Indian Overseas Bank · NSE:IOB

Indian Overseas Bank — Q3 FY2024-25 Earnings Presentation

54 slides from Indian Overseas Bank's earnings presentation, Jan 20, 2025

  1. Slide 1: Performance Analysis Q3/9M-FY 2024-25

    Performance Analysis Q3/9M-FY 2024-25 20.01.2025 1

  2. Slide 2: Index

    INDEX VISION ---------- 3 PERFORMANCE HIGHLIGHTS ---------- 4 FINANCIAL PERFORMANCE ---------- 6 BUSINESS PERFORMANCE ---------- 14 NPA MANAGEMENT ---------- 22 CAPITAL ADEQUACY ---------- 25 FINANCIAL INCLUSION ---------- 27 DIGITAL INITIATIVES ---------- 33 CUSTOMER TOUCH POINT ---------- 41 SHARE

  3. Slide 3: Vision Mission Statement

    VISION MISSION STATEMENT Shri M Ct M Chidambaram Chettyar IOB Founder Chairman 3 Q3/9M- Performance Analysis Q3/9M-FY25

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

    PERFORMANCE HIGHLIGHTS BUSINESS GROWTH (Rs. In Crores) Parameters Dec-23 Sep-24 Dec-24 Q-O-Q ( %) Y-O-Y ( %) CASA 120915 131856 132338 0.37% 9.45% BUSINESS GROWTH CASA% 43.49% 42.44% 43.37% 93 bps (12 bps) Total Deposits 278046 310652 305121 -1.78% 9.74% Home Loan 26612 29927 30573 2.16% 14.88% Jewe

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

    PERFORMANCE HIGHLIGHTS ASSET QUALITY (Rs. In Crores) Parameters Dec-23 Sep-24 Dec-24 Q-O-Q ( %) Y-o-Y (%) Gross NPA 8441 6249 6071 -2.86% -28.08% ASSET QUALITY Net NPA 1303 1059 976 -7.85% -25.10% GNPA% 3.90% 2.72% 2.55% (17 bps) (135 bps) NNPA% 0.62% 0.47% 0.42% (5 bps) (20 bps) STRENGTHENING FINAN

  6. Slide 6: Financial Performance

    FINANCIAL PERFORMANCE (Rs. In Crores) Quarter Ending 9 Months Growth % 9M FY Particulars 24-25 Dec-23 Sep-24 Dec-24 9M 23-24 9M 24-25 Q-o-Q Y-o-Y Over 9M FY 23-24 Interest Income 6176 6851 7112 17421 20498 3.81% 15.15% 17.66% Interest Expenses 3778 4313 4323 10355 12730 0.23% 14.42% 22.93% Net Inter

  7. Slide 7: Total Income

    TOTAL INCOME (Rs. In Crores) Quarter Ending 9 Months Growth % 9M FY Particulars 24-25 Dec-23 Sep-24 Dec-24 9M 23-24 9M 24-25 Q-o-Q Y-o-Y Over 9M FY 23-24 Interest on Loans 4614 5055 5257 12816 15142 3.99% 13.93% 18.15% Interest on Investment 1519 1754 1808 4406 5222 3.11% 19.05% 18.52% Other Interes

  8. Slide 8: Fee Based Income

    FEE BASED INCOME (Rs. In Crores) Quarter Ending 9 Months Growth % 9M FY Particulars 24-25 Dec-23 Sep-24 Dec-24 9M 23-24 9M 24-25 Q-o-Q Y-o-Y Over 9M FY 23-24 A.Exchange & Commission 81 127 116 223 364 -8.55% 43.00% 63.32% B.Income from Non Fund Based 42 42 55 133 136 32.23% 31.83% 2.53% Business C.P

  9. Slide 9: Total Expenses

    TOTAL EXPENSES (Rs. In Crores) Quarter Ending 9 Months Growth % 9M FY Particulars 24-25 Dec-23 Sep-24 Dec-24 9M 23-24 9M 24-25 Q-o-Q Y-o-Y Over 9M FY 23-24 Interest on Deposits 3283 3784 3742 9272 11114 -1.12% 13.97% 19.87% Interest on Borrowings 495 529 581 1083 1616 9.77% 17.38% 49.23% Total Inter

  10. Slide 10: Profit Parameter

    PROFIT PARAMETER (Rs. In Crores) Quarter Ending 9 Months Growth % 9M FY Particulars 24-25 Dec-23 Sep-24 Dec-24 9M 23-24 9M 24-25 Q-o-Q Y-o-Y Over 9M FY 23-24 Operating Profit 1780 2128 2266 4803 6070 6.48% 27.30% 26.38% Provisions 702 1146 1029 2584 3113 -10.27% 46.58% 20.45% of which NPA Provisions

  11. Slide 11: Performance Ratios - Quarterly

    PERFORMANCE RATIOS - QUARTERLY COST OF DEPOSITS(%) COST OF FUNDS(%) 5.15 5.08 5.24 4.95 5.13 4.88 5.09 4.82 5.03 5.02 DEC 23 MAR 24 JUNE 24 SEP 24 DEC 24 DEC 23 MAR 24 JUNE 24 SEP 24 DEC 24 YIELD ON ADVANCES % (DOMESTIC) YIELD ON ADVANCES % (GLOBAL) 9.02 9.41 8.97 9.38 8.92 9.33 8.88 9.30 8.75 9.18

  12. Slide 12: Performance Ratios - Quarterly

    PERFORMANCE RATIOS - QUARTERLY YIELD ON FUNDS(%) RETURN ON ASSETS (%) 8.48 0.94 0.93 0.86 0.82 8.45 8.28 0.70 8.11 8.05 DEC 23 MAR 24 JUNE 24 SEP 24 DEC 24 DEC 23 MAR 24 JUNE 24 SEP 24 DEC 24 YIELD ON INVESTMENT(%) COST TO INCOME(%) 6.91 6.84 62.58 6.86 51.35 51.76 6.42 6.41 48.97 44.55 DEC 23 MAR 2

  13. Slide 13: Performance Ratios - Quarterly

    PERFORMANCE RATIOS - QUARTERLY NET INTEREST MARGIN % (DOMESTIC) 3.73 3.47 3.26 3.21 3.21 DEC 23 MAR 24 JUNE 24 SEP 24 DEC 24 NET INTEREST MARGIN % (GLOBAL) 3.53 3.33 3.12 3.06 3.08 DEC 23 MAR 24 JUNE 24 SEP 24 DEC 24 13 Performance Analysis Q3/9M-FY25

  14. Slide 14: Business Performance - Global

    BUSINESS PERFORMANCE - GLOBAL (Rs. In Crores) Q-o-Q variation Y-o-Y variation Particulars Dec-23 Sep-24 Dec-24 Amount % Amount % CASA 120915 131856 132338 482 0.37% 11423 9.45% Term Deposits 157131 178796 172783 -6013 -3.36% 15652 9.96% Total Deposits 278046 310652 305121 -5531 -1.78% 27075 9.74% Ad

  15. Slide 15: Business Composition

    BUSINESS COMPOSITION BUSINESS PORTFOLIO SHARE DEC 24 Savings Bank 19% Current Advances Deposits 44% 5% Term Deposits 32% % SHARE OF DOMESTIC ADVANCE- DEC 24 POP CATEGORY WISE DISTRIBUTION OF DEPOSITS: DEC 24 MSME Corporate/Others Semi Urban 19% Rural 20% 22% 12% Urban Agri 23% Retail 31% 27% Metro 4

  16. Slide 16: Advances

    ADVANCES (Rs. In Crores) Q-o-Q variation Y-o-Y variation Parameters Dec-23 Sep-24 Dec-24 Amount % Amount % Retail 46616 54291 58611 4319 7.96% 11995 25.73% Agri 50326 65327 69139 3811 5.83% 18813 37.38% MSME 40643 41574 43124 1550 3.73% 2481 6.11% Corporate/others 60469 51802 48599 -3203 -6.18% -118

  17. Slide 17: RAM Performance

    RAM PERFORMANCE (Rs. In Crores) Parameters Dec-23 Sep-24 Dec-24 Q-o-Q % Y-o-Y % RETAIL CREDIT 46616 54291 58611 7.96% 25.73% Of which RETAIL BREAK UP - DEC -24 Home 26612 29927 30573 2.16% 14.88% Education 2635 2676 2672 -0.15% 1.41% Others Vehicle 4248 4919 5131 4.30% 20.78% 30% Personal 1905 2417

  18. Slide 18: Agriculture

    AGRICULTURE (Rs. In Crores) % Share to Domestic Period Domestic Advances Agri Advances Advances Dec-23 198054 50326 25.41% Mar-24 200697 55636 27.72% Jun-24 212459 60786 28.61% Sep-24 212995 65327 30.67% Dec-24 219472 69139 31.50% AGRI ADVANCES DEC-24 69139 65327 60786 55636 50326 Dec-23 Mar-24 Jun-

  19. Slide 19: MSME

    MSME (Rs. In Crores) Category Dec-23 Mar-24 Jun-24 Sep-24 Dec-24 Micro 24171 24780 18977 20178 23489 Small 7633 7812 8002 7883 10588 Medium 8839 8960 15662 13514 9047 Total 40643 41552 42642 41574 43124 MSME BREAKUP DEC-24 Small, 24.55% Micro, 54.47% Medium, 20.98% 19 Performance Analysis Q3/9M-FY25

  20. Slide 20: Investment

    INVESTMENT (Rs. In Crores) Parameters Dec-23 Mar-24 Jun-24 Sep-24 Dec-24 Domestic Investments 96044 96752 97955 103128 104939 SLR 68029 69297 72823 78218 80006 Non SLR 28015 27455 25132 24910 24933 Held to Maturity 81709 81860 87296 90232 90969 Available for Sale 14127 14892 8767 11213 12170 Held fo

  21. Slide 21: Valuations

    VALUATIONS Particulars Dec-23 Mar-24 Jun-24 Sep-24 Dec-24 * Return on Equity (%) 17.70 18.50 14.10 16.90 17.86 * Basic & Diluted Earning per Share 0.38 0.43 0.33 0.41 0.46 * Price Earning Ratio 113.32 140.23 192.01 140.41 111.90 Book value per share (in Rs) 8.93 9.56 9.43 10.04 10.66 Price/Book valu

  22. Slide 22: NPA Management

    NPA MANAGEMENT (Rs. In Crores) Details Dec-23 Mar-24 Jun-24 Sep-24 Dec-24 i) Opening Gross NPAs 9893 8441 6794 6649 6249 a. Cash Recoveries 212 322 139 219 170 b. Upgradation 163 90 52 102 76 c. Write-Offs 1491 1567 251 370 219 d. Sale to ARCs 0 17 0 0 0 e. Other Reductions 0 0 0 0 0 ii) Total Reduc

  23. Slide 23: NPA Management: GNPA, NNPA, PCR, Slippage Ratio

    NPA MANAGEMENT GNPA % NNPA % 3.90% 0.62% 0.57% 3.10% 2.89% 2.72% 2.55% 0.51% 0.47% 0.42% Dec-23 Mar-24 Jun-24 Sep-24 Dec-24 Dec-23 Mar-24 Jun-24 Sep-24 Dec-24 PCR SLIPPAGE RATIO 96.85% 96.85% 96.96% 97.06% 97.07% 0.17% 84.57% 0.16% 82.09% 82.65% 83.92% 83.05% 0.13% 0.13% 0.11% Dec-23 Mar-24 Jun-24 S

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

    SECTOR-WISE CREDIT DEPLOYMENT & NPA (Rs. In Crores) Dec-23 Sep-24 Dec-24 Segmental NPAs ADV NPA Ratio % ADV NPA Ratio % ADV NPA Ratio % Retail 46616 846 1.81% 54291 935 1.72% 58611 978 1.67% Agri 50326 2183 4.34% 65327 1920 2.94% 69139 1829 2.65% MSME 40643 2291 5.64% 41574 1754 4.22% 43124 1753 4.0

  25. Slide 25: Capital Adequacy

    CAPITAL ADEQUACY (Rs. In Crores) Particulars Dec-23 Mar-24 Jun-24 Sep-24 Dec-24 Market Risk RWA 8481 8892 1602 1441 1353 Operational Risk RWA 16705 16705 19183 19183 19183 Credit Risk RWA 114570 118382 124051 130555 137216 Total RWA (A) 139756 143979 144836 151179 157753 CET 1 19495 20840 21706 2230

  26. Slide 26: Movement of CRAR & RWAs

    MOVEMENT OF CRAR & RWAs CRAR 17.82% 17.28% 17.45% 16.80% 16.97% DEC - 2 3 MA R- 2 4 JUN - 2 4 SE P - 2 4 DEC - 2 4 CREDIT RWA TO ADVANCE RATIO TOTAL RWA TO ADVANCE RATIO 57.74% 56.73% 65.74% 65.69% 66.39% 53.91% 64.65% 62.95% 53.00% 54.05% DEC - 2 3 MA R- 2 4 JUN - 2 4 SE P- 2 4 DEC - 2 4 DEC - 2 3

  27. Slide 27: Financial Inclusion

    FINANCIAL INCLUSION PMJDY Account (Number in Lakhs) PMJDY Account Balance (in Crs) 85.89 3767 83.41 3646 3558 80.78 3486 3432 78.93 76.69 Dec-23 Mar-24 Jun-24 Sep-24 Dec-24 Dec-23 Mar-24 Jun-24 Sep-24 Dec-24 PMJDY Account (Number in Lakhs) PMJDY Account Balance PMJDY Zero balance Accounts No in Lakh

  28. Slide 28: CASA & Deposits Growth in Last Years

    CASA & Deposits Growth in last 5 years (Rs. In Crore) CASA in Rs. CASA in % 1,25,508 43.44% 43.74% 43.90% 1,13,877 1,14,113 42.52% 1,02,165 89,751 40.26% March March March March March March March March March March 2020 2021 2022 2023 2024 2020 2021 2022 2023 2024 Term Deposits in Rs. Total Deposits

  29. Slide 29: Advances Growth in Last Years

    Advances Growth in last 5 years (Rs. In Crore) Retail Advances Agriculture Advances MSME Advances 55,636 48,514 41,552 42,400 43,988 34,856 36,961 35,106 38,577 29,494 30,423 34,196 28,694 25,678 26,849 March March March March March March March March March March March March March March March 2020 20

  30. Slide 30: Retail Segment Loans Growth in Last Years

    Retail Segment Loans growth in last 5 years (Rs. In Crore) Personal Loans Home Loans Vehicle Loans 2,083 27,621 4,491 24,116 20,483 3,492 3,751 1,537 17,668 2,985 3,333 1,095 15,092 871 929 March March March March March March March March March March March March March March March 2020 2021 2022 2023

  31. Slide 31: Decreasing NPA Levels & Increase in PCR over Years

    Decreasing NPA Levels & Increase in PCR over 5 years (Rs. In Crore) Gross NPA in Rs. Net NPA in Rs. NNPA (%) 19,913 5.44% 16,323 15,299 14,072 6,603 3.58% 4,578 3,825 2.65% 6,794 3,266 1.83% 1,217 0.57% March March March March March March March March March March March March March March March 2020 20

  32. Slide 32: Consistent Growth in Share Values over Years

    Consistent Growth in Share Values over 5 years Book value per share (in Rs.) Share Price (in Rs.) 9.56 59.98 7.75 6.54 4.97 4.11 22.55 16.00 18.15 7.05 March March March March March March March March March March 2020 2021 2022 2023 2024 2020 2021 2022 2023 2024 Market Capitalization (Rs. In Crore) E

  33. Slide 33: Technology & Digital Initiatives

    Technology & Digital Initiatives 33 Performance Analysis Q3/9M-FY25

  34. Slide 34: Introduction

    Technology & Digital Initiatives Introduction Indian Overseas Bank has got a robust and resilient technology platform in place to serve customers across the diverse generations. We are committed in our digital transformation journey to bring customer delight through various digital innovations and h

  35. Slide 35: Focus Areas

    Technology & Digital Initiatives Focus Areas Customer Operational Centricity Efficiency Technology Digital Resilience Innovation 35 Performance Analysis Q3/9M-FY25

  36. Slide 36: Customer Centricity

    Technology & Digital Initiatives 01 Self-service hub “digital.iob.in” with bouquet of digital service under one place Any-time Any-where delivery of services like 02 account opening, nomination, Re-KYC by bank Customer Centricity staff themselves made possible via Tab devices Prioritizing the overal

  37. Slide 37: Digital Innovation

    Technology & Digital Initiatives Aadhaar Face Authentication ensuring 01 inclusiveness in authentication for various services like Account opening, Re-KYC, Nomination, etc. via Tab banking 02 Collaboration with Fintechs to develop unique solutions for a differentiated experience Digital Innovation P

  38. Slide 38: Operational Efficiency

    Technology & Digital Initiatives 01 Digital App for Collection and Recovery enhancing collections efficiency 02 CRM tool for widening and deepening customer engagements Operational Efficiency Enhancing operational efficiency powered through blend of digital centric process re- 03 Loan Origination Sy

  39. Slide 39: Value Delivery

    Technology & Digital Initiatives Enhanced Customer Satisfaction: Improved 01 customer satisfaction, engagement, and loyalty through streamlined digital interactions, personalized services, and user-friendly interfaces Value Delivery Productivity Enhancement: Optimized internal Digital initiatives ha

  40. Slide 40: Digital Outreach

    DIGITAL OUTREACH ATM/CDM USERS INTERNET BANKING REGISTERED USERS (NO OF OUTLETS) (IN LAKHS) 3508 32.90 3506 31.41 3505 31.25 3503 30.18 3501 28.97 Dec-23 Mar-24 Jun-24 Sep-24 Dec-24 Dec-23 Mar-24 Jun-24 Sep-24 Dec-24 MOBILE BANKING REGISTERED USERS UPI REGISTERED USERS (IN LAKHS) (IN LAKHS) 112.22 9

  41. Slide 41: Customer Touch Point Pan India

    CUSTOMER TOUCH POINT PAN INDIA Domestic Presence Dec-23 Mar-24 Jun-24 Sep-24 Dec-24 Branches 3226 3236 3250 3269* 3322* ATM/CR 3508 3506 3505 3501 3503 BC 4886 6379 7078 8023 9041 * Excluding 8 RLPCs(Retail Loan Processing Centres) DEC-24 BRANCHES Rural, 927, Metro, 711, 28% 21% Semi Urban, Urban, 6

  42. Slide 42: Foreign Outreach

    FOREIGN OUTREACH HONG KONG BRANCH SINGAPORE BRANCH COLOMBO BRANCH BANGKOK BRANCH Performance Analysis Q3/9M-FY25

  43. Slide 43: Share Holding Pattern as on 31.12.2024

    SHARE HOLDING PATTERN AS ON 31.12.2024 Category of Shareholder % share Government of Government of India 96.38% India, 96.38% FI/Banks 0.00% Foreign Portfolio Investor (Corporate) 0.02% Mutual Funds 0.07% Insurance Companies 1.23% Bodies Corporate 0.05% Individual 1.95% Institution, Individual, 1.37

  44. Slide 44: Strategic Investment Joint Venture

    STRATERGIC INVESTMENT 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 Name on Entity Shareholding % Indian Overseas Bank 18.06% Shareholding % Indian

  45. Slide 45: Assets & Liabilities

    ASSETS & LIABILITIES Rs in Lakhs Balance Sheet as at 31.12.2024 LIABILITIES Standalone Consolidated Particulars 31.12.2024 31.12.2023 31.12.2024 31.12.2023 Capital 1890241 1890241 1890241 1890241 Reserves and Surplus 1035835 825487 1002242 786340 Deposits 30512130 27804575 30512145 27826872 Borrowin

  46. Slide 46: ESG Initiatives

    ESG INITIATIVES ENVIRONMENTAL SOCIAL GOVERNANCE ENVIRONMENTAL 46 Performance Analysis Q3/9M-FY25

  47. Slide 47: ESG Initiatives: Environmental

    ESG INITIATIVES IOB VEHICLE LOAN FOR E BIKE/CAR ENVIRONMENTAL SOCIAL GOVERNANCE IOB TEJAS FOR RENEWABLE SOLAR ENERGY EQUIPMENT CREDIT FACILITY TO WIND MILL PAPERLESS BANKING ENVIRONMENTAL 47 Performance Analysis Q3/9M-FY25

  48. Slide 48: ESG Initiatives: Social

    ESG INITIATIVES VARIOUS IOB CREDIT SCHEME FOR WOMEN ENVIRONMENTAL SOCIAL GOVERNANCE THE SAKTHI- IOB CHIDAMBARAM CHETTIAR MEMORIAL TRUST FINANCIAL LITERACY CENTERS (SNEHA) SOCIAL FRIENDLY WORK ENVIRONMENT 48 Performance Analysis Q3/9M-FY25

  49. Slide 49: ESG Initiatives: Governance

    ESG INITIATIVES COMPLYING WITH ALL GUIDELINES &REGULATIONS ENVIRONMENTAL SOCIAL GOVERNANCE EFFECTIVE MONITORING CUSTOMER RIGHT POLICY EFFECTIVE CUSTOMER COMPLAINTS RESOLUTION GOVERNANCE 49 Performance Analysis Q3/9M-FY25

  50. Slide 50: Accolades & Awards

    ACCOLADES & AWARDS Indian Overseas Bank is proud to be honored with the prestigious SKOCH Award 2024 for its initiatives in the area of compliance. 50 Performance Analysis Q1-FY25 Performance Analysis Q3/9M-FY25

  51. Slide 51: Products & Services

    PRODUCTS & SERVICES 51 Performance Analysis Q3/9M-FY25

  52. Slide 52: Products & Services

    PRODUCTS & SERVICES 52 Performance Analysis Q3/9M-FY25

  53. Slide 53: 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" "future

  54. Slide 54: Thank You

    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 Follow us on

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