Indian Overseas Bank · NSE:IOB

Indian Overseas Bank — Q1 FY2020-21 Earnings Presentation

42 slides from Indian Overseas Bank's earnings presentation, Aug 21, 2020

  1. Slide 1: Indian Overseas Bank Performance Analysis Q1 2020-21

    इण्डियन ओवरसीज़ बैंक Indian Overseas Bank PERFORMANCE ANALYSIS Q1 2020-21 20.08.2020

  2. Slide 2: Index

    INDEX PERFORMANCE HIGHLIGHTS FINANCIAL PERFORMANCE BUSINESS PERFORMANCE & INITIATIVES NPA MANAGEMENT CAPITAL ADEQUACY COVID-19 RESPONSE FINANCIAL INCLUSION & CUSTOMER SERVICE DIGITAL INITIATIVES Performance Analysis Q1 2020-21

  3. Slide 3: Performance Highlights

    PERFORMANCE HIGHLIGHTS Performance Analysis Q1 2020-21

  4. Slide 4: Performance Highlights: Business and Asset Quality

    PERFORMANCE HIGHLIGHTS Rs in Crore Jun-19 Mar-20 Jun-20 Y-o-Y(%) GNPA NNPA Gross NPA 33262 19913 18291 -45.01 Net NPA 14174 6603 6081 -57.10 Quality Asset GNPA% 22.53 14.78 13.90 (863 bps) Jun-19 Jun-20 Jun-19 Jun-20 NNPA% 11.04 5.44 5.10 (594 bps) Credit Cost 3.31 2.40 2.11 (120 bps) Slippage Ratio

  5. Slide 5: Performance Highlights: Profitability and Key Ratios

    PERFORMANCE HIGHLIGHTS Rs in Crore PCR Jun-19 Mar-20 Jun-20 Y-o-Y(%) PCR 72.24 86.94 87.97 1573 bps Ratios Capital Adequacy (%) 10.02 10.72 10.93 91 bps Key Jun-19 Jun-20 Cost to Income (%) 57.72 54.43 53.23 (449 bps) ROA -0.48 0.20 0.16 - ROA Jun-19 Jun-20 Jun-19 Mar-20 Jun-20 Y-o-Y NII 1288 1532 1

  6. Slide 6: Financial Performance

    FINANCIAL PERFORMANCE Performance Analysis Q1 2020-21

  7. Slide 7: Financials - At a Glance

    FINANCIALS- AT A GLANCE Rs. in Crore Quarter Ended Growth % Particulars Jun-19 Mar-20 Jun-20 Q-o-Q Y-o-Y Interest Income 4336 4442 4302 -3.16 -0.80 Interest Expenses 3048 2910 2890 -0.72 -5.20 Net Interest Income 1288 1532 1412 -7.80 9.61 Non Interest Income 670 1095 932 -14.92 39.06 Operating Incom

  8. Slide 8: Total Income

    TOTAL INCOME Rs. in Crore Quarter Ended Growth % Particulars Jun-19 Mar-20 Jun-20 Q-o-Q Y-o-Y Interest on Loans 2958 2848 2782 -2.32 -5.95 Interest on Investment 1199 1398 1422 1.71 18.63 Other Interest Income 180 196 98 -50.05 -45.54 Total Interest Income 4336 4442 4302 -3.16 -0.80 Exchange & Commi

  9. Slide 9: Total Expenses

    TOTAL EXPENSES Rs. in Crore Quarter Ended Growth % Particulars Jun-19 Mar-20 Jun-20 Q-o-Q Y-o-Y Interest on Deposits 2904 2795 2776 -0.68 -4.41 Interest on Borrowings 144 116 114 -1.67 -21.03 Other Interest paid 0 0 0 -2.79 0.95 Total Interest Expenses 3048 2910 2890 -0.72 -5.20 Staff Expenses 736 8

  10. Slide 10: Provisions & Profit

    PROVISIONS & PROFIT Rs. in Crore Quarter Ended Growth % Particulars Jun-19 Mar-20 Jun-20 Q-o-Q Y-o-Y Operating Profit 828 1197 1094 -8.61 32.12 Provisions 1170 1053 973 -7.59 -16.82 of which NPA Provisions 1259 831 711 -14.42 -43.53 Other Provisions -89 222 262 17.93 - Net Profit/Loss -342 144 121 -

  11. Slide 11: Performance Ratios - Quarterly

    PERFORMANCE RATIOS- QUARTERLY Cost of Deposits Yield on Advances 5.37 5.41 5.37 7.22 6.95 6.96 6.93 5.17 6.75 4.99 June 19 Sept 19 Dec 19 Mar-20 June 20 June 19 Sept 19 Dec 19 Mar-20 June 20 Cost to Income Ratio Net Interest Margin 64.12 61.79 2.08 2.01 2.30 1.94 57.72 1.86 54.43 53.32 June 19 Sept

  12. Slide 12: Business Performance & Initiatives

    BUSINESS PERFORMANCE & INITIATIVES Performance Analysis Q1 2020-21

  13. Slide 13: Business Performance - Global

    BUSINESS PERFORMANCE- GLOBAL Rs. in Crore Particulars Jun-19 Mar-20 Jun-20 Y-o-Y(%) Q-oQ(%) CASA 84145 89751 92514 9.95 3.08 a)Retail Term Deposits 104833 112265 117011 11.62 4.23 b)Bulk Deposits 28958 17092 12665 -56.26 -25.90 c)Overseas Term Deposits 3234 3844 3356 3.75 -12.71 Term Deposits (a+b+c

  14. Slide 14: Deposits Composition

    DEPOSITS COMPOSITION Rs. in Crore Y-o-Y variation Q-o-Q variation Parameters Jun-19 Mar-20 Jun-20 Amount % Amount % Domestic-Deposits Savings Bank 70334 75374 78105 7771 11.05 2731 3.62 Current Account 13005 13297 13420 415 3.19 123 0.92 CASA 83339 88671 91525 8186 9.82 2854 3.22 Term Deposits (TD)

  15. Slide 15: Risk Spread - Assets

    RISK SPREAD- ASSETS Rs. in Crore Domestic Share of Advances JUN-19 JUN-20 Retail Corporate/o Corporate/ thers Retail others 22% 25% 26% 32% Agri 23% MSME 23% Agri MSME 26% 23% Y-o-Y Growth Q-o-Q Growth Parameters Jun-19 Mar-20 Jun-20 Amount % Amount % Retail 31053 32876 32052 998 3.22 -824 -2.51 Agr

  16. Slide 16: Retail Performance

    RETAIL PERFORMANCE Rs. in Crore Domestic Retail Other Retail Period % Share RETAIL BREAKUP – June-20 Advance Advance loans, 25.46% Mar ’18 138516 28183 20.35% Home, Mar-19 146000 31588 21.64% Clean, 47.67% 2.79% Jun-19 142110 30153* 21.22% Mar-20 127336 32876 25.82% Auto, 9.42% Jun-20 123542 32052 2

  17. Slide 17: Priority Sector Advances - Overview as on 30.06.2020

    PRIORITY SECTOR ADVANCES – OVERVIEW AS ON 30.06.2020 Rs. in Crore 51.33% 52.00% 51.00% Priority sector % of 80000 49.32% 50.00% Financial Year Achievement achievement 47.47% 49.00% 2017-18 70000 48.00% 70040 47.47% 47.00% (Avg of 4 Qtrs) 60000 45.07% 46.00% 2018-19 75390 51.33% 50000 45.00% (Avg of

  18. Slide 18: Agriculture Advance Performance

    AGRICULTURE ADVANCE PERFORMANCE Rs. in Crore Agricultural Advances Outstanding Excluding RIDF& IBPC Agricultural Advances - Y-o-Y Growth 31610 30188 30987 3000 9.53% 29817 26265 27223 2000 6.01% 3.65% 2.53% 1000 0 2016-17 2017-18 2018-19 2019-20 Jun-19 Jun-20 -1000 -5.88% 2016-17 2017-18 2018-19 201

  19. Slide 19: Agri Advances - Priority Sector

    AGRI ADVANCES – PRIORITY SECTOR Rs. in Crore 34000 21.14% 20.23% 20.22% 21.00% 31000 19.19% 20.00% 31045 31107 30777 19.00% 29851 28000 18.00% 17.00% 25000 16.00% 26561 26438 27698 28867 22000 15.00% 2017-18 (Avg of 4 Qtrs) 2018-19 (Avg of 4 Qtrs) 2019-20 (Avg of 4 Qtrs) as on June 2020 Target Achie

  20. Slide 20: MSME

    MSME Rs in Crores Gross MSME Share of MSME on Domestic Year % Share Advances Domestic Advance 35000 24% Mar’18 138516 32615 24% 24% 30000 23% 24% Mar‘19 146001 33164 23% 23% 25000 23% 23% Jun‘19 142987 32345 23% 23% 20000 23% Mar'20 127336 30548 23% 32615 33164 32345 30548 28643 15000 22% June'20 12

  21. Slide 21: Investments

    INVESTMENTS Rs. in Crore Global Investments 86038 82029 69209 70661 Mar-19 Jun-19 Mar-20 Jun-20 Parameters Mar-19 Jun-19 Sep-19 Dec-19 Mar-20 Jun-20 Domestic Investments 65380 67031 76159 76221 78358 82528 SLR 47858 49073 54642 53792 51162 54485 Non SLR 17522 17958 21518 22429 27196 28043 Held to Ma

  22. Slide 22: NPA Management

    NPA MANAGEMENT Performance Analysis Q1 2020-21

  23. Slide 23: NPA Management

    NPA MANAGEMENT Rs. in Crore Details Jun-19 Sep-19 Dec-19 Mar-20 Jun-20 i) Opening Gross NPAs 33398 33262 28674 23734 19913 a. Cash Recov eries 483 552 872 756 150 b. Upgradation 431 291 298 227 45 c. Write-Offs 1171 5689 5554 3994 1784 d. Sale to ARCs 0 13 183 194 0 e. Other Reductions 0 0 3 0 0 ii)

  24. Slide 24: Segmental NPAs

    SEGMENTAL NPAS Rs. in Crore Jun-19 Mar-20 Jun-20 Segmental NPAs NPA Ratio % NPA Ratio % NPA Ratio % Retail 983 3.17 793 2.41 773 2.41 Agri 3714 11.14 2428 7.33 2270 7.00 MSME 5472 16.92 3257 10.66 2603 9.09 Corporate 22060 48.62 12206 39.66 11295 37.16 Overseas 1032 18.79 1228 16.51 1350 16.83 Total

  25. Slide 25: Movement of NPA

    MOVEMENT OF NPA GNPA NNPA 22.53 11.04 20.00 9.84 16.89 14.78 13.90 5.81 5.44 5.10 Jun-19 Sept-19 Dec-19 Mar-20 Jun-20 Jun-19 Sept-19 Dec-19 Mar-20 Jun-20 PCR 86.94 87.97 86.20 75.85 72.24 Jun-19 Sept-19 Dec-19 Mar-20 Jun-20 Performance Analysis Q1 2020-21 Page 25

  26. Slide 26: Capital Adequacy

    CAPITAL ADEQUACY Performance Analysis Q1 2020-21

  27. Slide 27: Capital Conservation

    CAPITAL CONSERVATION Rs. in Crore Dec-19 Particulars Jun-19 Sep-19 Pre Capital Post Capital Mar-20 Jun-20 Infusion Infusion Market Risk RWA 11320 11950 12938 12938 12316 14010 Operational Risk RWA 16642 16642 16642 16642 16642 13217 Credit Risk RWA 93196 91846 84890 86814 84680 84889 Total RWA (A) 1

  28. Slide 28: Movement of RWA & CRAR

    MOVEMENT OF RWA & CRAR 11.86% 10.72% 10.93% 10.02% 10.43% 5.53% Jun-19 Sep-19 Dec-19 Mar-20 Jun-20 CRAR CRAR Post Infusion Total RWA to Total Assets Ratio 85.22% 84.02% 84.32% 82.56% 82.08% Jun-19 Sep-19 Dec-19 Mar-20 Jun-20 Total RWA to Advance Ratio Performance Analysis Q1 2020-21 Page 28

  29. Slide 29: COVID-19 Response

    COVID-19 RESPONSE Performance Analysis Q1 2020-21

  30. Slide 30: COVID-19 Response

    COVID-19 RESPONSE Rs in Crore Covid-19 emergency relief scheme for existing borrowers- Performance as on 30.06.2020 Number of No. of applications/ accounts Sanctioned Disbursement Category of request received eligible for borrowers loans as on No. of No. of No. of 31.3.2020 Amount Amount Amount acco

  31. Slide 31: COVID-19 Response: Working Capital Reassessment

    COVID-19 RESPONSE COVID -19 Regulatory package on working capital reassessment as on 30.06.2020 (20.4.2020 onwards) (7) (4) (6) Aggregate No. of a/c in (5) Out of which (2) (3) enhancement in (1) which Aggregate no.of a/c in No. of a/c Aggregate sanctioned WC Category of borrowers sanctions WC which

  32. Slide 32: Financial Inclusion & Customer Service

    FINANCIAL INCLUSION & CUSTOMER SERVICE Performance Analysis Q1 2020-21

  33. Slide 33: Financial Inclusion

    FINANCIAL INCLUSION No. of PMJDY A/Cs Outstanding in PMJDY A/Cs in Rs. Cr 5167367 5051924 4849392 1742 4387956 1117 1266 757 818 Mar-18 Mar-19 Mar-20 Jun-20 Mar-17 Mar-18 Mar-19 Mar-20 Jun-20 No. of Zero Balance PMJDY A/Cs Jansuraksha & APY Enrolments 1155960 1004976 1014385 986016 3117804 2545145 2

  34. Slide 34: Customer Service

    CUSTOMER SERVICE Lodge complaint in our website – www.iob.in and Door-Step Banking track the Door step banking for Senior citizen complaints. You can and differently abled person is being lodge complaint by done through Branches where BCs calling our Toll Free are available. Number 1800 425 4445 Pho

  35. Slide 35: Digital Initiatives

    DIGITAL INITIATIVES Performance Analysis Q1 2020-21

  36. Slide 36: Digital Outreach

    DIGITAL OUTREACH No of Users As on 30.06.2020 Mobile Banking Registered users 28,07,131 Customer touch Internet Banking Registered users 20,95,127 Points UPI Registered users 28,69,886 ATMs/CDMs (No of outlet) 3,067 ADC CHANNELS Transactions-01.04.2020 to Particulars 30.06.2020 No. Amt ATM ( On & Of

  37. Slide 37: New Mobile Banking App

    NEW MOBILE BANKING APP Performance Analysis Q1 2020-21 Page 37

  38. Slide 38: Customer Touch Point

    CUSTOMER TOUCH POINT BRANCH NETWORK- JUN 2020 ATM NETWORK- JUN 2020 Metro, Rural, Metro, Rural, 727, 22% 686, 22% 722, 24% 908, 28% Urban, Urban, 670, 21% Semi Semi 688, 22% Urban, Urban, 971, 32% 960, 29% Details Mar-18 Mar-19 Mar-20 Jun-20 Branches 3332 3280 3270 3265 ATM 3552 3450 3032 3067 BC 26

  39. Slide 39: Global Footprints - Foreign Branches

    GLOBAL FOOT PRINTS- FOREIGN BRANCHES Overseas Branches Singapore HongKong Colombo Bangkok JV Subsidiary Malaysia Remittance Centre Singapore-Serangoon Road Joint Venture in Malaysia: Joint Venture with Bank of Baroda (40%) and Andhra Bank (25%) with IOB share of 35% Performance Analysis Q1 2020-21 P

  40. Slide 40: Strategic Investments - Joint Venture

    STRATEGIC INVESTMENTS – JOINT VENTURE 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 SHAREHOLDING % Shareholding Name of Entity Investment 12.81% % 18.06% 6.00% In

  41. Slide 41: Disclaimer

    DISCLAIMER  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”, “fut

  42. Slide 42: Thank You

    Thank You visit us @ https://www.iob.in Performance Analysis Q1 2020-21

Indian Overseas Bank — Q1 FY2020-21 Earnings Presentation on 6ix