Indusind Bank Ltd. · NSE:INDUSINDBK
Indusind Bank — Investor Day (July 2022)
25 slides from Indusind Bank's investor day presentation, Jul 27, 2022
Slide 1: Analyst Day 27th July 2022
– Analyst Day 27th July 2022
Slide 2: IndusInd Bank Analyst Day – Corporate Banking
IndusInd Bank – Analyst Day Presentation-5 Corporate Banking
Slide 3: Presentation Outline
Presentation Outline Corporate & Commercial Banking Franchise Fine-tuning corporate bank approach Future in focus
Slide 4: Presentation Outline
Presentation Outline Corporate & Commercial Banking Franchise Fine-tuning corporate bank approach Future in focus
Slide 5: Catering to the all-encompassing corporate landscape
Catering to the all-encompassing corporate landscape 500+ Large & Mid corporates Small Corporates 5000+ Coverage coverage from coverage from # Asset Clients 15+ cities team strength 60+ cities Corporate entities from turnover 150 crs and above – 1 2 includes SMEs, Mid Corporates, Large corporates, C
Slide 6: Well Diversified Book
Well Diversified Book (₹crs) % 1,14,429 Loan Book (₹crs) 1,09,463 1,05,481 Large Corporates 62,322 crs 55% 99,079 92,407 Mid Corporates 42,210 crs 37% Small Corporates 9,897 crs 8% June'21 Sep'21 Dec'21 Mar'22 June'22 Book by Region Book by Ticket Size Book by Industry Jun-22 Jun-22 (₹crs) Jun-22 NB
Slide 7: Franchise strength – built on a client-centric and holistic business model
Franchise strength – built on a client-centric and holistic business model Risk Management Client-centric Coverage Adaptive Risk and Policy framework for: Robust & tiered due-diligence framework 04 01 Strategically segmented in line with size of Early identification and mitigation of Risks cor
Slide 8: Comprehensive coverage to provide best in class client service
01 Comprehensive coverage to provide best in class client service Client Coverage Units Specialized Coverage Units Real Estate & Our Real Estate Unit focuses on 70% Emerging Mid- micro-market expertise with Corporates warehousing of asset book churned since Mar‘20 churning to maintain sectoral caps
Slide 9: Our differentiated product capabilities
02 Our differentiated product capabilities Cash Management Trade Global Market Solutions Supply Chain Financing Solutions Well-diversified book across fund & Market Firsts / USPs – Dominant Market Maker in MIFOR / non-fund products. Currency Swaps/ OIS / FX Options First Bank to launch Digital 43
Slide 10: Our differentiated product capabilities
02 Our differentiated product capabilities Debt Capital Markets Project Financing 41 projects | 14k+crs 90% ~44,000 crs Underwritten under renewable Book underwritten churned of assets sold till date across 160+ deals energy sector 13 projects | ~7.5kcrs 82% Underwritten under Roads and Book underwr
Slide 11: End-to-End digital enablement for Corporate Banking
03 End- to-End digital enablement for Corporate Banking Interactive Dashboards Sales enablement tools enabling Teams to focus their efforts on prospects and clients with the highest value in terms of returns Digital channels and tools to address the ► KPI Management rapidly evolving demands and expe
Slide 12: Comprehensive Risk Management Framework – with multiple layers of defense
04 Comprehensive Risk Management Framework – with multiple layers of defense Underwriting aligned towards granular, secured, shorter duration loans from high rated customers Robust Credit Framework.. ..with continuous monitoring .. and right support & interventions Third Line Central Quality & Assur
Slide 13: Presentation Outline
Presentation Outline Corporate & Commercial Banking Franchise Fine-tuning corporate bank approach Future in focus
Slide 14: The precursor to our current Business Strategy
The precursor to our current Business Strategy We had consistent loan growth journey … … except for FY19-21 102421 Loan Book (₹crs) 91334 91018 FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 Mar'19 Mar'20 Mar'21
Slide 15: The precursor to our current Business Strategy
The precursor to our current Business Strategy Key learnings from our experience Implementing the learnings while navigating COVID Customer concentration built up over the period A Tighter & well-defined credit Reliance on bulky fee income underwriting norms with Deals pertaining to holding compa
Slide 16: Implementing the learnings – Fine-tuning the Corporate Bank approach
Implementing the learnings – ‘Fine-tuning the Corporate Bank approach’ A Tighter credit underwriting norms & enhancing risk management framework Policy & Thresholds Proactive Portfolio Monitoring Tighter policy norms pertaining to complex & structured Implementation of robust Early Warning Signals (
Slide 17: Implementing the learnings – Fine-tuning the Corporate Bank approach
Implementing the learnings – ‘Fine-tuning the Corporate Bank approach’ B Re-orientation of business model to focus on granular acquisition Carving a dedicated unit for Strategic groups, Global corporates to provide a differentiated coverage & delivery Optimization of industry verticals in line w
Slide 18: How our strategy has played so far
How our strategy has played so far Focused approach on acquisition across high rated asset Improvement in rating profile of the book # … has resulted in …. 84% of new Relatively higher disbursement rating onboarding in pertaining to A rated high ticket size …focus on balance between rating profile &
Slide 19: How our strategy has played so far
How our strategy has played so far Re-orientation of coverage models % of WC book % of less than 3 Yr book have enabled 137 higher annuity +900 bps increase in 100 116 profile of the % share of working 100 book…. capital disbursements Mar'20 Mar'22 Mar'20 Mar'22 Granular Fees Steady increase in shar
Slide 20: How our strategy has played so far
How our strategy has played so far Corporate loan growth is back on track… … as evidenced by Q-o-Q book growth… Slippages stabilized over last 12-18 months Y-o-Y Growth Loan Book (₹crs) 1,14,429 31% 109,463 3990 1,05,481 3509 (₹crs) 24% 3140 20% 99,079 Fresh Slippages 92,407 91,018 1075 603 0% Mar-1
Slide 21: Presentation Outline
Presentation Outline Corporate & Commercial Banking Franchise Fine-tuning corporate bank approach Future in focus
Slide 22: Priority for the future is Scalable & Sustainable growth
Priority for the future is ‘Scalable & Sustainable growth’ with identified growth levers Scalable & sustainable growth Increasing granularity & annuity orientation of the loan portfolio & income composition Scale-up of Small Broad-base our Focus on cross-sell Strengthening businesses < 500 corporate
Slide 23: With building blocks in place, we aim for Scalable & Sustainable Growth
With building blocks in place, we aim for ‘Scalable & Sustainable Growth’ going forward 30 - 35% 1 Small Businesses …improving risk density with high quality onboarding, minimizing credit costs … and steadily increasing the share of Small & Mid corporates Taking the 2 15 - 20% loan book …increasing
Slide 24: Thank You
THANK \ielu, IndusInd Bank
Slide 25: Disclaimer
Disclaimer This presentation has been prepared by IndusInd Bank Limited (the “Bank”) solely for information purposes, without regard to any specific objectives, financial situations or informational needs of any particular person. All information contained has been prepared solely by the Bank. No in