Aptus Value Housing Finance India Limited · NSE:APTUS
Aptus Value Housing Finance India — Q4 FY23 Earnings Presentation
36 slides from Aptus Value Housing Finance India's earnings presentation, March 2023
Slide 1: Investor Presentation | Q4 FY23
Aptus Value Housing Finance India Limited Investor Presentation | Q4 FY23 1
Slide 2: Safe Harbor
Safe Harbor This presentation and the accompanying slides (the “Presentation”) which have been prepared by Aptus Value Housing Finance India Limited (the “Company”) have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscri
Slide 3: Background
Background Commenced Operations in 2010 from Chennai, Tamil Nadu Regulated by RBI and supervised by NHB Run by professional management team backed by Presence in 231 locations strong Founder Promoter and marquee investors 3 Q4 FY 23 Investor Presentation
Slide 4: Key Strengths
Key Strengths 1 Presence in Large Underpenetrated Market Leader in Attractive South Market 2 3 Good Asset Quality 4 Industry Leading Profitability 5 Good Governance, Management and Alignment 4 Q4 FY 23 Investor Presentation
Slide 5: Management Update
Management Update Resilient Profitability with RoA at 8.44% and RoE at 16.34% Expanding beyond South:- Pilot commenced in Odisha; Interim Dividend of ₹ 4 per share (Face value – Rs.2 per share) declared Awarded ‘India’s Leading Housing Finance NBFC (Mid) by Dun & Bradstreet at BFSI & FinTech Awards
Slide 6: Snapshot - March 2023
Snapshot - March 2023 Assets under Management (AUM) Disbursement Gross Stage 3 (*) Rs. 6738 Cr Rs. 2394 Cr 1.15 % +30% +7% +46% +10% -4 bps -29 bps Spread Opex to Assets Profit After Tax 14.31 % 2.75 % Rs. 503 Cr Consistemtly maintained +22 bps maintained +36 % +8% Return on Assets Return on Equity
Slide 7: Diversified Loan Portfolio With Niche Customer Focus
Diversified Loan Portfolio With Niche Customer Focus Secured Portfolio – Home Loans (HL) / Small Business Loans (SBL) HFC Top up NBFC Insurance loans 4% Small business loans /Non loans 5% HL- 100% Quasi LIG Customers 78% Home Loans 26% Home Self Employed Borrowers 71% Loans (65%) AUM – Rs.5761 Cr AU
Slide 8: 100% In-House Operations
100% In-House Operations Fully In-House Team… …Leading to Desired Business Outcomes Pricing Power 1,346 257 Business Origination Credit Reduced TAT 220 437 Low Takeover Legal & technical Collection Reduced Operational Risk 145 HO / Operations 8 Q4 FY 23 Investor Presentation
Slide 9: Robust Underwriting, Monitoring and Collections Process
Robust Underwriting, Monitoring and Collections Process 100% In-House Leveraging Stringent Credit Robust Collection Sourcing Technology Underwriting Management System Lead Generation Cash flow 15-24 months Digital Onboarding through assessment Monitoring early and KYC • Cust app,Ref app Pre & Post d
Slide 10: Information & Technology: Key Enabler of Growth
Information & Technology : Key Enabler of Growth Lending Software Customer Relationship & Human Resources End-to-end software Service Human resources management solution system application Automated CRM and customer service requests 1 3 5 2 4 6 Customer Onboarding Business Intelligence & Sales app,
Slide 11: Scalable and Robust Digital Landscape
Scalable and Robust Digital Landscape ✓Mobile App for customer on-boarding, ✓ Time Series Forecast Using Credit Verification, Technical Valuation, Statistical Model and Tensor Flow Collections & Customer Service for Bounce Prediction. ✓Easy ,Quick & Transparent process ✓ Machine Learning Models for
Slide 12: Risk and Data Science Backed Centralized Underwriting
Risk and Data Science Backed Centralized Underwriting Tech - Centralized Risk Management Intervention Processing • 50 + key data • Tech enabled • Consistency in points are collected evaluation of underwriting with for Customer customers expertise in state- Loans approved Profile Analysis • Integrati
Slide 13: Scalability
Scalability Branch Productivity as on March 31, 2023 AUM per Branch (Rs. Cr) # of Branches Tamil Andhra Telangana Karnataka 27 34 170 Nadu Pradesh Per Capita GDP Compared to national 1.8x 1.1x 1.5x 1.5x average of INR 157k 35.87 GDP Growth 13% 8% 7% India average: 4% 9% 17.52 1.64 <1 Year Old 1-3Yea
Slide 14: Scalable Operating Model
Scalable Operating Model CAGR - 30% Company (5 Years) Listed Equity from Marquee Investors 6738(#) Customers over 50000 5183 4067 100th Branch 3183 Expansion 4 States Became Profitable AUM Rs.100 Cr First PEEquity 2247 Incorporation Westbridge 1414 846 519 252 358 29 86 159 0 2010 2011 2012 2013 201
Slide 15: Resilient Model Across Economic Cycles
Resilient Model Across Economic Cycles GST NBFC Covid-19 Covid-19 Geo Political Implementation Liquidity Crisis (1St Wave) (2nd wave) Issues FY 18 FY 20 FY 21 FY 22 FY 23 AUM growth 66% 41% 28% 27% 30% Yield 17% 18% 17% 17% 17% GNPA 0.5% 0.7% 0.7% 1.19%(#) 1.15%(#) ROA 6.0% 7.8% 7.4% 8.00% 8.44% # –
Slide 16: Strong ESG Focus
Strong ESG Focus Focus on financial Improving Living Strong Corporate inclusion Standards Governance 78% LIG Employment NIL in rural / semi-urban Material Civil litigation areas 71% Self-employed Support Diversified Experience 38% New to Credit to borrowers in tier 2/3/4 of Board Members across acad
Slide 17: Performance Highlights (Quarterly)
Performance Highlights (Quarterly) Disbursement (Rs. Cr) AUM (Rs. Cr) Gross NPA(%) 6738 1.47% 668 1.44% 1.15% 6307 604 605 5932 Q2 FY 23 Q3 FY 23 Q4 FY 23 Q2 FY 23 Q3 FY 23 Q4 FY 23 Q2 FY 23 Q3 FY 23 Q4 FY 23 PAT (Rs. Cr) ROA (%) ROE (%) 8.71% 8.53% 8.44% 135 16.34% 16.02% 15.83% 126 123 Q2 FY 23 Q3
Slide 18: Performance Highlights (Year on Year)
Performance Highlights (Year on Year) Disbursement (Rs. Cr) AUM (Rs. Cr) Gross NPA (%) 1.19% 6738 2394 30% 1.15% 46% 5183 1640 FY 22 FY 23 Mar 2022 Mar 2023 Mar 2022 Mar 2023 PAT (Rs. Cr) ROA (%) ROE (%) 16.34% 503 8.44% 36% 14.45% 370 8.00% FY 22 FY 23 FY 22 FY23 FY 22 FY 23 18 Q4 FY 23 Investor Pr
Slide 19: Consistent Spreads
Consistent Spreads Yields / Cost of Borrowings (%) 17.30% 17.20% 17.03% 17.00% 16.89% 16.89% 16.85% 16.90% 17.00% 16.89% 9.80% 9.80% 8.43% 7.74% 8.10% 8.00% 7.74% 7.70% 7.90% 8.10% FY 19 FY 2 0 FY 2 1 FY 2 2 FY 2 3 DEC 2 1 MA R 2 2 SE P 2 2 DEC 2 2 MA R 2 3 NIM (%) 9.15% 8.90% 8.89% 9.15% 9.15% 9.00
Slide 20: Opex and ROA
Opex and ROA Opex (%) 3.80% 3.40% 2.78% 2.75% 2.53% FY 19 FY 20 FY 21 FY 22 FY 23 ROA (%) 8.71% 8.53% 8.44% 8.44% 8.00% 8.00% 7.37% 7.01% 6.10% Mar 2022 Sep 2022 Dec 2022 Mar 2023 FY 19 FY 20 FY 21 FY 22 FY 23 20 Q4 FY 23 Investor Presentation
Slide 21: Asset Quality
Asset Quality Gross NPA (%) Net NPA (%) PCR – 91 % 1.32% 1.75% 1.10% 1.08% 1.47% 1.44% 0.87% 0.86% 1.17% 1.15% Mar 2022 Jun 2022 Sep 2022 Dec 2022 Mar 2023 Mar 2022 Jun 2022 Sep 2022 Dec 2022 Mar 2023 Non Cash collections >95% Collection efficiency (%) 30 + DPD (%) 103.14% 102.90% 9.91% 101.17% 100.
Slide 22: Provision for Contingencies (ECL)
Provision for Contingencies (ECL) Rs in lakhs 22 Q4 FY 23 Investor Presentation
Slide 23: Robust Funding Management and Credit Profile
Robust Funding Management and Credit Profile 20+ Lender Relationships No Exposure to Short term loan incl CPs International Finance DFI Corporation Refinance National Housing Bank Private Sector HDFC Bank Axis Bank Federal Bank Kotak Bank Avg. Tenure of FY 23 FY22 FY21 Borrowings (months) 86.9 84.7
Slide 24: ALM Surplus
ALM Surplus Position as on 31 Mar 2023 (Rs.Cr) Surplus < 3 months 547 860 313 3-6 months 476 661 185 6m to 1 year 658 353 1012 1 to 3 years 2065 843 2908 3 to 5 years 1235 1472 2707 5 to 7 years 596 1688 2283 7 to 10 years 528 1531 2059 >10 years 543 448 991 Outflows Inflows 24 Q4 FY 23 Investor Pre
Slide 25: Fixed Vs Floating (Assets Vs. Liabilities)
Fixed Vs Floating (Assets Vs. Liabilities) Loan Assets & Borrowings (₹ Cr) As on Mar-23 Borrowings - Fixed Vs. Floating 6738 1549 6738 (23%) 1550 (23%) 2230 (33%) 5188 (77%) 2959 (44%) Loan Assets Borrowings/Equity Equity Fixed Floating gap between Loan Assets & Borrowings filled by a portion of Equ
Slide 26: Comfortable liquidity position/Capital Adequacy
Comfortable liquidity position/Capital Adequacy A. Liquidity Rs. Crores • Rs.1340 crores available for business upto Sep 2023 B. Capital Adequacy Capital Adequacy as on 31 March 2023 - 80.79% 26 Q4 FY 23 Investor Presentation
Slide 27: Key Growth Strategies
Key Growth Strategies Continued Focus on • Ticket Size in INR 0.5 – 1.5mn range Existing Segment & • Large headroom in new to credit, retail segment strengthen focus on SME • Different templates of customer profiles to increase business while managing risks Deeper Penetration in Existing • Increasin
Slide 28: Experienced and Well Diversified Board
Experienced and Well Diversified Board Chairman Managing Director Non-Executive Nominee Directors M. Anandan P. Balaji Sumir Chadha KP Balaraj Executive Chairman Managing Director Nominee Director - WestBridge Nominee Director - WestBridge Non-Executive Director Non-Executive Independent Directors S
Slide 29: Key Leadership Elevations
Key Leadership Elevations • Mr. Balaji elevated to the role of Managing Director • Associated with Aptus for more than 12 years • 25+ years experience in textiles, telecom and finance • Mr. Manoharan elevated to the role of Chief Business Officer • Associated with Aptus since 2010 • 18+ years experi
Slide 30: Stable Management
Stable Management Balaji P Managing Director Several years of experience in finance, treasury, banking, fund raising C.T. Manoharan John Vijayan Chief Business Officer Chief Financial Officer Rich experience in housing finance industry Experience in Financial Services in the across sales, channel an
Slide 31: Diversified Shareholding
Diversified Shareholding Shareholding Pattern as on 31 Mar 2023 Top Institutional Shareholders as on 31 March 2023 31 Q4 FY 23 Investor Presentation
Slide 32: Annexures
Annexures 32 Q3 FY 23 Investor Presentation
Slide 33: Consolidated Statement of Profit and Loss
Consolidated Statement of Profit and Loss(*) Rs. Crores (*) – Based on Ind AS 33 Q3 FY 23 Investor Presentation
Slide 34: Consolidated Statement of Assets and Liabilities
Consolidated Statement of Assets and Liabilities(*) Rs. Crores (*) – Based on Ind AS 34 Q3 FY 23 Investor Presentation
Slide 35: RoA Tree
RoA Tree 35 Q3 FY 23 Investor Presentation
Slide 36: Thank You
Thank You 36 Q3 FY 23 Investor Presentation
Aptus Value Housing Finance India — Q4 FY23 Earnings Presentation on 6ix