Indian Bank · NSE:INDIANB
Indian Bank — Q3 FY2024 Earnings Presentation
48 slides from Indian Bank's earnings presentation, Jan 24, 2024
Slide 1: Presentation on Unaudited Financial Results Q3 FY2023-24
$T I <H f * ^ Indian Bank ALLAHABAD निवेशक सेवाएँ कक्ष INVESTOR SERVICES CELL Ref.No.: ISC/429/2023-24 Date: 24.01.2024 The Vice President The Vice President National Stock Exchange of India Ltd. BSE Ltd. Exchange Plaza,Bandra- Kurla Complex 25, P. J. Towers Bandra East, Mumbai-400 051 Dalal Street,
Slide 2: Performance Analysis Q3 / NME FY24
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Slide 3: Contents
Contents Topic Page 01 Performance Highlights 3 02 Business Snapshot 6 03 Financials 14 04 Capital & Risk Management 23 05 Asset Quality 26 06 Financial Inclusion 33 07 Digital Banking & Business Network 35 08 ESG, Group Entities & Awards 41 2/47
Slide 4: Performance Highlights Q3 FY24 (YoY)
01 Performance Highlights Q3 FY24 (YoY) 3/47
Slide 5: Performance Highlights Q3 FY24 (YoY)
Performance Highlights Q3 FY24 (YoY) BUSINESS Deposits Advances CASA : 8% CD Ratio ₹ 11.64 lakh Cr ₹ 6.54 lakh Cr ₹ 5.10 lakh Cr SB: 7% 77.93% 11% 10% 13% CA: 12% Business RAM Retail Agriculture MSME Corporate Credit ₹ 2.97 lakh Cr ₹ 99251 Cr ₹ 114422 Cr ₹ 83172 Cr ₹ 177510 Cr 13% 14% 16% 7% 10% Gro
Slide 6: Consistent Performance (QoQ)
Consistent Performance (QoQ) ₹ in Cr Net Interest Income Net Profit RoA (% ) 5815 1.11 1.06 2119 5741 1988 0.95 5703 1709 0.80 0.82 1396 1447 5499 5508 Dec'22 Mar'23 Jun'23 Sep'23 Dec'23 Dec'22 Mar'23 Jun'23 Sep'23 Dec'23 Dec'22 Mar'23 Jun'23 Sep'23 Dec'23 Gross NPA % Net NPA % PCR % 6.53 5.95 1.00
Slide 7: Business Snapshot
02 ® Business Snapshot [ 6147
Slide 8: Business Snapshot
Business Snapshot ₹ in Cr Domestic Deposits Sl No Parameter 31.12.2022 30.09.2023 31.12.2023 QoQ (%) YoY (%) Domestic Deposits 583998 619969 629401 1 Deposits 597114 640803 654154 2 10 Domestic 583998 619969 629401 2 8 Domestic CASA 240467 256482 258922 Overseas 13116 20834 24753 19 89 Current 32976
Slide 9: Advances (Domestic)
Advances (Domestic) ₹ in Cr Retail 31.12.2022 30.09.2023 31.12.2023 YoY (%) Sector 31.12.2022 30.09.2023 31.12.2023 YoY (%) Home Loan (Incl.Mortgage loans) 57263 62289 64343 12% Gross Advances-Domestic 424162 458681 474355 12 Auto Loan 4999 6291 7291 46% Personal Loan 6649 8668 8648 30% Retail 87219
Slide 10: Priority Sector Lending
Priority Sector Lending ₹ in Cr Achievement RBI Benchmark Mandatory Target Segment (as on 31.12.23) (Excluding PSLC) (as % of ANBC) (Amount) Amount % Priority Sector 40.00% 156930 171480 43.71% Surpassed all the Agriculture 18.00% 70618 77124 19.66% mandatory targets stipulated by RBI Small and Marg
Slide 11: Sector Deployment – Domestic Advances
Sector Deployment – Domestic Advances ₹ in Cr % share % share Sector 31.12.2022 to Gross 31.12.2023 to Gross Advances Advances Infrastructure 55817 13 58668 12 of which Power 19246 5 21081 4 Port and Road Project 9059 2 8491 2 Other infrastructure 27512 6 29096 6 Basic Metal 9957 2 10192 2 Textiles
Slide 12: External Rating-wise Advances
External Rating-wise Advances ₹ in Cr External Rating 31.12.2022 30.09.2023 31.12.2023 (More than ₹10 Cr; For CRE/MSME > ₹25 Cr) Exposure % to Total Exposure % to Total Exposure % to Total 1. Rated Exposure AAA 37518 16% 42275 18% 41827 17% AA 69728 30% 71187 30% 75911 31% A 58842 25% 67000 28% 6790
Slide 13: Standard NBFC Advances
Standard NBFC Advances ₹ in Cr Standard NBFC 31.12.2022 % 30.09.2023 % 31.12.2023 % NBFC - PSUs 6744 11% 4832 8% 2776 5% NBFC - HFCs 23125 38% 23891 37% 23443 38% NBFC - MFIs 1738 3% 1824 3% 1850 3% NBFC - Others 28678 48% 33121 52% 32984 54% Total 60285 100% 63668 100% 61053 100% Rating of Standard
Slide 14: Investments (Domestic)
Investments (Domestic) ₹ in Cr Details 31.12.2022 30.09.2023 31.12.2023 YoY (%) AFS Book (YoY) SLR Investments (a) 144668 160699 160820 11 Of which 31.12.2022 Central Government Securities 93253 98801 99285 6 9% State Government Securities 48871 59893 59819 22 Treasury Bills 2544 2005 1716 -33 1% 12
Slide 15: Financials
03 ® Financials 1] 14/47
Slide 16: Operating Profit & Net Profit
Operating Profit & Net Profit ₹ in Cr Quarter Ended Nine Months Ended Year Ended Sl No Components 31.12.2022 30.09.2023 31.12.2023 QoQ (%) YoY (%) 31.12.2022 31.12.2023 YoY (%) 31.03.2023 1 Interest Income 11834 13744 14198 3 20 32698 40990 25 44942 2 Interest Expenses 6335 8003 8383 5 32 17981 2373
Slide 17: Income
Income ₹ in Cr Quarter Ended Nine Months Ended Year Ended Sl No Components 31.12.2022 30.09.2023 31.12.2023 QoQ (%) YoY (%) 31.12.2022 31.12.2023 YoY (%) 31.03.2023 1 Interest Income on Advances and Discount on Bills 8552 10030 10349 3 21 23091 29982 30 31941 2 Interest on investments 2918 3347 3420
Slide 18: Fee Income
Fee Income ₹ in Cr Quarter Ended Nine Months Ended Year Ended Sl No Components 31.12.2022 30.09.2023 31.12.2023 QoQ (%) YoY (%) 31.12.2022 31.12.2023 YoY (%) 31.03.2023 1 Transaction fees 163 209 184 -12 13 540 564 4 704 2 Loan processing charges 175 200 190 -5 9 485 527 9 693 3 Commission on Govern
Slide 19: Expenses
Expenses ₹ in Cr Quarter Ended Nine Months Ended Year Ended Sl No Components 31.12.2022 30.09.2023 31.12.2023 QoQ (%) YoY (%) 31.12.2022 31.12.2023 YoY (%) 31.03.2023 1 Interest on deposits 5911 7579 7915 4 34 16857 22379 33 23184 2 Interest on borrowings 191 18 86 - -55 442 210 -53 616 3 Other inte
Slide 20: Overhead Expenses
Overhead Expenses ₹ in Cr Quarter Ended Nine Months Ended Year Ended Sl No Components 31.12.2022 30.09.2023 31.12.2023 QoQ (%) YoY (%) 31.12.2022 31.12.2023 YoY (%) 31.03.2023 1 Rent, Taxes & Lighting 159 164 160 -2 1 449 477 6 621 2 Depreciation 131 135 130 -4 -1 400 399 -0.3 529 3 Insurance 210 21
Slide 21: Provisions & Net Profit
Provisions & Net Profit ₹ in Cr Quarter Ended Nine Months Ended Year Ended Sl No Components 31.12.2022 30.09.2023 31.12.2023 QoQ (%) YoY (%) 31.12.2022 31.12.2023 YoY (%) 31.03.2023 1 Operating Profit 4061 4303 4097 -5 1 11255 12535 11 15271 2 Total Provisions 2665 2315 1978 -15 -26 7421 6719 -9 998
Slide 22: Performance Ratios
Performance Ratios % Annualised Sl Quarter Ended Nine Months Ended Year Ended Ratios No 31.12.2022 30.09.2023 31.12.2023 31.12.2022 31.12.2023 31.03.2023 1 Cost of Deposits 4.19 4.89 4.99 4.02 4.83 4.09 2 Cost of Funds 4.26 4.97 5.09 4.04 4.94 4.14 3 Yield on Advances 8.19 8.75 8.78 7.60 8.69 7.76 4
Slide 23: Performance Ratios
Performance Ratios % Annualised Cost of Deposits Yield on Advances Cost of Funds Yield on Funds 8.75 8.78 8.19 8.27 8.32 7.90 4.89 4.99 Quarter 4.19 4.97 5.09 performance 4.26 Dec-22 Sep-23 Dec-23 Dec-22 Sep-23 Dec-23 Return on Assets (RoA) Return on Average Networth (RoE) Earnings per Share (₹) Boo
Slide 24: Capital & Risk Management
04 Capital & Risk Management 23/47
Slide 25: Capital & Risk Management
Capital & Risk Management ₹ in Cr CET 1 Additional Tier I Tier II S No Parameters 31.12.2022 30.09.2023 31.12.2023 1 Common Equity Tier I (CET 1) 38638 42680 46977 3.16% 2.90% 2.70% 2 Additional Tier I 1980 1980 1988 0.61% 0.56% 0.52% 3 Tier II 10202 10271 10268 4 Total Capital (1+2+3) 50819 54931 5
Slide 26: Share Holding & Ratings
Share Holding & Ratings As on 31.12.2023 Ratings Issuer Credit Rating (Global) Mutual Funds: 10.53% S & P Global Ratings Resident Individual: 3.09% BBB- / Stable/ A-3 Government of India Insurance Companies: 4.78% 73.84% FPI,FII, NRI & AIF: 6.52% Employees: 0.48% AT-1 & Tier -2 Bond’s AT 1 Perpetual
Slide 27: Asset Quality
05 ® Asset Quality [ oe 26147
Slide 28: Asset Quality
Asset Quality Amount ₹ Cr Gross NPA Net NPA Gross NPA Net NPA % 29484 6.53 24488 22787 4.97 4.47 Quarter 4271 1.00 performance 2826 2579 0.60 0.53 Dec-22 Sep-23 Dec-23 Dec-22 Sep-23 Dec-23 Annualised % PCR (Incl TWO) PCR (Excl TWO) % Slippage Ratio Credit Cost 95.90 1.77 95.64 93.59 1.41 1.28 88.46
Slide 29: Movement of NPA
Movement of NPA ₹ in Cr Quarter Ended Nine Months Ended Year Ended S No Details 31.12.2022 30.09.2023 31.12.2023 31.12.2022 31.12.2023 31.03.2023 Fresh slippages 1 Gross NPA opening balance 31959 26227 24488 35214 28180 35214 ADDITIONS : QE QE QE NME NME Fresh Slippages 1192 1976 1429 4942 5376 6642
Slide 30: Sector-wise NPA
Sector-wise NPA ₹ in Cr 31.12.2022 30.09.2023 31.12.2023 S % to % to % to Sector Gross Gross Gross No respective respective Outstanding respective NPA NPA NPA portfolio portfolio portfolio 1 Retail Credit 3209 3.68% 2645 2.77% 99251 2277 2.29% Of which Home Loan 1363 2.74% 1432 2.68% 54756 1116 2.04
Slide 31: NCLT & NARCL
NCLT & NARCL ₹ in Cr 31.12.2023 Category No.of Accounts Exposure Provision PCR% NCLT RBI List I 6 1105 1105 100% RBI List II 10 2854 2854 100% Accounts filed by Bank 24 1510 1510 100% Accounts filed by other Banks 198 16480 16480 100% Total 238 21949 21949 100% QE Dec 22 QE Sep 23 QE Dec23 FY 23 Rec
Slide 32: Special Mention Account (SMA)
Special Mention Account (SMA) ₹ in Cr ₹5 Cr and above 30.09.2023 31.12.2023 % to % to Standard Standard Respective % to Total Respective % to Total Sector Advances SMA 1 SMA 2 Total Advances as Sector Standard SMA 1 SMA 2 Total Sector Standard as on on 30.09.23 Standard Advances Standard Advances 31
Slide 33: COVID Restructuring (sector-wise)
COVID Restructuring (sector-wise) ₹ in Cr Reduction during the Addition during the QE Dec'23 QE Dec'23 Outstanding as Outstanding as Addition (Interest/ Recovery on 30.09.2023 Upgradation on 31.12.2023 Provision Sector Additional Percentage (Standard) NPA to Recovery Fresh NPA (Standard) funding/ Fu
Slide 34: Financial Inclusion
06 Financial Inclusion 33/47
Slide 35: Financial Inclusion
Financial Inclusion Number of Enrolments (in Lakhs) * S No FI Parameters Dec'22 Sep'23 Dec'23 142 1 BCs engaged (Nos.) 10368 10825 10942 125 2 BSBD Accounts (No. in lakhs) 285 300 303 96 Dec'22 Sep'23 Dec'23 3 PMJDY Accounts under BSBDA (No. in lakhs) 199 215 219 52 58 39 30 35 37 4 Balance in PMJDY
Slide 36: Digital Banking & Business Network
07 Digital Banking & Business Network 35/47
Slide 37: Digital Migration
Digital Migration YoY Digital Migration 87% 83% 4% 17% 13% Dec-22 Dec-23 ATM, BNA & Digital Transactions Branch Transactions Transactions through ATM, BNA & Digital Channels improved by 4% YoY 36/47
Slide 38: Digital Banking
Digital Banking In lakhs Mobile Banking UPI Users Transactions Users Remitter Transactions YoY 26% YoY YoY 38% YoY 47% 159 174 72% 9305 164 108 138 119 5420 Dec-22 Dec-23 QE Dec 22 QE Dec 23 Dec-22 Dec-23 QE Dec 22 QE Dec 23 Card users Net Banking Users Debit Card Users Credit Card Users UPI QR - No
Slide 39: Digital Initiatives
Digital Initiatives Digital business ₹52000 Cr + Digital Journeys, Utilities and 78 Processes Retail • Pre-Approved Personal Loan (PAPL): Salaried & Pensioners, Self Employed, Cross sell to Home • Credit Card – Pre Approved (ETB), Secured, ETB, against Deposits Loan customers, Top up, with Digital D
Slide 40: Business Network
Business Network Domestic Branches ATMs & BNAs 9 Region-wise LCBs (including 3 DBUs) 51 26 Northern RACs MCBs Business Overseas Correspondents Processing Branches Centres & Verticals 693 15 81 SAM MAPCs 142 72 Central Pan India Touch Points: 21677 RAPCs 407 1422 Eastern 1248 Population group wise (D
Slide 41: Staff Position & HRM Initiatives
Staff Position & HRM Initiatives Domestic Average % of Creation of 9 Centres of Excellences to conduct Flagship Training Programs & Total Male Female (As on 31.12.23) age of staff Female encompassing leadership development for Executives Officers 25801 18548 7253 37 28% Pilot Centre of Excellenc
Slide 42: ESG, Group Entities & Awards
08 ESG, Group Entities & Awards 41/47
Slide 43: Environmental, Social & Governance
Environmental, Social & Governance E S G Environmental Social Governance Policy on Green Deposits incentivizes eco- Rural Development: 37 RSETI Centres (INDSETIs) trained 21598 candidates through 736 programmes in Well defined policies and SOPs friendly investments nine months ended December 2023 Go
Slide 44: Joint Venture & Subsidiary
Joint Venture & Subsidiary 31.12.2023 (Provisional) Joint venture Subsidiary Consortium of credible Public & In the business of Stock Broking & DP Private Corporate entities from India Listed on NSE and BSE and Sompo of Japan as promoter Bank’s shareholding: 64.84% Incorporated & licensed
Slide 45: Regional Rural Banks (RRBs)
Regional Rural Banks (RRBs) ₹ in Cr Tamil Nadu Grama Bank Saptagiri Grameena Bank Puduvai Bharathiar Grama Bank Total Total Parameters NME FY23 NME FY23 NME FY23 NME YE Dec-22 Dec-23 YoY Dec-22 Dec-23 YoY Dec-22 Dec-23 YoY Dec-22 Dec-23 YoY Mar-23 Business 38649 44451 15% 40417 20548 24301 18% 22059
Slide 46: Awards & Accolades
Awards & Accolades Roll of Honour Banking Awards 2023 Fastest Growing Bank Public Sector Bank DSIJ’s 2023 Banking Award in Fastest Growing Bank (Public Sector) category to Indian Bank BFSI Award to Bank for Use of Emerging Technology in Banking Industry for Project “PARADISE” for Adoption of Cloud C
Slide 47: Disclaimer
Disclaimer This presentation has been prepared by Indian Bank (the “Bank”) solely for information purposes, without regard to any specific objectives, financial situations or informational needs of any particular person. Certain forward-looking statements in these slides involve a number of risks, u
Slide 48: Thank you
Thank you