Karur Vysya Bank Ltd. · NSE:KARURVYSYA
Karur Vysya Bank — Q1 FY2025 Earnings Presentation
41 slides from Karur Vysya Bank's earnings presentation, Jul 18, 2024
Slide 1: Regulation 30 intimation cover letter to exchanges
Classification | REGULATORS IRC:F48:164:330:2024 July 18, 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 – 400
Slide 2: Investor Presentation Q1 FY 2025
Classification | PUBLIC Investor Presentation Q1 FY 2025 www.kvb.co.in
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 30.06.24 31.03.24 31.03.23 State wise Branches Branches 840 838 799 ATM’s + Cash Recyclers 2,253 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 1,70,059 77,710 92,349 28,042 15% YoY 4% QoQ 16% YoY 4% QoQ 14% YoY 4% QoQ 6% YoY 4% QoQ NIM PPOP (Crs) Net Profit (Crs) ROA 4.13% 746 459 1.70% 6 bps YoY 6 bps QoQ 15% YoY 5% QoQ* 28% YoY 1%
Slide 7: Performance metrics- Key Ratios
Classification | PUBLIC Performance metrics- Key Ratios Particulars Jun 24 Jun 23 Mar 24 Cost of Deposits (%) 5.48 4.96 5.36 Yield on Advances (%) 10.10 9.69 10.08 Cost of Funds (%) 5.49 4.99 5.41 Yield on Funds (%) 8.85 8.45 8.83 Net Interest Margin (%) 4.13 4.19 4.19 Spread (%) 3.37 3.46 3.42 Cost
Slide 8: Key Ratios (Quarter)
Classification | PUBLIC Key Ratios (Quarter) ROA ROE EPS 1.76 1.70 5.67 5.70 1.57 1.65 18.17 1.53 5.13 4.47 4.72 17.20 17.33 16.50 16.05 Jun-23 Sep-23 Dec-23 Mar 24 Jun 24 Jun-23 Sep-23 Dec-23 Mar 24 Jun 24 Jun-23 Sep-23 Dec-23 Mar 24 Jun 24 NIM Yield on Advances Cost to Income 10.16 51.62 4.32 10.0
Slide 9: Profit & Loss Statement
Classification | PUBLIC (Rs. crore) Profit & Loss Statement Quarter ended Particulars Growth % Jun 24 Jun 23 Growth % (YoY) Mar 24 (QoQ) Net Interest Income 1,024 897 14 996 3 Other Income 388 333 17 629 (38) - Fee income 242 204 19 241 - - Others (refer note below) 146 129 13 388* (62) Total Income
Slide 10: Balance Sheet
(Rs. crore) Classification | PUBLIC Balance Sheet Particulars Jun 24 Jun 23 YoY (%) Capital & Liabilities Capital 161 160 - Reserves and Surplus 10,424 8,784 19 Deposits 92,349 80,715 14 Borrowings 2,113 1,555 36 Other Liabilities and Provisions 3,827 3,393 13 Total 1,08,874 94,607 15 Cash and Balan
Slide 11: Capital to Risk Weighted Assets Ratio – Basel III
(Rs. crore) Classification | PUBLIC Capital to Risk Weighted Assets Ratio – Basel III Particulars Jun 24 Jun 23 Mar 24 CRAR % 16.47 17.67 16.67 Total capital 10,267 9,126 10,192 Tier I capital 9,713 8,244 9,449 Tier II capital 554 882 743 RWA 62,352 51,643 61,125 Credit risk 54,058 42,437 52,247 Ope
Slide 12: Driving growth across verticals
Classification | PUBLIC Driving growth across verticals
Slide 13: Total Business and Deposits Portfolio
(Rs. crore) Classification | PUBLIC Total Business Parameter Jun 24 Jun 23 YoY % Mar 24 QoQ % Deposits 92,349 80,715 14 89,113 4 Gross Advances 77,710 66,956 16 74,423 4 Total Business 1,70,059 1,47,671 15 1,63,536 4 Deposits Portfolio Parameter Jun 24 Jun 23 YoY % Mar 24 QoQ % Demand Deposit 8,727
Slide 14: Growing our books responsibly
Classification | PUBLIC (Rs. crore) Growing our books responsibly Particulars Jun 24 Jun 23 YoY % Mar 24 QoQ % Commercial 27,083 22,171 22 25,449 6 Retail (Personal Banking) 18,840 15,610 21 17,662 7 Agriculture 18,135 15,621 16 17,363 4 Sub Total 64,058 53,402 20 60,474 6 Corporate 13,652 13,554 1
Slide 15: Retail Portfolio
(Rs. crore) Classification | PUBLIC Retail Portfolio Particulars Jun 24 Jun 23 YOY % Mar 24 QOQ % Housing loan 7,924 6,939 14 7,563 5 Jewel loans 2,654 2,183 22 2,147 24 Mortgage (LAP) loans 4,410 3,403 30 4,116 7 Vehicle loans 1,122 1,126 - 1,132 (1) Consumer Credit-BNPL 1,065 368 189 1,077 (1) Per
Slide 16: Commercial Banking
Classification | PUBLIC (Rs. crore) Commercial Banking Ticket size of Commercial Book 50 Jewel Loan 20,000 45 40 18,000 23% 35 30 25.4 25.7 16,000 25.1 24.9 25.1 14% 63% 25 20 14,000 15 16,997 17,669 18,106 18,672 19,995 10 12,000 5 < 5 crore ≥ 5 crore < 10 crore ≥ 10 crore 0 10,000 Jun-23 Sep-23 De
Slide 17: Corporate Banking
(Rs. crore) Classification | PUBLIC Corporate Banking Standard Corporate Advances ≥ 150 crore Risk Profile 2,500 5.00 5% 5% 5% 4% 3% 2,000 22% 18% 19% 23% 25% 3.25 2.95 2.94 1,500 2.55 2.36 3.00 33% 37% 39% 37% 37% 1,000 1,849 1,889 2,193 1,331 1,833 40% 40% 37% 36% 35% 500 1.00 Mar 21 Mar 22 Mar 23
Slide 18: Advances-Sectoral composition
Classification | PUBLIC Advances-Sectoral composition Rs. 77,710 Crore Break up for Manufacturing Sector (Rs. 18,075 Crore) BILLS AGRI 2% 2% NBFC MINING AND 3% GEMS & QUARRYING JEWELLERY 4% OTHERS COMMERCIAL 10% REAL ESTATE OTHER 7% 6% EXPOSURES CONSTRUCTION 11% 4% INFRASTRUCTURE TRADING 14% 13% ALL
Slide 19: Liability Franchise : Predominantly Retail
Classification | PUBLIC Liability Franchise : Predominantly Retail Low dependence on wholesale deposits Term Deposit*-Amount wise 19% 9% 21% 20% 9% 70% 52% Term Deposits Demand Deposits Savings Deposits < Rs.15 Lakhs ≥Rs.15 Lakhs to <Rs.1 Cr ≥Rs.1 Cr to < Rs.5 Cr ≥ Rs.5 Cr Term deposits are primaril
Slide 20: Investment Portfolio
Classification | PUBLIC Investment Portfolio Gross Investments (Rs. crore) Investment Category 23,007 HFT, 0.96% 22,840 FVTPL, 1.59% AFS, 19.31% 21,413 21,473 20,640 HTM, 78.14% Jun'23 Sep'23 Dec'23 Mar'24 Jun'24 Investment Composition Modified Duration 10.82% 1.14% AFS HFT HTM FVTPL Total 0.94% 2.5
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 Apr 24 – Jun 24 Apr 23 – Jun 23 Gross NPAs Opening Balance 1042 1,458 Additions during the period 174 150 Reductions during the period 191 278 -Of which Recoveries/Upgradation 90 127 Tech Write offs 101 151 Closing Balan
Slide 23: Vertical wise NPA and Collection efficiency
(Rs. crore) Classification | PUBLIC Vertical wise NPA NPA Reduction Q1 Advances O/s. NPA as on NPA Additions NPA as on Provisions VERTICAL Recoveries / Jun 24 Mar 24 Q1 Tech W/off Jun 24 Jun 24 upgradation Commercial 27,083 487 90 33 85 459 285 Retail (Personal Banking) 18,840 348 68 43 14 359 306 A
Slide 24: Bank Maintaining high Asset Quality with GNPA 1.32% and NNPA 0.38%
(Rs. crore) Classification | PUBLIC Bank Maintaining high Asset Quality with GNPA 1.32% and NNPA 0.38% 4,143 7.94 3,431 Gross NPA% 6.03 Net NPA% 2,366 2,132 1,719 1,458 1,261 957 1,042 1,025 3.45 2.27 730 730 1.40 468 298 294 2.30 1.32 0.74 0.40 0.38 Mar 21 Mar 22 Mar 23 Mar 24 Jun 24 Gross NPA Net
Slide 25: Provisions Coverage
Classification | PUBLIC Provisions Coverage 94.85 94.91 92.14 80.27 1 94.85% 94.91% 5.00% 92.14% 72.70 0.9 80.27% 0.8 72.70% 70.12 71.20 0.7 65.62 63.25 3.00% 0.6 57.11 0.5 0.4 1.00% 0.3 1.47% 1.45% 1.26% 0.2 0.56% 0.65% 0.1 0 -1.00% Mar 21 Mar 22 Mar 23 Mar 24 Jun 24 Mar 21 Mar 22 Mar 23 Mar 24 Jun
Slide 26: Provisions and Contingencies
(Rs. crore) Classification | PUBLIC Provisions and Contingencies Quarter ended Provision for Jun 24 Jun 23 Mar 24 NPA 100 101 110 Standard Assets 13 13 2 Restructured Advances (5) 21 - Other prudential provisions 25 2 - Floating Provision - 25 25 NPI and others - (2) 157 Total Provisions (excl. Tax)
Slide 27: Restructured Accounts
(Rs. crore) Classification | PUBLIC Restructured Accounts Jun 24 Jun 23 Mar 24 Particulars Standard NPA Standard NPA Standard NPA Resolution Framework - 2.0 387 58 536 101 418 80 COVID 19 - Resolution Framework 195 29 230 127 205 33 MSME 81 5 127 118 92 10 CDR - - - - - - Others* - 29 - 26 - 29 Tota
Slide 28: Movement of Standard Restructured Advances for the quarter
(Rs. crore) Classification | PUBLIC Movement of Standard Restructured Advances for the quarter Apr 24 to Jun 24 Apr 23 to Jun 23 Particulars A/c’s Amt. A/c’s Amt. Position at the beginning of the period 1,939 715 2,478 976 A. Additions during the period - - - - B. Additions in existing A/c’s - 5 - 9
Slide 29: Sector-wise Standard Restructured Advances
(Rs. crore) Classification | PUBLIC Sector-wise Standard Restructured Advances S. Amount Stressed Book Analysis SECTOR N. Jun 24 Jun 23 1400 1283 1.60 1 Housing 203 239 1171 1200 1.36 1100 1.40 2 Real Estate 134 146 1.20 1013 957 1.20 1000 390 1.07 3 Wholesale and Retail Trade 38 85 324 0.96 305 0.8
Slide 30: Building a Strong digital ecosystem
Classification | PUBLIC Building a Strong digital ecosystem
Slide 31: Digital Banking
Classification | PUBLIC Digital Banking DLite App Push Notification Deep Linking Aadhaar Disclaimer in Registrations Accounts for Android Users Vernacular language 25.16 Opened users 3.88 L DLite Recent ₹ launches Avg Daily Txns Reset of DLite MPIN through Prior Alerts for MPIN/Login Pin 71.75 K Aad
Slide 32: Digital Partnerships
Classification | PUBLIC Digital Partnerships ASSETS LIABILITIES www.kvb.co.in
Slide 33: Environmental Social Governance
Classification | PUBLIC Environmental Social Governance
Slide 34: ESG KPI Highlights- Environment
Classification | PUBLIC ESG KPI Highlights- Environment Bank has identified and executed tree plantation activity in two village panchayats to increase tree cover outside conventional forests for climate change Renewable Energy - Rooftop Solar at Hyderabad adaptation and to restore natural and nativ
Slide 35: ESG KPI Highlights- Social
Classification | PUBLIC ESG KPI Highlights- Social Bank has inaugurated the project “Sow Grow Empower” in association with Sakthi Trust, a NGO. The project will encompass a diverse range of activities designed to empower rural women, farmers, and youth through education and skill development. Bank i
Slide 36: ESG KPI Highlights- Social
Classification | PUBLIC ESG KPI Highlights- Social Staff Welfare Programme Regular programme on Diversity & Inclusion Aarogya Leadership Programme products, processes, control & ethics Regular training sessions to A comprehensive wellness Structured programs to Regular sessions to keep educate emplo
Slide 37: ESG KPI Highlights- Governance
Classification | PUBLIC ESG KPI Highlights- Governance Board Diversity Policy Board Composition Dedicated attention to various areas 9 Directors in our Board comply The bank has established 10 The bank has established a Board with the Bank’s Diversity policy Diversity policy governing Committees at
Slide 38: Shareholding pattern External Ratings
Classification | PUBLIC Shareholding pattern External Ratings Promoter, 2.15 Rating Agency Instrument Ratings Resident Mutual Fund, 28.88 Individual, 41.61 Certificate of A1+ Insurance Deposits Companies, 4.79 Foreign Portfolio Investors Certificate of others, 7.46 Category , 15.11 A1+ Deposits 37 w
Slide 39: Dynamic workforce
Classification | PUBLIC Dynamic workforce Leading to improved Efficiency 19.51 17.67 18 18 18 17 14.25 15 9.20 4.60 FY 21 FY 22 FY 23 FY 24 Jun 24 FY 21 FY 22 FY 23 FY 24 Jun 24 Business per employee (Rs. Crore) Profit per Employee (Rs. Lakhs) 195 202 176 149 160 FY 21 FY 22 FY 23 FY 24 Jun 24 Busin
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 9,879^ Owned fu
Slide 41: Thank You
Classification | PUBLIC Thank You