State Bank Of India · NSE:SBIN
State Bank Of India — Q3 FY2015 Earnings Presentation
40 slides from State Bank Of India's earnings presentation, Feb 13, 2015
Slide 1: Quarterly Results Q3FY15
Quarterly Results Q3FY15 13th February 2015
Slide 2: Safe Harbor
Safe Harbor Certain statements in these slides are forward-looking statements. These statements are based on management's current expectations and are subject to uncertainty and changes in circumstances. Actual results may differ materially from those included in these statements due to a variety of
Slide 3: Performance Highlights
Performance Highlights YOY Q3FY15 over Q3FY14 Q3FY15 SOLO GROUP Net Profit Net Profit 30.24% 34.86% SOLO Rs. 2910 crores (Rs. 2234 crores) Operating Profit 22.00% 21.61% GROUP Non Interest Income 24.27% 18.25% Rs.3828 crores (Rs. 2839 crores) - 432 bps -105 bps Expense Ratio Gross NPA Ratio - 83 bps
Slide 4: NII and Operating Profit
NII and Operating Profit Rs. In Crores Q3FY15 Q3FY14 YOY % 9MFY15 9MFY14 YOY % Interest Income 38546 34853 10.60 112296 100493 11.74 Other Income 5238 4215 24.27 14061 11967 17.49 Total Income 43784 39068 12.07 126357 112460 12.36 Interest Expenses 24770 22237 11.39 71992 64114 12.29 Net Interest In
Slide 5: Net Profit - a Snapshot
Net Profit - a Snapshot Rs. In Crores Q3FY15 Q3FY14 YOY % 9MFY15 9MFY14 YOY % Operating Profit 9294 7618 22.00 26504 21481 23.38 Total Provisions 6384 5384 18.58 17145 13631 25.78 Loan Loss 4717 3429 37.59 12649 8340 51.67 Standard Assets 370 196 89.20 606 732 -17.17 Investment 47 621 -506 1161 Depr
Slide 6: Movement in Income Parameters Q3
Movement in Income Parameters Q3 Rs. In crores 12616 13777 Net Int. Income 11519 11141 9050 Q3FY 11 Q3FY 12 Q3FY 13 Q3FY 14 Q3FY 15 9294 Operating Profit 7260 7791 7618 6764 Q3FY 11 Q3FY 12 Q3FY 13 Q3FY 14 Q3FY 15 3263 3396 Net Profit- Solo 2828 2910 2234 Q3FY 11 Q3FY 12 Q3FY 13 Q3FY 14 Q3FY 15 6
Slide 7: Components of Interest Income/Expenses
Components of Interest Income/Expenses Rs. In Crores Q3FY15 Q3FY14 YOY % 9MFY15 9MFY14 YOY % Interest on Loans 28646 26310 8.88 84075 75535 11.31 Interest on Resources 9636 8308 15.99 27451 24025 14.26 Other Sundry Interest 264 235 11.93 769 934 -17.61 Total Interest Income 38546 34853 10.60 112296
Slide 8: Components of Other Income
Components of Other Income Rs. In Crores Q3FY15 Q3FY14 YOY % 9MFY15 9MFY14 YOY % Fee Income 3291 2971 10.75 9239 8144 13.44 Profit/loss on Sale of 920 238 286.06 1959 1676 16.92 Investments Forex Income 502 604 -16.90 1401 1248 12.29 Dividend Income 0 8 61 45 33.17 Misc. Income 526 393 33.76 1401 85
Slide 9: Components of Fee Income
Components of Fee Income Rs. In Crores Q3FY15 Q3FY14 YOY % 9MFY15 9MFY14 YOY % Loan Processing Charges 876 692 26.71 1701 1641 3.64 Commission on Govt. Busi. 491 409 20.09 1492 1255 18.94 Commission on LC/BG 750 730 2.72 2169 2050 5.78 Transaction Fees 757 598 26.54 2257 1690 33.54 Commission on Col
Slide 10: Components of Operating Expenses
Components of Operating Expenses Rs. In Crores Q3FY15 Q3FY14 YOY % 9MFY15 9MFY14 YOY % Payment to and Provisions for 5842 5867 -0.43 16971 17225 -1.48 Employees Rent, Taxes and Lighting 863 726 18.84 2496 2147 16.30 ATM Expenses 571 495 15.31 1644 1138 44.46 Depreciation on Bank's Property 403 378 6
Slide 11: Movement in Net Interest Margin
Movement in Net Interest Margin ( in % ) Domestic NIM 4.4 Cumulative 4.2 4 3.8 3.72 3.66 3.49 3.54 3.49 3.50 3.6 3.44 3.48 3.48 3.4 3.2 3 Dec 12 Mar 13 Jun 13 Sep 13 Dec 13 Mar 14 Jun 14 Sep 14 Dec 14 NIM- Dec 12 Mar 13 Jun 13 Sep 13 Dec 13 Mar 14 Jun 14 Sep 14 Dec 14 Cumulative FOs 1.52 1.50 1.49 1
Slide 12: Domestic: Costs & Yields
Domestic : Costs & Yields ( in % ) Yield on Advances /Yield on Assets Cost of Deposits Yield on Advances Cost of Deposits 11.50 10.89 10.80 10.50 10.47 10.58 10.57 10.57 9.50 10.32 10.40 10.23 8.50 7.50 6.50 6.23 6.25 6.21 6.22 6.25 6.27 6.28 6.31 6.32 5.50 4.50 8.50 3.50 Dec12 Mar13 Jun13 Sep13 Dec
Slide 13: Retail Deposits drive Growth
Retail Deposits drive Growth Rs. In Crores YOY Growth Level Dec-14 Dec-14 Mar-14 Dec-13 Amt. % Whole Bank Deposits 1510077 1394409 1349940 160137 11.86 Domestic Deposits 1417732 1305984 1258622 159110 12.64 Deposits at FOs 92345 88425 91317 1028 1.13 Term Deposits 814095 725787 706237 107858 15.27 O
Slide 14: Diversified Exposure across Sectors
Diversified Exposure across Sectors Rs. In Crores (% YOY growth) Share % 31704 Misc (-3) 32791 2 224673 3 18 FOs (3) 217695 18 21 260226 Retail (13) 19 230827 10 120637 Direct (7) 113247 10 Agri 167942 168112 13 SME (-0.1) 14 220683 MCG 221393 19 17 (-0.3) 19 239618 CAG (20) 17 199658 Dec 14 Dec 13
Slide 15: Retail Advances
Retail Advances Rs. In crores Distribution of Retail Loans(%) Distribution of Home Loans(%) Above 23 Other Per. 26 Rs.30 lacs 23.6 23.1 5.9 Education 6.4 11.8 12.0 Auto 74 Upto Rs.30 77 58.8 Home 58.5 lacs Dec 14 Dec 13 Dec 14 Dec 13 Total 260226 230827 Total 152905 135129 Level Home Auto Edu Other
Slide 16: Agri Advances
Agri Advances Rs. In crores Dec 14 Dec 13 100000 96661 20000 15087 90000 86816 15000 12809 80000 10000 70000 5724 5352 4776 4646 5000 60000 1555 1940 50000 0 Crop/Prod. Farm Mech Irrig. & Land Devp. SHGs Other Term Loan Out of which: Crop / Investment/ Agri Priority Level collateralized by Gold Prod
Slide 17: CD Ratio & Market Share
CD Ratio & Market Share ( in % ) CD RATIO 82.4 80.5 80.7 79.2 SBI 78.5 78.8 78.7 77.9 77.8 76.6 76.1 ASCB 78.1 78.3 75.8 77.6 78.0 77.8 76.4 76.4 76.7 77.0 75.8 75.6 75.7 Mar 12 Jun 12 Sep 12 Dec 12 Mar 13 Jun 13 Sep 13 Dec 13 Mar 14 Jun 14 Sep 14 Dec 14 Market Share DEPOSITS ADVANCES 16.73 16.66 16
Slide 18: Capital Adequacy
Capital Adequacy Rs. In crores With retained Basel III profit CAR% 12.51% 11.59% 12.44% 12.33% 12.33% 12.03% 12.66% 3.19% 2.72% 2.70% 2.71% 2.65% 2.65% Tier II 2.91% # $ 9.72% 9.63% 9.62% 10.01% 9.32% 8.68% 9.38% Tier I Mar 13 Dec 13 Mar 14 Jun 14 Sep 14 Dec 14 Dec 14 RWA 1005640 1070399 1126863 112
Slide 19: Asset Quality
Asset Quality Rs. In crores YOY, Gross and Net NPAs are down by 83 and 44 bps respectively Gross NPAs 67799 61605 51189 60891 64206 60434 60712 61991 (4.75%) (5.56%) (5.64%) (5.73%) (4.95%) (4.90%) (4.89%) (4.90%) Mar 13 Jun 13 Sep 13 Dec 13 Mar 14 Jun 14 Sep 14 Dec 14 Net NPAs 32151 37167 31096 329
Slide 20: Gross NPAs by Sector
Gross NPAs by Sector Rs. In Crores Sector-wise Gross NPAs to Total Break-up of Gross NPAs Gross NPAs % Dec 14 Mar 14 Dec 13 Sector Large Corp 1.7 4.0 5.4 Ratio Ratio Ratio NPA NPA NPA Intl. % % % 4.6 5.0 6.1 5.7 Retail 4.9 6.1 Large 1074 0.49 2402 0.99 3658 1.83 19.5 Corporate Agri. 17.3 18.5 Mid 26
Slide 21: Movement of NPAs
Movement of NPAs Rs. In Crores Q3FY15 Q2FY15 Q1FY15 Q4FY14 Q3FY14 Q2FY14 Opening Level of 60712 60434 61605 67799 64206 60891 Gross NPAs Recovery +Up 667 2635 4547 8443 2768 3797 gradation Write off 5096 4787 6556 5698 5077 1253 Fresh Slippages 7043 7700 9932 7947 11438 8365 Net Increase 1280 278 -1
Slide 22: Details of Restructured Assets
Details of Restructured Assets Rs. In Crores 9MFY15 Particulars Std NPA Total 1 Restructured Accounts as on 01.04.2014 43050 15888 58938 2 Fresh Restructuring 9568 1904 11472 3 Increase in Outstanding 3084 298 3382 4 Up gradation to restructured standard category 698 -698 0 Restructured Standard Adv
Slide 23: Movement of Impaired Assets
Movement of Impaired Assets Rs. In Crores Dec 14 Sep 14 June14 Mar 14 Dec 13 Mar 13 1. Gross Advances 1265483 1242638 1232288 1245122 1183723 1078557 2. Gross NPAs 61991 60712 60434 61605 67799 51189 3. Net NPAs 34469 32997 31884 31096 37167 21956 4. Restructured Standard 46542 43962 42236 43051 394
Slide 24: Head Count
Head Count Staff Strength as on Dec 14 Mar 14 Dec 13 Officers 78691 79755 79780 Assistants 95780 101648 103883 Sub-staff (Others ) 23300 24799 25098 Watch & ward 17230 15831 14575 Total 215001 222033 223336 24
Slide 25: Branch Expansion
Branch Expansion Branches Dec 14 Mar 14 Dec 13 Mar 13 opened during 9MFY15 2562 2524 2448 2341 38 Metro (15.8) (15.9) (16.0) (15.8) (11.3) 2981 2890 2782 2624 91 Urban (18.4) (18.2) (18.2) (17.7) (27.0) 4477 4399 4270 4165 78 Semi-Urban (27.6) (27.7) (27.9) (28.1) (23.1) 6186 6056 5797 5686 130 Rura
Slide 26: Expanding Footprint & Multiple Delivery Channels
Expanding Footprint & Multiple Delivery Channels CAGR : Dec 11-14 Branches Group ATMs No of 54479 6% 16206 Branches 15297 added 27% during 43588 14388 last one 13772 year :909 30156 26814 Dec 11 Dec 12 Dec 13 Dec 14 Dec 11 Dec 12 Dec 13 Dec 14 Internet Banking Users * Mobile Banking Users* 209 125 3
Slide 27: Expanding Footprint
Expanding Footprint Total no. of POS Terminals 15%* Amt of POS txns during the 9 Months(Rs. in Cr) Market No. of txns 411 Share 11% 181310 during 9 months (in lacs) 10469 192 113999 4% 53 5365 1% 5 33759 6645 1430 118 Dec 11 Dec 12 Dec 13 Dec 14 Dec 11 Dec 12 Dec 13 Dec 14 * As on 31.10.2014 Debit C
Slide 28: Financial Inclusion
Financial Inclusion CAGR : Dec 11-14 Rural Branches Unbanked Villages BC Channel transactions # 27109 6186 Covered 80514 97% 6% 5797 87% 15662 5519 37382 9230 5236 12329 16329 3550 Dec 11 Dec 12 Dec 13 Dec 14 Dec 11 Dec 12 Dec 13 Dec 14 Dec 11 Dec 12 Dec 13 Dec 14 No. of A/c’s through BC RSETIs – No
Slide 29: SBI Solo Financials – 9MFY15
SBI Solo Financials –9MFY15 Rs. In crores /% Solo Dec 14 Dec 13 YOY % / bps ROA (%) 0.68 0.63 + 5 bps ROE (%) 11.12 10.97 +15 bps Earning Per Share (Rs.) 16.72 15.30 9.28% Other Income to Operating 25.86 24.75 +111 bps Income (%) Expenses Ratio (%) 51.25 55.57 - 432 bps 29
Slide 30: Performance Highlights of Associate Banks
Performance Highlights of Associate Banks Rs. In crores 9MFY15 9MFY14 Name PAT ROE % PAT ROE % SBBJ 497 11.31 494 12.85 SBH 872 13.89 573 9.36 SBM 273 8.54 167 5.57 SBP 236 5.03 206 4.95 SBT 144 4.04 256 8.82 Total ABs 2020 1696 SBI 9360 11.12 7850 10.97 30
Slide 31: Performance Highlights of Non-Banking Subsidiaries
Performance Highlights of Non-Banking Subsidiaries Rs. In crores 9MFY15 9MFY14 Name PAT ROE % PAT ROE % SBI Life Insurance 615 20.60 541 22.37 Company P Ltd SBI Capital Markets Ltd 212 23.70 153 19.46 SBI Funds Management P 116 31.58 122 35.14 Ltd SBI Cards & Payment 252 33.65 232 45.12 Services P L
Slide 32: SBI Cards & Payment Services: Performance highlights
SBI Cards & Payments Services Pvt Ltd: Performance highlights for 9M FY 15 Performance Rs. In Crs. Robust business performance PAT YoY % New accounts acquisition now on fast track . . . opened 70K accounts in Dec’14 (highest in 8 years). 9% 232 252 Net Revenue growth in line with receivables growth
Slide 33: SBI General Insurance: Performance highlights
SBI General Insurance Co Ltd : Performance highlights for 9M FY 15 Leading General Insurance Company 2nd position in Fire among Private Insurers 2nd position in Personal Accident in the Industry 12th rank among private players (out of 24 players) Market share moved upwards to 1.67% (industry) and 4%
Slide 34: SBI Life Insurance: Performance highlights
SBI Life Insurance Co Ltd : Performance highlights for 9M FY15 11% growth in New Net profit grew by Assets Under Business Premium 14% to Management up (NBP) Rs. 615 crs by 22% at Strong balance sheet Rs. 67,323 crs Financial highlights Ranked 3rd in NBP Top line growth among Pvt players 14% decrease
Slide 35: SBI Funds Management: Performance highlights
SBI Funds Management Pvt Ltd : Performance highlights 600 Rs in Crores Financials 488 464 500 400 In INR Crs 316 304 300 200 116 122 100 0 Networth Revenue PAT April to Dec 2014 April to Dec 2013 • Performance: 62% of AUM in Equity Funds and 92% of the AUM in Fixed Income Funds are in top two quarti
Slide 36: SBI Capital Markets: Performance highlights
SBI Capital Markets Limited : Performance highlights for 9M FY 15 Awards & Rankings 450 ∗ Maintained leadership position in the 521 Project Finance space globally. 439 Rs in Crores 375 ∗ Ranked as No. 1 Global Mandated Lead 313 Arrangers & Financial Advisor for Project 300 Finance Loans by Dealogic
Slide 37: Balance Sheet (Solo)
Balance Sheet (Solo) Rs. In crores YOY Growth LIABILITIES Dec 14 Mar 14 Dec 13 (%) Capital 747 747 684 9.14 Reserves and Surpluses 127805 117536 108232 18.08 Deposits 1510077 1394409 1349940 11.86 Borrowings 181675 183131 189969 -4.37 Other Liabilities & Provisions 83290 96413 88886 -6.30 Total Liab
Slide 38: Balance Sheet (Consolidated)
Balance Sheet (Consolidated) Rs. In crores YOY Growth LIABILITIES Dec 14 Mar 14 Dec 13 (%) Capital 747 747 684 9.14 Reserves and Surpluses 159976 146624 136570 17.14 Minority Interest 5363 4909 4876 9.98 Deposits 1969678 1838852 1793136 9.85 Borrowings 220062 223760 231412 -4.90 Other Liabilities &
Slide 39: Some Recent Awards
Recent Recognition & Awards (1/2) Some Recent Awards….. Golden Peacock Award for CSR by Institute of Directors, New Delhi Most Valuable Indian Brands 2014 by Brandz Top 50 Environmental Sustainability Award 2014 by BFSI Magazine Asia Sustainability Excellence Award 2014 by World CSR Congress Best in
Slide 40: 2/13/2015 3:37 PM
40 2/13/2015 3:37 PM
State Bank of India — Q3 FY2015 Earnings Presentation on 6ix