Muthoot Capital Services Ltd. · NSE:MUTHOOTCAP
Muthoot Capital Services — Q4 FY2024 Earnings Presentation
39 slides from Muthoot Capital Services's earnings presentation, May 24, 2024
Slide 1: Exchange filing cover letter for investor presentation
MCSL/SEC/24-25/59 May 24, 2024 BSE Limited National Stock Exchange of India Phiroze Jeejeebhoy Towers Limited Dalal Street, Exchange Plaza, C-1, Block G, Mumbai - 400 001 Bandra Kurla Complex, Scrip Code – 511766 Bandra (E), Mumbai - 400 051 Scrip Code (Debenture) – 974648, 974915, Trading Symbol -
Slide 2: Investor Presentation
Investor Presentation 22 May 2024
Slide 3: Contents
Contents OHawk Eye View 03-04 OOperational Highlights 05-08 QO) Performance Analysis 09-16 OSales and Collection Analysis 17-23 QAsset Analysis 24-33 OlLiability Analysis 34-37 fri muthoot CAPITAL
Slide 4: Hawk Eye View
Hawk Eye View Highest Ever Profitability PAT ROA Improved Asset Quality ₹ 122 Cr 6.35% GNPA NNPA 57% YoY 71% YoY 10.17% 3.40% -54% YoY -24% YoY Improved Customer Base New Loan Addition New Customers QML* ₹ 1438 Cr 1,74,178 0.49% 9% YoY 11% YoY -68% YoY * QML - Early NPAs/Quick mortality of Loans 3
Slide 5: Hawk Eye View
Hawk Eye View CRAR 31.24% 2.62Times 2.62 Times ROE ROA 22.25 % DEBT EQUITY 6.35% RATIO 2.62 Times EPS ₹ 74.58 DEBT EQUITY AVERAGE LTV RATIO 80.60% 2.72 Times
Slide 6: Operational Highlights
Operational Highlights CAPITAL
Slide 7: Operational Highlights
Operational Highlights AUM PAT New customer Borrowing Cost FY 24: ₹ 2018 Cr Q4 : ₹ 11.06 Crs Q4 : 9.89 % Q4: 45,667 Balance sheet Size FY 24: ₹ ~2314 Cr No: Of live Shareholders Fund customers No: Of States Total Borrowings as on Q4 : ₹ 612 Crs 4,12,364 20 FY 24: ₹ 1661 Cr Disbursement Q4 FY 24: ₹ 4
Slide 8: Geographically spread across States
Geographically spread across 20 States 7
Slide 9: GNPA and NNPA
GNPA and NNPA GNPA NNPA 4.73% 4.46% 22.82% 22.09% 3.88% 20.55% 21.08% 3.55% 3.40% 2.94% 2.58% 2.57% 2.66% 2.51% 11.67% 10.81% 10.69% 10.17% 9.86% 9.35% Mar-23 June-23 Sep-23 Dec-23 Mar-24 Mar-23 June-23 Sep-23 Dec-23 Mar-24 GNPA POS GNPA Interest Accrued NNPA POS NNPA Interest Accrued 8
Slide 10: Performance Analysis
Performance Analysis fri muthoot CAPITAL
Slide 11: Financial Performance - Yearly
Financial Performance - Yearly AUM ₹. In Crores 2022 Parameters FY 24 FY 23 Y-o-Y Disbursement 1,438.42 1,318.27 9%▲ 2,081 Asset Under Management - AUM 2,015.14 2,097.97 4%▼ Operating Expense - OPEX 157.83 175.18 10%▼ Loan Losses and Provisions 7.52 10.89 31%▼ Profit Before Tax- PBT 164.34 108.80 51
Slide 12: Financial Performance – Quarterly
Financial Performance – Quarterly AUM ₹. In Crores Q1 24 Parameters Q4 FY 24 Q3 FY 24 Q-o-Q 1992 Disbursement 430.4 478.89 10%▼ Asset Under Management - AUM 2015.14 1940.31 4%▲ Q2 24 Operating Expense – OPEX 39.95 38.20 5%▲ Loan Losses and Provisions 0.47 5.51 91%▼ 1976* Profit Before Tax- PBT 14.69
Slide 13: Statement of Sources and Application of Funds
Statement of Sources and Application of Funds ₹. In Crores Sources of Funds Mar-24 Mar-23 Application of Funds Mar-24 Mar-23 Share Capital 16.45 16.45 Fixed Assets 6.02 2.13 Reserve & Surplus 595.30 472.81 Investments 173.96 118.01 Shareholders' Funds 611.75 489.25 Bank Debts 860.94 1,096.43 Deferre
Slide 14: Disbursements, Average LTV, AUM and Net Worth
Disbursements (in ₹ Cr) Average LTV 1438.4 1318.3 81.8% 81.8% 80.6% 80.6% 78.4% 478.9 430.4 77.2% 200.7 328.5 FY 23 FY 24 Q1 24 Q2 24 Q3 24 Q4 24 FY 23 FY 24 Q1 24 Q2 24 Q3 24 Q4 24 AUM (in ₹ Cr) Net Worth (in ₹ Cr) 600.7 611.7 590.4 2102 2018 611.7 507.2 1996 489.3 2018 1944 1771 FY 23 FY 24 Q1 24
Slide 15: Capital Adequacy, Loan Loss Provisions, PAT, Debt Equity
Capital Adequacy Ratio (%) Loan Loss Provision & Write-Offs (in ₹ Cr) 35.4% 31.2% 10.9 31.2% 33.2% 27.9% 29.9% 7.5 5.5 2.7 0.5 -1.1 FY 23 FY 24 Q1 24 Q2 24 Q3 24 Q4 24 FY 23 FY 24 Q1 24 Q2 24 Q3 24 Q4 24 Profit after Tax (in ₹ Cr) Debt Equity Ratio 3.9 122.5 3.3 2.9 2.7 2.7 2.7 83.1 77.9 18.0 10.2 1
Slide 16: ROA, ROE, EPS and Book Value Per Share
ROA (%) ROE (%) 17.2 60.6 6.4 22.3 3.7 3.6 2.3 17.3 14.5 7.3 2.2 6.9 FY 23 FY 24 Q1 24 Q2 24 Q3 24 Q4 24 FY 23 FY 24 Q1 24 Q2 24 Q3 24 Q4 24 Earnings per Share (in ₹ ) Book Value Per Share (in ₹ ) 371.9 74.6 371.9 359.0 365.2 297.4 308.4 47.8 50.6 7.1 10.8 6.1 FY 23 FY 24 Q1 24 Q2 24 Q3 24 Q4 24 FY
Slide 17: Analysis of Cost & Yield
Analysis of Cost & Yield 25.00% 21.47% 20.24% 20.18% 20.75% 20.11% 20.00% 13.91% 13.85% 14.44% 15.00% 13.70% 13.50% 9.48% 9.70% 9.80% 9.82% 9.89% 10.00% 5.00% 6.16% 6.23% 6.45% 6.54% 6.24% 0.00% Q4 23 Q1 24 Q2 24 Q3 24 Q4 24 Cost Yield Retail Loan Yield Corp Loan Yield Investments 16
Slide 18: Sales & Collection Analysis
Sales & Collection Analysis 17
Slide 19: Mode Wise Collection (HYP)
Mode Wise Collection (HYP) ₹. In Crores 107 116 114 114 114 113 114 112 113 117 118 124 100% 44% 44% 44% 52% 55% 53% 53% 52% 51% 49% 49% 47% 90% 80% 70% 60% 56% 56% 56% 50% 53% 51% 51% 49% 48% 48% 47% 47% 40% 45% 30% 20% 10% 0% Apr-23 May-23 Jun-23 Jul-23 Aug-23 Sep-23 Oct-23 Nov-23 Dec-23 Jan-24 Fe
Slide 20: Sources of Collections – Q4 FY24
Sources of Collections – Q4 FY24 NACH Co-Lending MFL Collection Bank/ Electronic Mode Employee Collection Agency Collection 36.52 34.53 33.6 31.22 28.13 25.65 24.21 23.49 23.26 19.11 18.87 18.74 9.99 8.56 8.05 5.87 4.65 4.55 JAN -24 FE B-24 M A R -24 19
Slide 21: Collection Cost % of Collection
Collection Cost % of Collection 5.00% 4.80% 4.80% 4.70% 4.50% 4.41% 4.05% 3.91% Q1 23 Q2 23 Q3 23 Q4 23 Q1 24 Q2 24 Q3 24 Q4 24 20
Slide 22: Corporate Loans
Corporate Loans ₹. In Crores Corporate Loan Movement – Q4 FY24 Particulars Corp loan Nos Balance Balance as on 31.12.2023 36 163.92 AUM FY 24 Add: Addition during Q4FY24 4 85.39 181.64 40 249.31 Less: Loans closed during Q4FY 24 2 25.96 Y-o-Y 10% Less: Amount collected during Q4FY 24 41.71 Q-o-Q 11%
Slide 23: Monthly Collection Performance Monitoring – Corp Loan
Monthly Collection Performance Monitoring – Corp Loan 20 100% 17.1 15.89 14.41 14.81 15 14.03 14.33 12.94 13.06 11.59 11.21 11.57 10.83 10 90% 5 0 80% Apr-23 May-23 Jun-23 Jul-23 Aug-23 Sep-23 Oct-23 Nov-23 Dec-23 Jan-24 Feb-24 Mar-24 Collections Billing Efficiency
Slide 24: NPA-(POS) Trend- Including DA
NPA-(POS) TREND- Including DA POS in ₹ Cr 500 450 435.59 430.68 427.43 424.02 416.71 410.48 400 350 300 250 194.44 195.59 194.42 194.60 194.59 193.75 191.49 200 150 100 50 0 Mar-23 Apr-23 May-23 Jun-23 Jul-23 Aug-23 Sep-23 Oct-23 Nov-23 Dec-23 Jan-24 Feb-24 Mar-24 FY 23 Q1 FY 24 Q2 FY 24 Q3 FY 24 Q4
Slide 25: Asset Analysis
Asset Analysis fri muthoot CAPITAL
Slide 26: Liquidity Projections
Liquidity Projections ₹. In Crores Particulars Apr-24 May-24 Jun-24 Q1 FY 2025 Opening Balance 280.25 206.15 260.44 280.25 Inflows New Funding / Borrowings .00 100.00 110.00 210.00 New Borrowings/ Funding through PTC / NCD /MLD / CP 39.31 161.68 75.50 276.49 WCDL/CC Rollover 100.00 244.00 56.00 400.
Slide 27: MCSL Geographical Overview- Retail Loans
MCSL Geographical Overview- Retail Loans 100% 12.70% 800.00 Zone Zone 90% 744.74 21.32% 0.00% Total AUM 26.56% 20.64% 0.00% 700.00 Zone Active Clients wise wise NPA (crs) 80% 603.43 AUM % % 600.00 70% South 1,74,748 745 41.40% 49.41% 60% 500.00 West 23,492 91 5.06% 12.62% North 44,718 187 10.39% 20.
Slide 28: Retail Portfolio Split as on 31st Mar 2024
Retail Portfolio Split as on 31st Mar 2024 ₹. In Crores ₹. In Crores Segment No: of loans AUM No of Transaction Type AUM Transactions 2W 4,09,606 1,767.96 4W 25.80 Securitized (part of own book) 9 283.76 1,048 Others 5.02 Direct Assignment 7 3.38 1,687 Overall Own Portfolio excl securitized 1,511.63
Slide 29: Zone wise Disbursement
Zone wise Disbursement Q3 FY24 Q4 FY24 ₹ Cr 453.89 ₹ Cr 345.01 Share of Branch and Dealer of zone-wise disbursement 1% 2% Branch Branch 9% 34%7% Co Lending Co Lending 45% Dealer Dealer 44% Business Asso Business Asso 58% 28
Slide 30: Portfolio Analysis –(POS) Retail Loans
Portfolio Analysis –(POS) Retail Loans Portfolio Analysis ₹. In Crores Segment – wise Analysis 191.4 10.65% 150.00% 1767.96 30.82 100.00% 88.76% 94.54% 1607.29 50.00% 89.35% 11.24% 5.46% 0.00% Two Wheeler Four Wheeler & Others NPA Regular NPA Regular Source - wise Analysis Bucket – wise Analysis 986
Slide 31: Partnerships
Partnerships Co-Lending Business Correspondents 280.65 Cr (47%) 188.11 Cr (31%) 13.48 Cr (100%) 28.09 Cr 81.07 Cr (5%) (13%) 25.51 Cr (4%) 30
Slide 32: NPA Movement (Excluding DA)
NPA Movement (Excluding DA) Mar - 24 ₹. In Crores ₹. In Crores Particulars POS 191.39 Mar-23 Jun-23 Sep-23 Dec-23 Mar-24 Opening Balance GNPA 463.49 454.72 206.22 207.36 205.04 Add: New slippage during the Quarter 20.38 ECL Provision 387.12 378.34 143.23 143.58 141.36 Less: Normalized and closed dur
Slide 33: Asset Quality and Provision Coverage
Asset Quality and Provision Coverage ₹. In Crores PCR 89.78% 90.11% As Per IND AS Mar-24 Dec-23 Sep-23 Jun-23 Mar-23 75.00% 75.00% 75.00% Own Book Portfolio 2,015.15 1,940.31 1,767.16 1992.29 2,097.98 22.82% 22.09% Own book NPA 10.17% 10.69% 11.67% 22.82% 22.09% Own book NPA (Net) 3.40% 3.55% 3.88%
Slide 34: ARC
ARC ₹. In Crores ₹. In Crores Investment in SRs 120 ARC Collection 5.53 102.22 100 84.84 4.66 79.21 4.22 80 74.31 70.32 66.95 63.07 60 40 17.38 20 5.62 4.91 3.99 3.37 3.88 0 Q2 FY 23 Oct-23 Nov-23 Dec-23 Jan-24 Feb-24 Mar-24 Collection NAV MCSL Share of Collection Jan-24 Feb-24 Mar-24 33
Slide 35: Liability Analysis
Liability Analysis 34
Slide 36: Shareholding Pattern as on 31/03/24
Shareholding Pattern as on 31/03/24 FII & FPI NRI 2.05% 1.01% Other Corporate Body 6.19% FII & FPI Public NRI 28.14% Other Corporate Body Promoter & Promoter Group Public Promoter & Promoter Group 62.62% 35
Slide 37: Sources of Borrowing
Sources of Borrowing Additional Facilities FY 24 Borrowings in FY 24 Total Borrowings NCD Average Cost Borrowings 199 31st March 2024 9.80% 1641.23 Crores Funding Concentration Total WCDL TL/WCDL - 52% WCDL Total CP 170 754.49 241 Rollovers NCD/MLD – 25% 1721 Crores CP/Securitisation – 20% Others –
Slide 38: Borrowing Profile – by instrument
Borrowing Profile – by instrument ₹. In Crores Mar-23 Mar-24 Borrowings O/S O/S NCD & MLD 260.00 409.00 Sub Debt & Public Deposit 51.01 37.17 Loan from Directors & Others 6.81 6.80 CC/WCDL/WCTL 1,096.43 860.94 CP 80.00 PTC/DA 480.87 247.32 Total 1,895.13 1,641.23 NCD & MLD 14% 15% 25% 3% 0% Sub Debt
Slide 39: Thank You !
Thank You ! 38
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