Punjab & Sind Bank Ltd. · NSE:PSB
Punjab & Sind Bank — Q2 FY2022-23 Earnings Presentation
48 slides from Punjab & Sind Bank's earnings presentation, November 2022
Slide 1: Punjab & Sind Bank Financial Performance Q2 (HY Sept. 22)
Punjab & Sind Bank where service is a way of life…. Financial Performance Q2 (HY Sept. 22) www.punjabandsindbank.co.in Email ID: ho.customerexcellence@psb.co.in 1
Slide 2: Contents
Key Highlights & Business Performance 3-14 Investment 15-16 Financial Performance 17-22 Key Financial Ratios & Balance Sheet 23-26 Asset Quality 27-35 Capital and Shareholding Pattern 36 IT & Digital Initiatives 37-38 Geographical Presence & Financial Inclusion 39-40 Environmental, Social, Governanc
Slide 3: Key Highlights (YoY)
Key Highlights (YoY) 9.12% Gross Advances 46 bps NIM Rs.73739 Cr. 3.06% 3.27% Deposit Gross NPA Rs.105238 Cr. 487 bps 9.67% 376 bps CD Ratio Net NPA 157 bps 2.24% 70.07% 312 bps CASA 472 bps PCR (with TWO) 33.36% 89.16% 27.51% Net Profit Cost Income Ratio 27___% bps Rs.278 Cr. 65.30% 3
Slide 4: Key Highlights (YoY)
Key Highlights (YoY) 16.18% RAM Advances 25.61% Net Interest Rs. 37937 Cr. Income Rs. 775 Cr 18.95% Retail Advances 12 bps ROA Rs. 12619 Cr 0.84% 11.86% Agriculture Advances 483 bps ROE Rs. 11531 Cr 20.99% MSME Advances Yield On Advances 17.46% 75 bps Rs. 13787 Cr. 7.67% 4
Slide 5: Key Highlights (QoQ)
Key Highlights (QoQ) 26.19 % Operating Profit PCR 106 bps Rs. 318 Cr 89.16% 35.61 % Net Profit 65 bps YOA Rs. 278 Cr 7.67% 414 bps Cost Income Ratio 506 bps ROE 65.30% 20.99% Fee Income 20 bps ROA 13.33 % Rs. 102 Cr. 0.84% 5
Slide 6: Business Mix
Business Mix (Rs in Crore) Parameters Sep’21 Mar’22 Jun’22 Sep’22 QoQ (%) YoY (%) Total 169484 172524 174261 178977 2.71 5.60 Business Total 101910 102137 101534 105238 3.65 3.27 Deposits Total 67574 70387 72727 73739 1.39 9.12 Advances CD Ratio 66.31 68.91 71.63 70.07 (156) bps 376 bps Total Deposi
Slide 7: CASA
CASA (Rs in Crore) Parameters Sep’21 Mar’22 Jun’22 Sep’22 QOQ (%) YOY (%) Current Deposits 3585 4153 3692 4008 8.56 11.80 Savings Deposits 27235 30375 30831 31094 0.85 14.17 CASA Deposits 30820 34528 34523 35102 1.68 13.89 CASA (%) to Total 30.24 33.81 34.00 33.36 (64) bps 312 bps Deposits Current D
Slide 8: Composition of Advances
Composition of Advances (Rs in Crore) % to % to Y-o-Y Gross Gross Particulars Sep’21 Mar’22 Jun’22 Sep’22 Advances Advances (Sep’21) (Sep’22) Amt % RAM 32655 35692 35981 37937 5282 16.18 48.32 51.45 Corporate Advances 34919 34695 36746 35802 883 2.53 51.68 48.55 Total 67574 70387 72727 73739 6165 9.
Slide 9: RAM Advances
RAM Advances (Rs in Crore) YoY Particulars Sep’21 Mar’22 Jun’22 Sep’22 Amt % RAM 32655 35692 35981 37937 5282 16.18 • Retail 10609 11737 12040 12619 2010 18.95 • Agriculture 10308 10934 10903 11531 1223 11.86 • MSME 11738 13021 13038 13787 2049 17.46 Retail Agriculture MSME 12619 13787 11531 12040 1
Slide 10: Core Retail Lending Products
Core Retail Lending Products (Rs in Crore) Housing Loan Vehicle Loan Personal Loan 1685 7454 440 6727 1407 219 10.81% 19.76% 100.91% YoY YoY YoY Includes PAPL of Sep'21 Sep'22 Sep'21 Sep'22 Sep'21 Sep'22 Rs. 130 Cr. CIBIL Score Wise data of Retail Loans Gold Loan 2.79% 649 17.20% 13.76% 66.25% 337 9
Slide 11: Priority Sector
Priority Sector (Rs in Crore) Micro Priority Small/Marginal Weaker Non under Sector Agriculture Farmers Section Corporate MSME Farmers Mandatory Target 40 18 9.50 11.50 7.50 13.78 (% to ANBC) % 51.12 20.00 11.23 13.37 12.76 17.26 As on 30.09.22 Amount 32541 12729 7151 8511 8119 10987 11
Slide 12: MSME Performance
MSME Performance (Rs in Crore) Segment Mix Performance under GECL Facility Particular Sep’22 11% 17% Amount Sanctioned 1954 30% 25% Amount Disbursed 1840 Stand up India (as on Sep’22) (Since Inception) 58% 59% Target 3046 Achievement 2338 Sep'21 Sep'22 Achievement (%) 76.75 Micro Small Medium 12
Slide 13: Credit - External Rating Wise (Above Rs. 5 Cr.)
Credit - External Rating Wise (Above Rs. 5 Cr.) (Rs in Crore) Sep’21 Sep’22 Particulars Amount % to Total Amount % to Total AAA rated 2,161 6.85 4,741 13.23 AA rated 5,598 17.74 6,812 19.01 A rated 3,187 10.10 3,045 8.50 BBB Rated 3,273 10.37 1,961 5.47 Total of BBB & above 14,219 45.06 16,559 46.22
Slide 14: Advances to Major Industries/Sectors
Advances to Major Industries/Sectors (Rs in Crore) Sep’21 Sep’22 Sector % to Total % to Total Amount Amount Advances Advances Infrastructure 15729 23.28 15168 20.57 (Out of Which) Energy 5842 8.65 5817 7.89 Tele Communication 912 1.35 931 1.26 Roads, Ports 3335 4.94 3336 4.52 Other Infra 5640 8.35 5
Slide 15: Investments
Investments (Rs in Crore) % to Total Particulars Sep 21 Mar 22 Sep 22 (Sep 22) GROSS INVESTMENTS 37553 42766 47814 100.00 SLR INVESTMENTS 26081 27073 31124 65.09 (i) HFT 0 0 0 0 (ii) AFS 5942 5444 8209 17.17 (iii) HTM 20139 21629 22915 47.93 NON-SLR INVESTMENTS i) PSU Bonds* 9340 13707 14240 29.78 i
Slide 16: Investments
Investments % of SLR & Non-SLR in Domestic Investments 31 37 36 35 69 63 64 65 Sep'21 Mar'22 Jun'22 Sep'22 SLR Non-SLR Modified Duration of Trading Book (AFS+HFT) 2.98 2.92 2.69 2.60 38 bps YoY Sep'21 Mar'22 Jun'22 Sep'22 16
Slide 17: Interest Income
Interest Income (Rs in Crore) Quarter Variation Half Yearly Variation Particulars Sep’21 Jun’22 Sep’22 QoQ% YoY% Sep’21 Sep’22 YoY% Interest Income 1741 1800 1980 10.00 13.73 3431 3780 10.17 (a+b+c) a) Advances 1151 1220 1357 11.23 17.90 2318 2577 11.17 b) Investments 528 549 598 8.93 13.26 1005 114
Slide 18: Non Interest Income
Non Interest Income (Rs in Crore) Quarter Variation Half Yearly Variation Particulars Sep’21 Jun’22 Sep’22 QoQ% YoY% Sep’21 Sep’22 YoY% Comm. Exchange, Brokerage 30 23 35 52.17 17.49 54 58 7.49 Loan Processing Fee 24 17 19 11.76 (21.71) 38 36 (4.76) Other Income 32 50 48 (4.00) 48.84 62 98 58.32 Cor
Slide 19: Total Expenditure
Total Expenditure (Rs in Crore) Quarter Variation Half Yearly Variation Particulars Sep’21 Jun’22 Sep’22 QoQ% YoY% Sep’21 Sep’22 YoY% Total Expenses 1696 1663 1803 8.42 6.31 3325 3466 4.24 Interest Expenses 1124 1091 1205 10.45 7.21 2235 2296 2.73 - Deposits 1062 1040 1145 10.10 7.82 2109 2185 3.60
Slide 20: Operating Profit
Operating Profit (Rs in Crore) Quarter Variation Half Yearly Variation Particulars Sep’21 Jun’22 Sep’22 QoQ% YoY% Sep’21 Sep’22 YoY% Interest Income 1741 1800 1980 10.00 13.73 3431 3780 10.17 Interest 1124 1091 1205 10.45 7.21 2235 2296 2.73 Expenses Net Interest 617 709 775 9.31 25.61 1196 1484 24.
Slide 21: Net Profit
Net Profit (Rs in Crore) Quarter Variation Half Yearly Variation Particulars- Sep’21 Jun’22 Sep’22 QoQ% YoY% Sep’21 Sep’22 YoY% Operating Profit 301 252 318 26.19 5.64 680 570 (16.17) Provision for NPA 679 27 63 133.33 (90.72) 656 90 (86.28) Provision on Restructured (1) (1) 0 - - (48) (1) - Adv. St
Slide 22: Highlights - Financial Performance
Highlights - Financial Performance (Rs in Crore) Interest Income Net Interest Income (NII) 1980 775 709 617 1800 1741 13.73% 25.61% YoY YoY Sep'21 Jun'22 Sep'22 Sep'21 Jun'22 Sep'22 Operating Profit Net Profit 278 301 318 218 205 252 5.64% YoY 27.51% YoY Sep'21 Jun'22 Sep'22 Sep'21 Jun'22 Sep'22 22
Slide 23: Key Financial Ratios (QoQ)
Key Financial Ratios (QoQ) Cost of Deposits (%) Cost of Funds (%) 4.39 3.69 3.62 4.30 3.48 4.17 4.16 3.41 9 bps 7 bps YoY YoY Sep'21 Mar'22 Jun'22 Sep'22 Sep'21 Mar'22 Jun'22 Sep'22 Yield on Advances (%) Net Interest Margin (NIM) (%) 3.06 7.67 2.90 2.92 7.13 2.60 7.02 6.92 75 bps 46 bps YoY YoY Sep'
Slide 24: Key Financial Ratios (QoQ)
Key Financial Ratios (QoQ) Yield on Investments Cost to Income Ratio (%) 6.87 69.44 6.74 65.57 65.19 65.30 6.71 6.70 17 bps 27 bps YoY YoY Sep'21 Mar'22 Jun'22 Sep'22 Sep'21 Mar'22 Jun'22 Sep'22 Return on Asset (%) Return on Equity (%) (Annualized) (Annualized) 25.84 1.10 20.99 0.84 0.72 16.16 15.93
Slide 25: Productivity Ratios
Productivity Ratios (Rs. in Lacs) Business per Employee Business per Branch 1941 11736 1900 11070 Sep'21 Sep'22 Sep'21 Sep'22 Net Profit per Branch Net Profit per Employee 18.24 14.26 3.03 2.45 Sep'21 Sep'22 Sep'21 Sep'22 25
Slide 26: Balance Sheet
Balance Sheet (Rs in Crore) As on Liabilities Sep’21 Mar’22 Jun’22 Sep’22 Capital 4053 6778 6778 6778 Reserve & Surplus 4702 7233 7437 7505 Deposits 101910 102137 101534 105238 Borrowings 2630 2444 6656 8387 Other Liabilities & Provision 2839 2476 2072 2362 Total 116134 121068 124477 130270 Assets C
Slide 27: Asset Quality
Asset Quality GROSS NPA (%) NET NPA (%) Recovery & Upgradation (In Crore) 893 14.54 12.17 3.81 11.34 553 9.67 505 2.74 2.56 2.24 383 Sep'21 Mar'22 Jun'22 Sep'22 Sep'21 Mar'22 Jun'22 Sep'22 Sep'21 Mar'22 Jun'22 Sep'22 PCR WITH TWO (%) Credit Cost (%) Slippage Ratio (%) 89.16 2.66 87.89 88.10 1.02 84.
Slide 28: Movement of NPA
Movement of NPA (Rs in Crore) Sr. Quarter Half Year Particulars No Sep’21 Mar’22 Jun’22 Sep’22 Sep’21 Sep’22 Gross NPA Opening 1 9055 9636 8565 8244 9334 8565 Balance 2 Cash recoveries 530 305 192 251 740 427 Out of Above Cash 3 38 16 7 30 83 37 recovery Income Booked 4 Up gradations 303 120 120 229
Slide 29: Fresh Slippages
Fresh Slippages (Rs in Crore) 1566 432 321 377 75.93% YoY Sep'21 Mar'22 Jun'22 Sep'22 Particulars Sep’21 Mar’22 Jun’22 Sep’22 Retail 56 69 90 81 Agriculture 54 197 52 71 MSME 113 134 176 132 Corporate 1343 32 3 93 Total 1566 432 321 377 29
Slide 30: Sector wise NPA
Sector wise NPA (Rs in Crore) Sep’21 Mar’22 Jun’22 Sep’22 Sector NPA % to NPA % Advance NPA % NPA % Advance NPA Advance NPA NPA Advance NPA Adv to Adv to Adv to Adv Retail 10609 609 5.74 11737 597 5.09 12040 561 4.66 12619 532 4.22 Agriculture 10308 840 8.15 10934 944 8.63 10903 907 8.32 11531 888 7
Slide 31: Retail NPA
Retail NPA (Rs in Crore) Sep’21 Mar’22 Jun’22 Sep’22 Sector NPA % to NPA % NPA % NPA % Advance NPA Advance NPA Advance NPA Advance NPA Adv to Adv to Adv to Adv Housing 6727 465 6.91 7159 432 6.03 7282 388 5.33 7454 370 4.96 Vehicle 1407 84 5.97 1614 79 4.89 1644 79 4.81 1685 78 4.63 Personal 219 7 3
Slide 32: Asset Classification
Asset Classification (Rs in Crore) Particular Sep’21 Mar’22 Jun’22 Sep’22 s 4712 856 1560 Standard 57751 61822 64483 66611 Sub – 2344 833 917 856 Standard 66611 Doubtful 4707 5569 5418 4712 Loss 2772 2163 1909 1560 Standard Sub – Standard Total 67574 70387 72727 73739 Doubtful Loss Advances 32
Slide 33: COVID Resolution Framework
COVID Resolution Framework Resolution Framework 1 (Rs in Crore) Restructuring Out of which, position as Implemented on 30.09.22 Loan and aggregate exposure category No. of No. of Outstanding Outstanding Account Account Personal Loans 6250 556 4154 407 Other Exposures 419 1007 270 531 Total 6669 1563
Slide 34: SMA – Sector wise (5 Cr & Above)
SMA – Sector wise (5 Cr & Above) (Rs in Crore) 30.09.21 31.03.22 30.06.22 30.09.22 Sector SMA 1 SMA 2 SMA 1 SMA 2 SMA 1 SMA 2 SMA 1 SMA 2 Retail 0 1 1 0 2 1 6 2 Agriculture 2 0 0 0 7 0 5 3 MSME 166 220 131 76 226 147 223 245 Corporate 7 1620 543 5 101 112 308 38 Total 175 1841 675 81 336 260 542 288
Slide 35: Status of NCLT
Status of NCLT (Rs in Crore) PCR on NCLT Accounts 100.00% 100.00% 100.00% 99.88% 99.89% RBI List I RBI List II Accounts filed by Accounts filed by Total Bank other Banks Account Account filed RBI List I RBI List II filed by by other Bank Total Outstanding Outstanding Bank Outstanding Outstanding 258
Slide 36: Capital Adequacy & Share Holding Pattern
Capital Adequacy & Share Holding Pattern Sep’ 21 Mar’ 22 Jun’ 22 Sep’ 22 Particulars Sep’ 22 Share Capital 6777.79Cr Particulars No. of Shares 677.78Cr Amount Amount Amount Amount Net Worth 5374.21Cr. % % % % EPS (Rs.) 1.64 Book Value (Rs.) 7.93 CET I 5920 12.25 6307 12.77 6515 13.08 6588 12.65 Shar
Slide 37: IT & Digital Initiatives
IT & Digital Initiatives UPI/BHIM Transactions (In Lacs) UPI/BHIM Users (In Lacs) 715 13.26 12.14 595 11.05 445 8.86 300 138.33% 49.66% YoY YoY Sep'21 Mar'22 Jun'22 Sep'22 Sep'21 Mar'22 Jun'22 Sep'22 % of Digital Transaction QR Merchant on Boarding 23005 81.21 78.36 74.44 13555 67.98 8053 19.46% 365
Slide 38: IT & Digital Initiatives
IT & Digital Initiatives Finacle 10 CIBIL Triggers Upgradation Digitally enabled Customer Acquisition collection vertical via digital platforms Targeting millennial/ PSB Unic IT & Digital Z-generation Initiatives (Whatsapp Banking) Revamping call Account Aggregator Centre as profit Centre Card-less
Slide 39: Geographical & Social Media Presence
Geographical & Social Media Presence Northern 21 6 9 118 11 17 8 17 4 51 21 7 7 21 7 23 North 5 Eastern Central Eastern 27 Western 56 91 111 Social Media Presence 12 3365 27 15 12 41 13400 19 40 Southern 31 1066 36 52 2 2891 4 24 Total Branches - 1525 4750 39
Slide 40: Financial Inclusion
Financial Inclusion (In Lacs) PMJDY(Accounts Opened) PMJDY(Active Accounts) 17.76 15.25 15.47 13.96 14.24 13.14 12.75 11.81 Sep'21 Mar'22 Jun'22 Sep'22 Sep'21 Mar'22 Jun'22 Sep'22 Pradhan Mantri Jeevan Pradhan Mantri Suraksha Atal Pension Yojna Jyoti Bima Yojna Bima Yojna 5.45 5.14 4.85 4.12 19.31 1
Slide 41: Environmental, Social, Governance [ESG]
Environmental, Social, Governance [ESG] •Various schemes focusing on Environmental Sustainability. •Sanctioned Rs. 48 crore towards Renewable Energy and Electric Vehicle •Movement towards procurement of energy efficient electrical and electronic equipments. •Gender Diversity with approx 30% of Women
Slide 42: Awards & Accolades
Awards & Accolades • Runner up trophy for • Runner up trophy • IBA award as Runner Top Improvement in under the Up for “ Best Digital EASE 4.0 reforms Collaboration theme Financial inclusion initiatives” under the category of Small Banks. 42
Slide 43: Way Forward – CASA, RAM, Asset Quality
Way Forward – CASA, RAM, Asset Quality Digital Pre- Onboarding of Implementa- Growth in Setup War against approved more NBFCs/ tion of DSA high-quality outbound call NPA Personal HFCs for Co- Model. CASA Deposits center to Loan lending. – Focus on manage SMA Salary 0,1 A/c's in Accounts. Retail, MSM
Slide 44: Way Forward – Fees, Employee Productivity, Footprint, Young A/C Holders
Way Forward – Fees, Employee Productivity, Footprint, Young A/C Holders Increase fee Leverage Identification Employee Leverage BC Focus on income analytics to of non-core engagement channel to younger through identify fee assets for to drive address gaps generation’s tech-enabled generation sale. pr
Slide 45: Way Forward – Analytics, Digital Lending, Contact Centers, Products per Customer
Way Forward – Analytics, Digital Lending, Contact Centers, Products per Customer Implement Setup digital Create e2e Improve Reposition Introduction analytics lending digital customer call center as of Wealth use-cases to platform and products service levels profit centre Management increase create d
Slide 46: Guidance v/s Actuals
Guidance v/s Actuals Actual as on Actual as on Parameters Guidance for FY 2022-23 Jun' 22 Sep' 22 Deposit Growth 3.10% 3.27% >12% Advances Growth 7.06% 9.12% >15% <9% Gross NPA 11.34% 9.67% (Revised from earlier <10%) Net NPA 2.56% 2.24% <2% >89% PCR 88.10% 89.16% (Revised from earlier >88%) Recover
Slide 47: Disclaimer
Disclaimer • The Bank may alter, modify or otherwise change in any manner the contents of this presentation, without obligation to notify any person of such revision or changes. • Except for the historical information contained herein, statements in this release which contain words or phrases such a
Slide 48: Reach us at
www.punjabandsindbank.co.in Reach us at: ho.customerexcellence@psb.co.in Experience our Internet and Mobile Banking Solution 48
Punjab & Sind Bank — Q2 FY2022-23 Earnings Presentation on 6ix