Slide 1: Intimation of Investor Presentation (exchange cover letter)
April 16, 2024 Listing Department Listing Department National Stock Exchange of India Ltd. BSE Limited Exchange Plaza, 5th floor P J Towers Plot No. C/1, G Block Dalal Street Bandra-Kurla Complex Mumbai 400 001 Bandra (East) Mumbai 400 051 Dear Sirs, Sub.: Intimation of Investor Presentation We are
Slide 2: CRISIL Analyst Presentation
April 2024 1 CRISIL Analyst Presentation © 2024 CRISIL Ltd. All rights reserved.
Slide 3: Disclaimer / Safe harbor
Disclaimer / Safe harbor This presentation has been prepared solely as a concise update of the Company’s quarterly and/or annual results. By reading the presentation slides, you agree to be bound by the following limitations: (a) CRISIL Ltd (“CRISIL” or “Company”) cannot give assurance to the correc
Slide 4: Agenda
Agenda 1. CRISIL overview 2. Business environment 3. Performance update © 2024 CRISIL Ltd. All rights reserved. 4. Financials 5. Segment performance 6. Thought leadership 7. Corporate social responsibility 8. Risks 3
Slide 5: CRISIL overview
CRISIL overview Ratings Service Ratings Active ratings outstanding for ~7000 large and mid-scale corporates and financials institutions Global Analytical Centre We provide intelligence, benchmarks, Largest data, analytics and research partner for S&P Global Ratings analytics and transformative © 202
Slide 6: Global presence
Global presence 4,600+ employees globally; 40+ nationalities across 12 countries; ~39% women employees Certified ‘Great Place to Work’ in India for 4th year in a row and recognized among © 2024 CRISIL Ltd. All rights reserved. Top 100 Best Workplace for Women in India CRISIL among Top 50 organizatio
Slide 7: Agenda
Agenda 1. CRISIL overview 2. Business environment 3. Performance update © 2024 CRISIL Ltd. All rights reserved. 4. Financials 5. Segment performance 6. Thought leadership 7. Corporate social responsibility 8. Risks 6
Slide 8: Macroeconomic environment
Macroeconomic environment 2022 2023F 2024F GDP growth (%) 7.6 7.0 6.8 5.2 4.6 3.4 4.3 3.5 2.5 3.5 3.2 3.0 2.5 © 2024 CRISIL Ltd. All rights reserved. 1.9 0.7 0.5 0.3 0.1 World US Eurozone UK India* China Pause in interest rate Rates lowered in Jul 2023 Sep 2023 Aug 2023 Feb 2023 hikes since Aug’2023
Slide 9: Key trends in macro and business environment
Key trends in macro and business environment Global Global banks continue to focus on operational efficiencies, Sustained activity in private capital regulatory compliance and business transformation Increased volatility due to macro uncertainties leading to Pressure on discretionary spending by glo
Slide 10: Agenda
Agenda 1. CRISIL overview 2. Business environment 3. Performance update © 2024 CRISIL Ltd. All rights reserved. 4. Financials 5. Segment performance 6. Thought leadership 7. Corporate social responsibility 8. Risks 9
Slide 11: Resilient performance amidst global market challenges
Resilient performance amidst global market challenges • Ratings Services segment delivered revenue growth despite reduced growth in bond 13.4% issuances and tepid corporate credit growth during the quarter ended March 2024 2023 • Research, Analytics and Solutions segment saw momentum in lending solu
Slide 12: Agenda
Agenda 1. CRISIL overview 2. Business environment 3. Performance update © 2024 CRISIL Ltd. All rights reserved. 4. Financials 5. Segment performance 6. Thought leadership 7. Corporate social responsibility 8. Risks 11
Slide 13: Financial performance for full year 2023 and Q1 2024
Financial performance for full year 2023 and Q1 2024 Income from operations Profit before tax (PBT) * Profit after tax (PAT) ₹ crore ₹ crore ₹ crore +13.4% +16.7% +16.9% 2,768.7 3,139.5 658.4 867.7 564.4 742.4 © 2024 CRISIL Ltd. All rights reserved. 2022 2023 2022 2023 2022 2023 +3.2% +1.0% -5.5% 71
Slide 14: Agenda: Segment performance – Ratings Services
Agenda 1. CRISIL overview 2. Business environment 3. Performance update © 2024 CRISIL Ltd. All rights reserved. 4. Financials Segment performance – 5. Ratings Services 6. Thought leadership 7. Corporate social responsibility 8. Risks 13
Slide 15: Corporate bond market and credit growth
Corporate bond market grew 9% in Q1 2024 vs 28% for full year 2023; Wholesale credit rangebound, Large corporate credit growth was tepid at 6.6% Bond issuance quantum (₹ billion) Credit growth (%) 25% 9,768 10,000 20% 18.1% © 2024 CRISIL Ltd. All rights reserved. 8,000 7,617 16.5% 15% 6,000 15.1% 4,
Slide 16: Ratings Services performance highlights
Ratings Services performance highlights Financials Particulars (₹ cr) 2022 2023 Growth Particulars (₹ cr) Q1 2023 Q1 2024 Growth Income from Income from 663.4 772.4 16.4% 186.5 202.2 8.4% operations operations © 2024 CRISIL Ltd. All rights reserved. Segment profit 278.6 334.7 20.1% Segment profit 89
Slide 17: Agenda: Segment performance – Research, Analytics & Solutions
Agenda 1. CRISIL overview 2. Business environment 3. Performance update © 2024 CRISIL Ltd. All rights reserved. 4. Financials Segment performance – 5. Research, Analytics & Solutions 6. Thought leadership 7. Corporate social responsibility 8. Risks 16
Slide 18: Healthier bank balance sheets and financialization of savings
Healthier bank balance sheets and financialization of savings Banking sector gross NPAs India mutual funds AUM* ₹ ‘000 crore 9.0% 8.5% 5,488 © 2024 CRISIL Ltd. All rights reserved. 7.4% 4,993 4,085 5.9% 3,864 2,993 3.9% 2,687 2.8%-2.9% FY19 FY20 FY21 FY22 FY23 FY24F 2019 2020 2021 2022 2023 Q1 2024
Slide 19: Healthier corporate balance sheets and higher capacity utilization
Healthier corporate balance sheets and higher capacity utilization conducive for incremental capex Net debt to EBITDA and debt levels of Indian companies Capacity utilization 90% Rs. lakh crore Times 25 3.5 80% 2.9 2.8 3.0 © 2024 CRISIL Ltd. All rights reserved. 2.7 2.7 70% 20 2.3 2.5 60% 1.8 1.9 15
Slide 20: Focus on profitability of global banks impacting discretionary spends
Focus on profitability of global banks impacting discretionary spends Global CIB revenue pools CIB Return on equity (%) $ billion 650 % 600 16 © 2024 CRISIL Ltd. All rights reserved. 14 550 12 10 500 8 6 50 4 2 0 0 2020 2021 2022 2023 2024F 2019 2020 2021 2022 2023 Revenues Pools analysis includes r
Slide 21: Research, Analytics & Solutions performance highlights
Research, Analytics & Solutions performance highlights Financials Particulars (₹ cr) 2022 2023 Growth Particulars (₹ cr) Q1 2023 Q1 2024 Growth Income from Income from 2,105.3 2,367.1 12.4% 528.4 535.5 1.3% operations operations Segment profit 457.1 493.6* 8.0% Segment profit 109.3 86.8 -20.6% © 202
Slide 22: Agenda
Agenda 1. CRISIL overview 2. Business environment 3. Performance update © 2024 CRISIL Ltd. All rights reserved. 4. Financials 5. Segment performance 6. Thought leadership 7. Corporate social responsibility 8. Risks 21
Slide 23: Thought leadership
Thought leadership Media Coverage Outreach – webinars, events and reports © 2024 CRISIL Ltd. All rights reserved. CRISIL’s 8th Edition of India Outlook Seminar 2024 CRISIL and CII launched knowledge report on Road Safety 22
Slide 24: Agenda
Agenda 1. CRISIL overview 2. Business environment 3. Performance update © 2024 CRISIL Ltd. All rights reserved. 4. Financials 5. Segment performance 6. Thought leadership 7. Corporate social responsibility 8. Risks 23
Slide 25: 11 years of driving positive social impact through CSR initiatives
11 years of driving positive social impact through CSR initiatives Financial capability building of rural women and communities CRISIL Foundation completed 11 years of impactful work and continues to drive meaningful, positive social and environmental change. © 2024 CRISIL Ltd. All rights reserved.
Slide 26: Agenda
Agenda 1. CRISIL overview 2. Business environment 3. Performance update © 2024 CRISIL Ltd. All rights reserved. 4. Financials 5. Segment performance 6. Thought leadership 7. Corporate social responsibility 8. Risks 25
Slide 27: Risks
Risks Geopolitical and market environment Evolving regulatory landscape © 2024 CRISIL Ltd. All rights reserved. Information and cyber security Currency movement Technology disruption – Generative AI 26
Slide 28: About CRISIL Limited
About CRISIL Limited CRISIL is a leading, agile and innovative global analytics company driven by its mission of making markets function better. It is India’s foremost provider of ratings, data, research, analytics and solutions, with a strong track record of growth, culture of innovation and global