PERFORMANCE IND (Rs. In Crores) Parameters Dec-22 Sep-23 Dec-23 Q-o-Q % EX Y-o-Y % RETAIL BREAK UP -DEC-23 Others RETAIL CREDIT 40838 45482 46616 2.49% 14.15% 24% Of which Personal Home 23294 25596 26612 3.97% 14.25% 4% Home Education 3482 3106 2635 -15.17% -24.34% 57% Vehicle Vehicle 3677 3972

  18. Slide 18: Agriculture

    AGRICULTURE IND (Rs. In Crores) Domestic EX Agri % Share to Period Domestic Advances Advances Advances Dec-22 160900 42284 26.28% Mar-23 173669 43988 25.33% Jun-23 174612 44853 25.69% Sep-23 191823 47003 24.50% Dec-23 198053 50326 25.41% Agri Advances Dec-23 50326 47003 42284 Dec-22 Sep-23 Dec-23 18

  19. Slide 19: MSME

    MSME IND (Rs. In Crores) Category Dec-22 Mar-23EXJun-23 Sep-23 Dec-23 Micro 20201 23654 24420 23607 24171 Small 6927 6959 7207 7471 7633 Medium 4656 4243 4320 8033 8839 Total 31783 34856 35947 39112 40643 MSME BREAKUP:DEC-23 Micro, 59.47% Small, 18.78% Medium,21.75% 19 Performance Analysis Q3-FY24

  20. Slide 20: Investment

    INVESTMENT IND (Rs. In Crores) Parameters Dec-22 Mar-23 Jun-23 Sep-23 Dec-23 Domestic Investments EX 92134 91170 93744 96044 92642 SLR 65043 64459 63455 66005 68029 Non SLR 27599 27675 27715 27739 28015 Held to Maturity 77454 77742 79981 80938 81709 Available for Sale 15158 14392 11128 12806 14127 H

  21. Slide 21: Valuations

    VALUATIONS IND Particulars Dec-22EX Mar-23 Jun-23 Sep-23 Dec-23 *Return on Equity (%) 16.56 18.32 13.44 16.16 17.70 *Basic & Diluted Earning per Share 0.29 0.34 0.26 0.33 0.38 *Price Earning Ratio 109.29 65.57 92.33 141.48 113.32 Book value per share (in Rs) 7.21 7.75 8.01 8.35 8.93 Price/Book value

  22. Slide 22: NPA Management

    NPA MANAGEMENT IND (Rs. In Crores) Details EX Dec-22 Mar-23 Jun-23 Sep-23 Dec-23 i) Opening Gross NPAs 14726 14333 14072 13629 9893 a. Cash Recov eries 340 292 248 329 212 b. Upgradation 380 175 143 181 163 c. Write-Offs 1356 403 597 3559 1491 d. Sale to ARCs 0 0 0 7 0 e. Other Reductions 0 0 0 0 0

  23. Slide 23: NPA Management

    NPA MANAGEMENT GNPA IND NNPA 9.00% 8.19% EX 7.44% 7.13% 8.00% 2.43% 7.00% 1.83% 6.00% 4.74% 1.44% 5.00% 3.90% 4.00% 0.68% 0.62% 3.00% Dec-22 Mar-23 Jun-23 Sep-23 Dec-23 Dec-22 Mar-23 Jun-23 Sep-23 Dec-23 PCR SLIPPAGE RATIO 96.76% 96.85% 92.63% 94.03% 91.34% 0.99% 86.20% 84.57% 81.01% 76.79% 0.33% 0.

  24. Slide 24: Sector-wise Credit Deployment & NPA

    SECTOR-WISE CREDIT DEPLOYMENT & NPA IND (Rs. In Crores) EX Dec-22 Sep-23 Dec-23 Segmental NPAs ADV NPA Ratio % ADV NPA Ratio % ADV NPA Ratio % Retail 40838 1646 4.03% 45482 1377 3.03% 46616 846 1.81% Agri 42284 2961 7.00% 47003 2228 4.74% 50326 2183 4.34% MSME 31783 3122 9.82% 39112 2373 6.07% 40643

  25. Slide 25: Capital Adequacy

    CAPITAL ADEQUACY IND (Rs. In Crores) Particulars Dec-22 EX Mar-23 Jun-23 Sep-23 Dec-23 Market Risk RWA 8695 8208 6506 7814 8481 Operational Risk RWA 15066 15066 16705 16705 16705 Credit Risk RWA 100294 106706 106969 106838 114570 Total RWA (A) 124055 129981 130180 131357 139756 CET 1 15704 16736 173

  26. Slide 26: Movement of CRAR & RWAs

    MOVEMENT OF CRAR & RWAs INDMovement CRAR-Q-o-Q EX 16.56% 17.00% 16.80% 16.10% 15.16% Dec-22 Mar-23 Jun-23 Sep-23 Dec-23 Credit RWA to Advance Ratio Total RWA to Advance Ratio 70.87% 57.29% 56.46% 55.93% 68.77% 68.06% 62.88% 64.65% 53.00% 51.14% Dec-22Mar-23 Jun-23 Sep-23 Dec-23 Dec-22 Mar-23 Jun-23

  27. Slide 27: Financial Inclusion

    FINANCIAL INCLUSION PMJDY Account (Number in Lakhs) IND PMJDY Account Balance (in Crs) 76.69 73.55 EX 3546 3541 3509 3510 69.15 67.96 3486 66.18 Dec-22 Mar-23 Jun-23 Sep-23 Dec-23 Dec-22 Mar-23 Jun-23 Sep-23 Dec-23 PMJDY Zero balance Accounts No in Jansuraksha Scheme (In Lakhs) Lakhs 62.02 68.08 44.

  28. Slide 28: Digital Initiatives - Go Digital

    Digital initiatives IND EX IOB MOBILE BANKING APP IOB DIGITAL BHIM IOB UPI PRODUCTS INTERNET BANKING GO DIGITAL !!! 28 Performance Analysis Q3-FY24

  29. Slide 29: IOB Mobile Banking App

    IOB MOBILE BANKING APP IND EX Performance Analysis Q4-FY24 29 Performance Analysis Q3-FY24

  30. Slide 30: Digital Initiatives - UPI

    DIGITAL INITIATIVES IND EX T&C Apply UPI BHIM IOB UPI MEANS 30 Performance Analysis Q3-FY24

  31. Slide 31: Digital Initiatives - e-BG

    DIGITAL INITIATIVES IND e -BG EX Get Your Bank Guarantee Digitally !!! e -BG 31 Performance Analysis Q3-FY24

  32. Slide 32: Digital Outreach

    DIGITAL OUTREACH ATM/CDM USERS IND INTERNET BANKING REGISTERED USERS (NO OF OUTLETS) 3515 3508 EX (IN LAKHS) 3495 28.97 27.77 3477 26.45 25.59 3455 24.73 Dec-22 Mar-23 Jun-23 Sep-23 Dec-23 Dec-22 Mar-23 Jun-23 Sep-23 Dec-23 MOBILE BANKING REGISTERED USERS UPI REGISTERED USERS (IN LAKHS) (IN LAKHS) 8

  33. Slide 33: Customer Touch Point Pan India

    CUSTOMER TOUCH POINT PAN INDIA Domestic Presence Dec-22 Mar-23 Jun-23 Sep-23 Dec-23 IND EX Branches 3220 3220 3222 3223 3226 ATM/CR 3455 3477 3495 3515 3516 BC 2742 3190 3322 3891 4886 DEC-23 BRANCHES DEC-23 ATM/CR Rural, Metro Rural, Metro, 847, , 724, 907, 698, 24% 21% 28% 22% Urban , 779, Semi 22

  34. Slide 34: Foreign Outreach

    FOREIGN OUTREACH IND EX HONG KONG BRANCH SINGAPORE BRANCH COLOMBO BRANCH BANGKOK BRANCH Performance Analysis Q3-FY24

  35. Slide 35: Share Holding Pattern

    SHARE HOLDING PATTERN IND Category of Shareholder % share EX Shareholding Pattern-DEC-23 Government of India 96.38% Government of FI/Banks 0.01% India, 96.38% Foreign Portfolio Investor (Corporate) 0.03% Mutual Funds 0.06% Insurance Companies 1.23% Institution, 1.44% Individual 1.86% ESOP/ESOS/ESPS

  36. Slide 36: Strategic Investment Joint Venture

    STRATERGIC INVESTMENT JOINT VENTURE IND IOB entered into Non-Life Insurance Business with Universal Sompo General Insurance (USGI) Company Limited with equity participation of 18% along with the other Banks and Institutions EX Name of Entity Shareholding % Indian Overseas Bank 18.06% Shareholding %

  37. Slide 37: Assets & Liabilities

    ASSETS & LIABILITIES IND Rs in Lakhs Balance Sheet as at 31.12.2023 EX LIABILITIES Standalone Consolidated Particulars Dec-23 Dec-22 Dec-23 Dec-22 Capit al 1890241 1890241 1890241 1890241 Reserves and Surplus 825487 569277 786340 528630 Deposit s 27804575 25747998 27826872 25752934 Borrowings 309936

  38. Slide 38: ESG Initiatives - Environmental

    ESG INITIATIVES IND EX IOB VEHICLE LOAN FOR E BIKE/CAR ENVIRONMENTAL SOCIAL GOVERNANCE IOB TEJAS FOR RENEWAL SOLAR ENERGY EQUIPMENT CREDIT FACILITY TO WIND MILL PAPERLESS BANKING ENVIRONMENTAL 38 Performance Analysis Q3-FY24

  39. Slide 39: ESG Initiatives - Social

    ESG INITIATIVES IND EX VARIOUS IOB CREDIT SCHEME FOR WOMEN ENVIRONMENTAL SOCIAL GOVERNANCE THE SAKTHI- IOB CHIDAMBARAM CHETTIAR MEMORIAL TRUST FINANCIAL LITERACY CENTERS (SNEHA) SOCIAL FRIENDLY WORK ENVIRONMENT 39 Performance Analysis Q3-FY24

  40. Slide 40: ESG Initiatives - Governance

    ESG INITIATIVES IND EX COMPLYING WITH ALL GUIDELINES &REGULATIONS ENVIRONMENTAL SOCIAL GOVERNANCE EFFECTIVE MONITORING CUSTOMER RIGHT POLICY EFFECTIVE CUSTOMER COMPLAINTS RESOLUTION GOVERNANCE 40 Performance Analysis Q3-FY24

  41. Slide 41: Accolades & Award

    ACCOLADES & AWARD IND EX On January 13, 2024, Bank has received the ICAI Awards for Excellence in Financial Reporting under ‘’Plaque” category for commended Annual Report in Category I – Public Sector Banks for the year ended March 31, 2023, from The Institute of Chartered Accountants of India (ICAI

  42. Slide 42: Disclaimer

    DISCLAIMER IND EX Except for the historical information contained herein, statements in this release which contain words or phrases such as "will", "aim" "will likely result", "would", "believe", "may", "expect",', "will continue ", "anticipate", "estimate" "intend", "plan", "contemplate" "seek to"

  43. Slide 43: Thank You

    IND EX THANK YOU We express our heartfelt gratitude to all our stakeholders for their support & trust and solicit their continued patronage to make our beloved Bank grow exponentially in the coming years Please provide your valuable feedback @investor.iobnet.co.in visit us @ https://www.iob.in Follo

Indian Overseas Bank — Q3 FY2023-24 Earnings Presentation on 6ix