Capital Trust Ltd. (india) · NSE:CAPTRUST
Capital Trust Ltd. (india) — Capital Trust — Q1 FY20 Earnings Presentation
28 slides from Capital Trust Ltd. (india)'s earnings presentation, Sep 24, 2019
Slide 1: Investor Presentation Q1 FY20
INVESTOR PRESENTATION Q1 FY20
Slide 2: Company Overview
> Capital Trust COMPANY OVERVIEW
Slide 3: Company Overview
COMPANY OVERVIEW • $10M PE investment • Acquisition of Microfinance subsidiary • Listing on NSE Ventured into MSME funding Ventured into Microfinance • Incorporation • Advisory to foreign banks • Listing on BSE 1985 2008 2012 2016 2019 As on 30.06.2019 Public 15.68% Credit Rating: FII Promoter AUM:
Slide 4: Capital Trust USP
CAPITAL TRUST USP Hybrid Fintech Model With Dual Credit Automated credit (credit bureau checks and preset algorithms) is supplemented with traditional safeguards of branch banking (physical verification of residence, business premise and cash flow analysis) One Stop Financial Institution Pioneer in
Slide 5: Target Segment
> Capital Trust TARGET SEGMENT
Slide 6: Serving the Unserved
SERVING THE UNSERVED Annual Income > ₹ 17Lakh ₹ 10-17 Lakh Banks and Large NBFCs ₹ 3.4-10 Lakh ₹ 1.6-3.4 Lakh < ₹ 1.6 Lakh Microfinance Debt Shortfall in Microfinance + Micro of MSME: 11.1 Lac Crore** *NCAER-CMCR Annual Income Data **IFC Report on MSMEs (Nov 2018) 6
Slide 7: Financial Inclusion?
FINANCIAL INCLUSION? Formal Income Income Proof Filing Taxes Debt 7
Slide 8: Target Clientele
TARGET CLIENTELE Microfinance Through Capital Trust Microfinance, its 100% owned subsidiary Graduated from Microfinance 8% of the Microfinance clients graduate from the Microfinance sector each year and come and hit a wall New to Organized Credit Replacing traditional informal sources of MISSING fin
Slide 9: Business Model
> Capital Trust BUSINESS MODEL
Slide 10: Geographical Footprint
GEOGRAPHICAL FOOTPRINT Growth Focused States (New client sourcing) Collection Only States (No new client sourcing) Branches: 251 Districts: 68 States: 10 10
Slide 11: Products
PRODUCTS Micro Rural Loan AUM: ₹525 Crore Ticket Size: ₹10,000 - ₹1,05,000 Interest Rate: 26+% Tenure: 3 months – 3 years All new disbursements through banking channels Monthly Cashless NACH Repayment (older variant cash collection) Microfinance Loan Secured Enterprise Loan AUM: ₹68 Crore AUM: ₹38 C
Slide 12: Micro Rural Loan
MICRO RURAL LOAN Flexible Loan Quick Disbursement Flexi tenure loan can be used for unorganized sector, Automated credit decision based on analysis of client working capital, education, two wheeler, medical, credit bureau data, alternative data and internally consumer and other needs developed credi
Slide 13: Smart Credit
SMART CREDIT Instant in-principal approval by automated credit decisioning system with no manual intervention at client doorstep. Final approval subject to positive physical verification of cash flow and disposable income Disbursement Physical Verification No exceptions or manual by Field Credit Tea
Slide 14: Information Technology Prowess
INFORMATION TECHNOLOGY PROWESS One of the first NBFCs to start cashless disbursement of all Cashless Disbursement & loans since 2015. Also started process of cashless Collection repayment for all loans (expect Microfinance) in 2019 Automated closing of company and all branch books at Automation of D
Slide 15: Portfolio Update
> Capital Trust PORTFOLIO UPDATE
Slide 16: Productwise Portfolio
PRODUCTWISE PORTFOLIO 795 725 800 120 631 700 555 89 56 55 38 600 68 500 125 304 Secured Enterprise 400 90 Microfinance Micro Rural 300 619 581 95 525 200 93 340 100 116 0 FY '16 FY '17 FY '18 FY '19 Q1 FY '20 16
Slide 17: Portfolio Quality
PORTFOLIO QUALITY COMPANYWIDE As on 30.06.19 AUM (₹ Cr.) NPA (₹ Cr.) NPA (%) Non-Demonetization Impacted 517.3 6.6 1.3% Demonetization Impacted 113.6 14.9 13.0% Total 630.9 21.5* 3.4% * Rs. 20.7 Cr has been provided against the same 17
Slide 18: Liquidity Position
> Capital Trust LIQUIDITY POSITION
Slide 19: Asset Liability Position Update
ASSET LIABILITY POSITION UPDATE Q2 FY20 Q3 FY20 Q4 FY20 Q1 FY21 (Expected) (Expected) (Expected) (Expected) Quarterly Collection (Cr.) 151.4 134.9 118.0 106.3 Quarterly Repayment (Cr.) 99.7 96.3 78.3 68.1 Quarterly Surplus (Cr.) 51.7 38.6 39.6 38.2 Monthly Surplus (Cr.)* 17.2 12.9 13.2 12.7 Borrowin
Slide 20: Business Partnership with IDFC First
BUSINESS PARTNERSHIP WITH IDFC FIRST Micro Rural Loan Benefits to CTL: Leveraging of Long term IDFC First Bank’s On-Tap Funding relationship with balance sheet a bank Opportunity to Enables raise of Opening door for provide products Increase of ROE equity at right other such not currently time partn
Slide 21: Financials
> Capital Trust FINANCIALS
Slide 22: Impact of Shift from IGAAP to Ind-AS
IMPACT OF SHIFT FROM IGAAP TO IND-AS Fee Income On Sourcing Cost On Loan Loss and Employee Stock Origination Origination Provision Options IGAAP Recognized Upfront on Amortized using Straight Incurred Loss Approach Included in Share Capital and Sourcing Date Line Basis Security Premium Amortized Acr
Slide 23: ECL Provisioning
ECL PROVISIONING IND-AS Micro-Finance Micro-Rural Secured-Enterprise Classification Unsecured Unsecured Secured Stage 1 (0-30 DPD) EAD X PD X LGD EAD X PD X LGD EAD X PD X LGD Stage 2 (31-90 DPD) EAD X PD X LGD EAD X PD X LGD EAD X PD X LGD Stage 3 (>90 DPD) EAD X PD X LGD EAD X PD X LGD EAD X PD X
Slide 24: Key Financials and Ratios
KEY FINANCIALS AND RATIOS Line Item / Ratio (IND-AS) Q1 FY19 Q1 FY20 (YoY) Total Income 52.95 42.28 -20% Total Expense (excluding tax) 41.80 54.79 31% Profit / (loss) after tax 8.62 -11.48* - Micro-Rural Loan 620.63 524.50 -19% Secured Enterprise Loan 116.91 38.07 -67% Microfinance Loan 58.37 68.30
Slide 25: Partners
> Capital Trust PARTNERS
Slide 26: Partnerships
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Slide 27: Thank You
> Capital Trust THANK YOU
Slide 28: Disclaimer
DISCLAIMER This presentation has been prepared by and is the sole responsibility of Capital Trust Limited. By accessing this presentation, you are agreeing to be bound by the trailing restrictions. This presentation does not constitute or form part of any offer or invitation or inducement to sell or