Karur Vysya Bank Ltd. · NSE:KARURVYSYA
Karur Vysya Bank — Q2 FY2025 Earnings Presentation
41 slides from Karur Vysya Bank's earnings presentation, Oct 17, 2024
Slide 1: Regulation 30 intimation to stock exchanges
Classification | REGULATORS IRC:F48:235:458:2024 October 17, 2024 The Manager, The Manager, National Stock Exchange of India Ltd, BSE Limited, Exchange Plaza, 5th Floor, Phiroze Jeejeebhoy Towers, Plot No. C-1, ‘G’ Block, Dalal Street, Bandra- Kurla Complex, Mumbai – 400001. Bandra (East), Mumbai –
Slide 2: Investor Presentation Q2 FY 2025
Classification | PUBLIC Investor Presentation Q2 FY 2025
Slide 3: Disclaimer
Classification | PUBLIC Disclaimer This presentation has been prepared by Karur Vysya Bank Limited (“the Bank”) solely by the Bank for information purposes only. This presentation is not a complete description of the Bank and the information contained herein is only current as of its date and has no
Slide 4: Quarter In focus
Classification | PUBLIC Quarter In focus
Slide 5: Strong presence in India's fast-growing hinterland
Classification | PUBLIC Strong presence in India’s fast-growing hinterland Category 30.09.24 31.03.24 31.03.23 State wise Branches Branches 841 838 799 ATM’s + Cash Recyclers 2,208 2,262 2,240 Punjab-5 Chandigarh UT-1 Haryana-6 Uttarakhand-1 No. of Other New Delhi-12 Category BBU* CBU* ARB* Branches
Slide 6: A glimpse into our financial performance
Classification | PUBLIC (Rs. crore) A glimpse into our financial performance Business Advances Deposits CASA 1,76,138 80,299 95,839 28,232 ▲15% YoY ▲ 4% QoQ ▲ 14% YoY ▲ 3% QoQ ▲ 15% YoY ▲ 4% QoQ ▲ 5% YoY ▲ 1% QoQ NIM PPOP (Crs) Net Profit (Crs) ROA H1- 4.12% Q2- 4.11% H1- 1,562 Q2-816 H1 -932 Q2-473
Slide 7: Performance metrics- Key Ratios
Classification | PUBLIC Performance metrics- Key Ratios Quarter Half year Particulars Sep 24 Sep 23 Sep 24 Sep 23 Cost of Deposits (%) 5.56 5.16 5.52 5.07 Yield on Advances (%) 10.08 9.76 10.09 9.73 Cost of Funds (%) 5.55 5.19 5.52 5.09 Yield on Funds (%) 8.88 8.52 8.86 8.49 Net Interest Margin (%)
Slide 8: Performance metrics- Key Ratios (quarter)
Classification | PUBLIC Performance metrics- Key Ratios (quarter) ROA ROE EPS 1.76 1.70 1.72 18.17 1.65 5.67 5.70 5.89 1.57 5.13 4.72 17.33 17.36 17.20 16.50 Sep-23 Dec-23 Mar 24 Jun 24 Sep 24 Sep-23 Dec-23 Mar 24 Jun 24 Sep 24 Sep-23 Dec-23 Mar 24 Jun 24 Sep 24 NIM Yield on Advances Cost to Income
Slide 9: Profit & Loss Statement
Classification | PUBLIC (Rs. crore) Profit & Loss Statement Quarter Half year Particulars Growth % Growth % Sep 24 Sep 23 Sep 24 Sep 23 (YoY) (YoY) Net Interest Income 1,060 915 16 2,084 1812 15 Other Income 472 339 39 860 672 28 - Fee income 232 197 18 474 401 18 - Others 240 142 69 386 271 42 Tota
Slide 10: Balance Sheet
(Rs. crore) Classification | PUBLIC Balance Sheet Particulars Sep 24 Sep 23 YoY (%) Capital & Liabilities Capital 161 161 - Reserves and Surplus 10,739 9,002 19 Deposits 95,839 83,068 15 Borrowings 1,418 2,588 (45) Other Liabilities and Provisions 4,416 3,615 22 Total 1,12,573 98,434 14 Cash and Bal
Slide 11: Capital to Risk Weighted Assets Ratio – Basel III
(Rs. crore) Classification | PUBLIC Capital to Risk Weighted Assets Ratio – Basel III Particulars Sep 24 Sep 23 Jun 24 CRAR % 16.28 16.84 16.47 Total capital 10,299 9,146 10,267 Tier I capital 9,735 8,249 9,713 Tier II capital 564 897 554 RWA 63,263 54,314 62,352 Credit risk 54,931 45,282 54,058 Ope
Slide 12: Driving growth across verticals
Classification | PUBLIC Driving growth across verticals
Slide 13: Advances and Deposits; Deposit Portfolio
(Rs. crore) Classification | PUBLIC Advances and Deposits Parameter Sep 24 Sep 23 YOY % Jun 24 QOQ % Mar 24 YTD% Deposits 95,839 83,068 15 92,349 4 89,113 8 Gross Advances 80,299 70,448 14 77,710 3 74,423 8 Total Business 1,76,138 1,53,516 15 1,70,059 4 1,63,536 8 Deposit Portfolio Parameter Sep 24
Slide 14: Growing our books responsibly
Classification | PUBLIC (Rs. crore) Growing our books responsibly Particulars Sep 24 Sep 23 YoY % Jun 24 QoQ % Commercial 28,688 23,510 22 27,083 6 Retail (Personal Banking) 19,685 16,225 21 18,840 4 Agriculture 18,838 16,302 16 18,135 4 Sub Total 67,211 56,037 20 64,058 5 Corporate 13,088 14,411 (9
Slide 15: Retail Portfolio
(Rs. crore) Classification | PUBLIC Retail Portfolio Particulars Sep 24 Sep 23 YOY % Jun 24 QOQ % Housing loan 8,173 7,191 14 7,924 3 Jewel loans 2,841 2,158 32 2,654 7 Mortgage (LAP) loans 4,909 3,656 34 4,473 10 Vehicle loans 1,107 1,137 (3) 1,122 (1) Consumer Credit-BNPL 1,030 410 151 1,065 (3) P
Slide 16: Commercial Banking
Classification | PUBLIC (Rs. crore) Commercial Banking Ticket size of Commercial Book Jewel Loan 50 18,000 45 16,000 24% 40 14,000 35 14% 30 25.7 26.0 12,000 62% 25.1 24.9 25.1 25 10,000 20 8,000 15 17,669 18,106 18,672 19,995 20,878 6,000 10 5 4,000 0 2,000 Sep-23 Dec-23 Mar-24 Jun-24 Sep-24 < 5 cr
Slide 17: Corporate Banking
(Rs. crore) Classification | PUBLIC Corporate Banking Standard Corporate Advances ≥ 150 crore Risk Profile 3,000 7.00 5% 5% 4% 3% 3% 18% 19% 23% 25% 28% 5.00 2,000 3.25 37% 39% 2.94 2.95 37% 37% 36% 2.55 2.20 3.00 40% 37% 36% 35% 33% 1,331 1,849 1,889 2,193 1,764 1,000 1.00 Mar 21 Mar 22 Mar 23 Mar
Slide 18: Advances-Sectoral composition
Classification | PUBLIC Advances-Sectoral composition Rs. 80,299 Crore Break up for Manufacturing Sector (Rs. 18,306 Crore) AGRI BILLS NBFC 2% GEMS & JEWELLERY 2% 3% COMMERCI 11% OTHERS AL REAL 7% ESTATE OTHER MINING AND 6% EXPOSURES QUARRYING 11% 4% INFRASTRUCTURE CONSTRUCTION 14% 4% TRADING 13% AL
Slide 19: Liability Franchise : Predominantly Retail
Classification | PUBLIC Liability Franchise : Predominantly Retail Deposit Breakup Term Deposit*-Amount wise 20% 19% 10% 9% 20% 71% 51% < Rs.15 Lakhs ≥Rs.15 Lakhs to <Rs.1 Cr Term Deposits Demand Deposits Savings Deposits ≥Rs.1 Cr to < Rs.5 Cr ≥ Rs.5 Cr 81% of Term Deposits are < Rs.5 Cr * Term Depo
Slide 20: Investment Portfolio
Classification | PUBLIC Investment Portfolio Gross Investments (Rs. crore) Investment Category HFT, 0.82% 23,564 FVTPL, 1.57% 23,007 22,840 AFS, 21.33% 21,413 21,473 HTM, 76.28% Sep'23 Dec'23 Mar'24 Jun'24 Sep'24 Investment Composition Modified Duration 1.07% 11.95% AFS HFT HTM FVTPL Total 2.67 4.54
Slide 21: Disciplined approach to reduce stressed assets
Classification | PUBLIC Disciplined approach to reduce stressed assets
Slide 22: Movement of NPA for the quarter
(Rs. crore) Classification | PUBLIC Movement of NPA for the quarter Particulars July 24 – Sep 24 July 23 – Sep 23 Gross NPAs Opening Balance 1,025 1,330 Additions during the period (+) 181 (+) 155 Reductions during the period (-) 320 (-) 266 -Of which Recoveries/Upgradation 100 115 Tech Write offs 2
Slide 23: Vertical wise NPA; Collection efficiency
(Rs. crore) Classification | PUBLIC Vertical wise NPA NPA Reduction Q2 Advances O/s. NPA as on NPA Additions NPA as on Provisions Vertical Recoveries / Sep 24 Jun 24 Q2 Tech W/off Sep 24 Sep 24 upgradation Commercial 28,688 459 79 63 67 408 256 Retail (Personal Banking) 19,685 359 58 29 124 264 233
Slide 24: High Asset Quality with GNPA 1.10% and NNPA 0.28%
(Rs. crore) Classification | PUBLIC Bank Maintaining high Asset Quality with GNPA 1.10% and NNPA 0.28% 4,143 7.94 3,431 6.03 2,366 2,132 1,719 1,458 3.45 1,261 2.27 957 1,042 886 730 2.30 1.40 665 1.10 468 298 219 0.74 0.40 0.28 Mar 21 Mar 22 Mar 23 Mar 24 Sep 24 Mar 21 Mar 22 Mar 23 Mar 24 Sep 24 G
Slide 25: Provisions Coverage
Classification | PUBLIC Provisions Coverage 1 94.85% 96.09% 5.00% 92.14% 0.9 94.85 96.09 80.27% 92.14 0.8 72.70% 80.27 0.7 72.70 3.00% 0.6 75.09 0.5 70.12 63.25 65.62 0.4 57.11 1.00% 0.3 1.47% 1.45% 1.26% 0.2 0.78% 0.65% 0.1 0 -1.00% Mar 21 Mar 22 Mar 23 Mar 24 Sep 24 Mar 21 Mar 22 Mar 23 Mar 24 Sep
Slide 26: Provisions and Contingencies
(Rs. crore) Classification | PUBLIC Provisions and Contingencies Quarter Half year Provision for Sep 24 Sep 23 Sep 24 Sep 23 NPA 155 109 255 210 Standard Assets 10 15 23 28 Restructured Advances (9) (22) (14) 1 Other prudential provisions 25 - 50 - Floating Provision - 25 - 50 NPI and others - (1) -
Slide 27: Restructured Accounts
(Rs. crore) Classification | PUBLIC Restructured Accounts Sep 24 Sep 23 Jun 24 Particulars Standard NPA Standard NPA Standard NPA Resolution Framework - 2.0 371 45 510 93 387 58 COVID 19 - Resolution Framework 184 17 219 124 195 29 MSME 76 3 118 97 81 5 CDR - - - - - - Others* - 11 - 26 - 29 Total 6
Slide 28: Movement of Standard Restructured Advances for the quarter
(Rs. crore) Classification | PUBLIC Movement of Standard Restructured Advances for the quarter June 24 to Sep 24 June 23 to Sep 23 Particulars A/c’s Amt. A/c’s Amt. Position at the beginning of the period 1,819 663 2,318 893 A. Additions during the period - - - - B. Additions in existing A/c’s - 8 -
Slide 29: Sector-wise Standard Restructured Advances
(Rs. crore) Classification | PUBLIC Sector-wise Standard Restructured Advances S. Amount Stressed Book Analysis SECTOR N. Sep 24 Sep 23 1400 1.40 1171 1100 1 Housing 198 228 1200 1.20 1013 1.20 2 Real Estate 124 139 1.07 957 850 3 Wholesale and Retail Trade 36 77 1000 324 0.96 1.00 305 0.88 4 Textil
Slide 30: Building a Strong digital ecosystem
Classification | PUBLIC Building a Strong digital ecosystem
Slide 31: Digital Banking
Classification | PUBLIC Digital Banking DLite App Pay to Contacts (UPI) through Gold Loan Calculator Digital DLITE Registered Accounts Users Opened 5.63 MILLION 26.18 L DLite Recent DLITE APP DOWNLOADS 3.95 L launches Protect.AI SDK integration for Aadhaar VID based online DLite Avg Daily Txns enhan
Slide 32: Digital Partnerships
Classification | PUBLIC Digital Partnerships ASSETS Service Support Business Support LIABILITIES Channel Partners Payment aggregators Govt Business Payments Security 31 www.kvb.co.in
Slide 33: Environmental Social Governance
Classification | PUBLIC Environmental Social Governance
Slide 34: ESG Highlights - Environment
Classification | PUBLIC ESG Highlights - Environment TO THE COMMUNITY WE SERVE OUR OPERATIONAL EXCELLENCE Revival of Traditional Water Bodies in Rameswaram Sewage Treatment Plant 38kWp (Chidambara Teertham /Pottayammal Kulam) (STP) Grid connected rooftop solar power plant (Under Progress) Commission
Slide 35: ESG Highlights – Social
Classification | PUBLIC ESG Highlights – Social PROVISION OF ROBOTIC ARM ASSISTED EQUIPPING 400 YOUTHS WITH ASPIRE - ADVANCING SUSTAINABLE EQUIPMENT FOR ORTHOPEDIC SURGERY ENHANCED EMPLOYABILITY SKILLS PANCHAYAT VILLAGES VIA INTEGRATED RURAL ECOSYSTEM RENOVATION OF COMMUNITY SKILL TRAINING PROGRAM F
Slide 36: ESG Highlights - Social
Classification | PUBLIC ESG Highlights - Social TO THE COMMUNITY WE SERVE OUR OPERATIONAL EXCELLENCE Organized 46 financial literacy campaigns during Q2 FY24-25 attracting over 700+ participants across 37 locations in 8 districts 35 www.kvb.co.in
Slide 37: ESG Highlights - Governance
Classification | PUBLIC ESG Highlights - Governance board level committees with majority of Corporate Governance Structure Bank has established an effective corporate governance structure for top level 10 independent directors complying with Bank’s Diversity policy and RBI regulations 70 % managemen
Slide 38: Awards and Accolades received during the quarter
Classification | PUBLIC Awards and Accolades received during the quarter Our Banks PRAMOD Initiative earned top honours at the Brandon Hall Group Awards, Securing 4 Gold, 2 Silver and 2 Bronze medals for excellence in Human capital Management 37 www.kvb.co.in
Slide 39: Shareholding pattern; External Ratings
Classification | PUBLIC Shareholding pattern External Ratings Promoter group, 2.13 Rating Agency Instrument Ratings Resident Individual, 40.48 Mutual Fund, 30.16 Certificate of A1+ Deposits Insurance Companies, 4.84 Foreign Portfolio Certificate of A1+ others, 7.29 Investors , 15.10 Deposits 38 www.
Slide 40: Decade of Sustained Growth
(Rs. crore) Classification | PUBLIC Decade of Sustained Growth Year 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19 2019-20 2020-21 2021-22 2022-23 2023-24 Paid up Capital 107 122 122 122 145 160 160 160 160 160 161 Reserves 3,219 4,124 4,451 4,723 6,066 6,205 6,440 6,760 7,308 8,264 9,687 Owned fun
Slide 41: Thank You
Classification | PUBLIC Thank You