Kotak Mahindra Bank Limited · NSE:KOTAKBANK
Kotak Mahindra Bank — Q1 FY23 Earnings Presentation
33 slides from Kotak Mahindra Bank's earnings presentation, Jul 23, 2022
Slide 1: Exchange cover letter for investor presentation
Kotak Mahindra Bank BSELimited National Stock Exchange oflndia Limited Corporate Relationship Department, Exchange Plaza, Plot No.C/1, G Block, Phiroze Jeejeebhoy Towers, Bandra-Kurla Complex, Dalal Street, Bandra (East), Mumbai 400 001 Mumbai 400 051 BSE Scrip Code: 500247, 958687 NSE Symbol: KOTAK
Slide 2: Q1FY23 Presentation on financial results
Q1FY23 Presentation on financial results for the period ended 30th June, 2022 23rd July, 2022
Slide 3: Consolidated Highlights Q1FY23
Consolidated Highlights Q1FY23 PAT ROA ROE ₹ 1,806 cr 1.49% 8.44% Book Value per Eq. Customer Assets* CAR# CET I# Share ₹ 263,995 cr 24.9% 24.1% ₹ 435 Figures in grey are Q1FY22 numbers # As per Basel III, including unaudited profits. Excluding profits CAR: 23.3%, CET I: 22.4% (30th Jun, 2021: CAR:
Slide 4: Consolidated PAT
Consolidated PAT ₹ cr Q1FY23 Q1FY22 Q4FY22 FY22 Bank & Subsidiaries Contribution Kotak Mahindra Bank 2,071 1,642 2,767 8,573 Insurance, 8% Capital Market, 9% Kotak Mahindra Prime (KMP) 157 79 313 886 Kotak Mahindra Investments 63 71 101 371 Assets Mgmt & Others, 4% Kotak Securities 219 236 252 1,001
Slide 5: Entity-wise Capital & Reserves and Surplus
Entity-wise Capital & Reserves and Surplus ₹ cr 30-Jun-22 30-Jun-21 31-Mar-22 Kotak Mahindra Bank 74,652 65,472 72,456 Kotak Mahindra Prime 7,634 6,702 7,494 Kotak Mahindra Investments 2,552 2,189 2,489 Kotak Securities 6,462 5,526 6,291 Kotak Mahindra Capital 902 711 885 Kotak Mahindra Life Ins 4,5
Slide 6: Standalone Highlights Q1FY23
Standalone Highlights Q1FY23 PAT NII NIM CASA Ratio ₹ 1,642 cr ₹ 3,942 cr 4.60% 60.2% Customer Assets& Net NPA Capital & Reserves CAR# CET I# ₹ 235,340 cr 1.28% ₹ 65,472 cr 23.7% 22.6% Figures in grey are Q1FY22 numbers # As per Basel III, including unaudited profits. Excluding profits CAR: 22.1%, C
Slide 7: Profit and Loss Account
Profit and Loss Account ₹ cr Q1FY23 Q1FY22 Q4FY22 FY22 Notes for Q1FY23 Net Interest Income 4,697 3,942 4,521 16,818 Trading and MTM hit* Q1FY23: ₹ 857 cr; Other Income 1,244 1,351 1,827 6,354 (Q1FY22: ₹ 274 cr, Q4FY22: ₹ 302 cr; FY22: ₹ 1,163 cr) Fee and Services 1,656 1,169 1,697 5,781 Others (412
Slide 8: Asset Quality
Asset Quality ₹ cr 30-Jun-22 30-Jun-21 31-Mar-22 GNPA 6,379 7,932 6,470 NNPA 1,749 2,792 1,737 ₹ 1,435 cr (0.5% of Advances) GNPA (%) 2.24% 3.56% 2.34% 16 bps annualised Of which ` 781 cr got (excl COVID & restructuring upgraded within Q1FY23 NNPA (%) 0.62% 1.28% 0.64% prov/reversal) (Q4FY22: 15 bps
Slide 9: Balance Sheet
Balance Sheet ₹cr 30-Jun-22 30-Jun-21 31-Mar-22 ₹cr 30-Jun-22 30-Jun-21 31-Mar-22 Capital & Reserves and Surplus 74,652 65,472 72,456 Cash, Bank and Call 40,065 56,135 42,924 Deposits 316,483 286,560 311,684 Investments 89,183 106,292 100,580 CA 57,062 52,433 64,662 Fixed rate SA 117,552 109,790 117
Slide 10: Customer Assets
Customer Assets ₹ cr 30-Jun-22 30-Jun-21 31-Mar-22 YoY QoQ Composition of Advances 30-Jun-22 Home Loans & LAP 80,975 55,623 76,077 46% 6% Floating 69% Consumer Bank WC (Secured) 26,487 21,047 26,444 26% - EBLR (repo-linked) 50% PL, BL and Consumer Durables 11,616 6,561 10,071 77% 15% MCLR/Base rate/
Slide 11: Deposit
Deposit Avg Q1FY23 YoY % Q1FY22 CASA (₹ cr) 19% Current Account 55,081 46,341 CASA % 58.1% 60.2% 60.7% 8% Fixed rate SA 114,237 105,724 9,277 10,212 6,564 16% Term Deposit 130,035 112,406 117,908 117,552 109,790 CASA & TDs TD Sweep as % Customers as on 57,062 52,433 64,662 Cost of SA below ₹5 cr, as
Slide 12: Investing in Technology Backbone
Investing in Technology Backbone Key Projects Completed in Q1 Build Resiliency & Adopt Cloud Reinforce Core Systems DIY Journey, STP & Automation Home Loan LOS, DIY, and assisted journeys Capacity Augmentation within Data Centres Direct Tax Payments through Kotak as an agency banker Digitized Credit
Slide 13: Digital Channels
Digital Channels Kotak Mobile Banking App SuperApp for all financial needs Conversational Banking AI-enabled Automated Customer Support Key launches in the app in Q1 Keya Chatbot 1 2 3 Loan Service Forex Cash Marathi Request Language 90 day active users YoY Support YoY queries handled successfully 4
Slide 14: Kotak SPENDZ UPI payment experience
Kotak SPENDZ Secure transactions, without exposing Born Out of Customer Feedback * main account or Debit Card 58% Need to segregate and track expenses Track expenses conveniently without clutter 66% Ask for cashback and offers Pay conveniently through UPI (Pay Your Contact, Scan & Pay) or Spendz Car
Slide 15: Retail Assets
Retail Assets Key new customer journeys in Q1 Home Loans E2E digitization of onboarding Customers can raise 46 journeys Assisted Digital Journey Loan Origination System types of SRs from MB app Straight through journeys for life cycle management Digital Validations & Credit Automation Instant Modula
Slide 16: Business Banking
Business Banking Digitizing Merchant Offerings Key launches in Q1 Kotak Biz Connect Enhancements in Q1 • SMS Pay – send sms to customers to pay New Best in class current Billing, Inventory & business using UPI, wallets, cards or netbanking account with Bundled solutions VAS- embedded Merchant Soluti
Slide 17: Digital Highlights
Digital Highlights Netbanking Website Adoption & Cross-sell In-app shopping Kaymall 16% Fund Transfer Volume growth Q1 53% Unique Visitors growth Q1 FY23 95% RDs and 81% FDs booked 1.9X YoY value in Kaymall in-app FY23 vs Q1 FY22 vs Q1 FY22 digitally shopping, Q1FY23 vs Q1FY22 25% Fund Transfer Valu
Slide 18: Kotak Mahindra Life Insurance
Kotak Mahindra Life Insurance ₹ cr Q1FY23 Q1FY22 Q4FY22 FY22 Gross written premium (₹ cr) 2,258 1,663 5,329 13,015 Capital 562 562 562 562 924 834 2,732 6,461 Other Reserves and Surplus 3,960 3,158 3,827 3,827 793 1,168 3,253 Total Premium 2,258 1,663 5,329 13,015 445 233 172 560 1,320 Profit After
Slide 19: Kotak Securities
Kotak Securities Market ADV* (` ‘000 cr) ₹ cr Q1FY23 Q1FY22 Q4FY22 FY22 5,210 2,390 4,782 3,552 Total Income 616 571 661 2,502 42 48 51 56 86 100 Profit Before Tax 291 315 335 1,334 89 83 Profit After Tax 219 236 252 1,001 5,082 4,634 3,412 2,251 Market Share Cash* (%) 10.4 9.6 11.5 10.6 Overall Mar
Slide 20: Kotak Mahindra Capital Company
Kotak Mahindra Capital Company Equity Advisory Life Insurance Delhivery Zee Entertainment Rainbow Children’s Campus Activewear Corporation of India Limited Enterprises Limited Medicare Limited Limited Advisor to HDFC Financial advisor to # Initial Public Offering # Initial Public Offering # Block de
Slide 21: Kotak Mahindra Prime
Kotak Mahindra Prime ₹ cr Q1FY23 Q1FY22 Q4FY22 FY22 Customer assets* (₹ cr) NII 417 307 427 1,457 Other Income 68 48 77 331 18,773 18,137 NII and Other Income 485 355 504 1,789 15,428 Profit Before Tax 210 106 416 1,180 5,524 5,510 6,093 Profit After Tax 157 79 313 886 Jun-22 Jun-21 Mar-22 NNPA (%)
Slide 22: Kotak Mahindra AMC & Trustee Co.
Kotak Mahindra AMC & Trustee Co. ₹ cr Q1FY23 Q1FY22 Q4FY22 FY22 Average Assets Under Management (₹ cr) - Overall Profit Before Tax 143 143 136 601 Profit After Tax 106 107 102 454 283,885 286,478 272,938 247,674 Notes Q1FY23 Q1FY22 Q4FY22 FY22 Overall ranking on AAUM moved to 4 in Average Assets Und
Slide 23: Assets Under Management and Relationship Value
Assets Under Management and Relationship Value (Total: ₹378,283 cr) 10% (Total: ₹343,708 cr) Domestic MF Domestic MF Domestic MF Domestic MF Debt, Equity, 117,990 Equity, 141,421 Debt, 132,768 132,098 35% 39% 34% 37% PMS & Others, PMS & 3,708 Others, 3,322 1% 1% Alternate Asset*, Alternate Asset*, 2
Slide 24: Geographical presence
Geographical presence Branches distributed across various geographies Himachal Pradesh 12 Jammu & Kashmir 03 Punjab 92 Meghalaya 01 Uttarakhand 11 Haryana 77 Assam 05 Sikkim 01 Delhi 103 Uttar Pradesh 100 Branches Branch No. of ATMs Rajasthan 71 1,702* [No. / %] Classification Bihar 24 Tripura 01 Ma
Slide 25: Group Profile
GROUP PROFILE 24
Slide 26: The Journey So far…
The Journey So far… Ability to Identify and Capitalize on Opportunities 2003 Bill Discount Auto Finance Investment IPO Mutual Funds Life Insurance* Securities BANK Banking Cherry Kotak Fyn Digital Video First Microfinance ING Vysya Merger ARC Alternate KYC International Assets Digital Bank - 811 Gen
Slide 27: Kotak - Diversified and integrated financial services
Kotak - Diversified and integrated financial services Commercial Bank & Parent Company Car Finance | Other Lending Advisory Services for Middle East Investments | Lending Advisory Services | Investments Alternate Assets Distribution Investment Banking Asset Management Stock Broking | Commodity Broki
Slide 28: Present Across the Entire Value Chain
Present Across the Entire Value Chain Deposits across all customer segments Wholesale Banking Commercial Banking Corporate & Institutional • Corporate Loans • Agriculture Finance • Trade Finance • Tractor Finance Very Large • Investment Banking • Business Banking • Commercial Vehicles • Commercial R
Slide 29: Our Strengths
Our Strengths An integrated financial Healthy asset Digital & Ability to identify Strong brand Strong governance services conglomerate quality & prudent technological and capitalize on and leadership culture and an with a diversified risk management capabilities opportunities across businesses exper
Slide 30: Our Strategy
Our Strategy Keep customer at the core of the Investing in technology (both infrastructure Continue journey on best in class digital business in order to provide and applications), with a dual objective – processes and interface at speed a positive experience and build ‘run the Bank’ and ‘change the
Slide 31: The Path of Leadership
The Path of Leadership Strong Capital Position Multiple Growth Engines Risks Management Attract & Retain Talent Cross Sell Opportunities Capital adequacy amongst A stable annuity flow driven Extensive on-the-ground High degree of stability Robust bank platform and the highest in the Indian business
Slide 32: Strong and Committed Leadership Team
Strong and Committed Leadership Team Senior Leadership Team with Long Vintage Dipak Gupta Jt. MD Gaurang Shah WTD KVS Manian WTD D Kannan Shanti Ekambaram Virat Diwanji 30 Years 25 Years 27 Years 30 Years 31 Years 18 Years IT, Digital, Analytics, Credit, ARD, Asset Corporate, Commercial Treasury, HR
Slide 33: Disclaimer
Disclaimer This presentation is for information purposes only and Equity does not constitute an offer, solicitation or advertisement with respect to the purchase or sale of any security of Kotak Mahindra Bank Limited (the “Bank”) and no part of it shall form the basis of or be relied upon in connect