Csb Bank Ltd. · NSE:CSBBANK
Csb Bank — Q3 FY2023 Earnings Presentation
37 slides from Csb Bank's earnings presentation, Jan 30, 2023
Slide 1: Cover letter to stock exchanges
SEC/27/2023 January 30, 2023 BSE Limited, National Stock Exchange of India Ltd., Phiroze Jeejeebhoy Towers, Exchange Plaza, 5th floor, Dalal Street, Bandra-Kurla Complex, Mumbai 400001. Bandra (E), Mumbai 400051. Scrip code: 542867 Symbol: CSBBANK Dear Sir/Madam, Press Release and Presentation to In
Slide 2: Press Release: Financial Results for Quarter & Nine Months Ended December 31, 2022
PRESS RELEASE CSB Bank Limited Financial Results for the Quarter & Nine Months Ended December 31, 2022 The Board of Directors of CSB Bank took on record the financial results for the quarter (Q3 FY 2023) and nine months ended 31.12.2022, which were subject to limited review in their meeting dated 30
Slide 3: Performance Highlights and CEO Speak
h) Comfortable Liquidity Position - Liquidity Coverage Ratio is comfortable at 124% i) Total Deposits grew by 19 % YoY. The CASA book grew from Rs 6587 Crs to Rs 7126 Crs YoY (Up by 8%). The CASA ratio stood at 31.44% as on 31.12.2022. j) Advances (Net) grew by 26% YoY to Rs 18457 Crs as on 31.12.20
Slide 4: Strategy and outlook commentary
In the coming quarter while leveraging our core competencies in the gold loan business, we will put in more focus to grow the retail segment, both the retail liabilities and assets (other than gold) - with various new/revamped products and process improvements happening and proposed. We believe that
Slide 5: Q3-FY23 Investor Presentation, December 2022
INVESTOR PRESENTATION =
Slide 6: Company Overview
Company Business Digital Earnings Strategy Overview Overview Penetration ↑ 29% QoQ ↑ 5% YoY ↑8% QoQ ↑ 15% YoY ↑8% QoQ ↑ 15% YoY 648 Branches and Presence in 16 7 Bancassurance Tie ups 516 ATM/CRMs States and 4 UTs with Industry Leaders 100 Years+ Happy Customers Business A Century Young 2.1 Million+
Slide 7: Key Performance Highlights
Company Business Digital Earnings Strategy Overview Overview Penetration ↑ 29% QoQ ↑ 5% YoY ↑8% QoQ ↑ 15% YoY ↑8% QoQ ↑ 15% YoY ↑8% QoQ ↑ 15% YoY PAT NII RoA NIM EPS Profitability Rs. 156 Cr Rs. 350 Cr 2.37% 5.80% Rs 35.96 ↑ ↑29% 29%QoQ QoQ ↑ ↑5% 5%YoY YoY ↑8% ↑8%QoQ QoQ↑↑15% 15%YoY YoY ↑8% ↑49 bpsQ
Slide 8: Profitability: Operating Profit and Net Profit
Company Business Digital Earnings Strategy Overview Overview Penetration Profitability Ratios Amt in Cr Operating Profit QoQ Net Profit QoQ 193 148 156 148 155 157 131 121 142 115 Q3 FY22 Q4 FY22 Q1 FY23 Q2 FY23 Q3 FY23 Q3 FY22 Q4 FY22 Q1 FY23 Q2 FY23 Q3 Q3 FY23 FY23 Operating Profit YoY Net Profit
Slide 9: NPA Provision: Prudential Provisioning Policy
Company Business Digital Earnings Strategy Overview Overview Penetration Prudential Provisioning Policy Asset Classification RBI Norms Our Norms Secured 15% 25% Sub Standard Assets Unsecured 25% 50% Prudential Provisions Amount (in Cr) Doubtful Assets Secured 25% 50% NPA Provision 90 (Up to one year
Slide 10: Branch Distribution
Company Business Digital Earnings Strategy Overview Overview Penetration Branch Distribution CASA Gold Loans % distribution 1% 4% 10% 6% 10% 7% 6% State Dec-21 Dec-22 5% KERALA 47% 41% 16% TAMIL NADU 18% 19% MAHARASHTRA 9% 9% Q3 Q3 ANDHRA 6% 9% FY FY 1(1) 7(3) 2(1) KARNATAKA 7% 7% 23 23 OTHERS 13% 1
Slide 11: Share Holding Pattern
Company Business Digital Earnings Strategy Overview Overview Penetration Share Holding Pattern % of Share Holding No of No of Shares Category % of Holding Shareholders Held(in Mio) FIHM - promoter & Promoter Group 1 86.26 49.72% 30.10% FIHM - promoter & SBI Mutual Fund 1 13.04 7.52% Promoter Group O
Slide 12: Solid CRAR & Adequate Liquidity – Our Strength
Company Business Digital Earnings Strategy Overview Overview Penetration Solid CRAR & Adequate Liquidity – Our Strength Amt in Cr Capital Adequacy Ratio RWA to Total Assets 25.90% 25.46% 25.14% 25.78% 20.74% 42.89% 19.38% 24.35% 23.97% 23.63% 24.27% 40.52% 40.74% 39.31% 38.47% Q3 FY22 Q4 FY22 Q1 FY2
Slide 13: Total Deposits, CASA Ratio and Gross Advances
Company Business Digital Earnings Strategy Overview Overview Penetration Total Deposits (Amt in Cr) CASA Ratio Total Gross Advances (Amt in Cr) 24% 19342 18372 19% 34.57% 35.14% 16742 17066 22664 34.27% 33.66% 15610 20267 20987 31.44% 20188 19056 Q3 FY22 Q4 FY22 Q1 FY23 Q2 FY23 Q3 FY23 15538 13145 1
Slide 14: Cost of Deposits and Yield on Advances
Company Business Digital Earnings Strategy Overview Overview Penetration Cost of Deposits (QoQ) Cost of Deposits (YoY) 5.26% 5.29% 5.24% 5.18% 6.76% 6.88% 6.35% 5.36% 5.16% 5.07% 4.30% 4.24% Term Deposits 4.21% 4.18% 5.86% 5.91% 5.18% 4.10% Total Deposits 4.34% 4.19% 2.79% 2.89% 2.65% 2.71% Savings
Slide 15: Advance Mix
Company Business Digital Earnings Strategy Overview Overview Penetration Advance Mix (Amt in Cr) Q3 FY 22 Q3 FY 23 5826 Gold Loans 8780 50.7% 14.8% 5364 Corporate Loans 5758 7.3% 11.8% 13.0% 37.3% 13.5% 45.4% 2108 Retail Loans 2519 19.5% 29.8% 34.4% 2313 SME Loans 2285 1.2% CSB Bank Investor Present
Slide 16: Gold Loan – Our DNA
Company Business Digital Earnings Strategy Overview Overview Penetration Gold Loan – Our DNA (Amt in Cr) Portfolio Movements Portfolio Quality Tonnage 25.64 49% 51% YoY 9% QoQ 17.18 Yield LTV 8780 8036 6570 7107 11.38% 75% Q3 FY22 Q3 FY23 6131 5644 5627 5826 5460 No of Accounts (in Lakhs) 6.83 37% 4
Slide 17: Investments
Company Business Digital Earnings Strategy Overview Overview Penetration Investments (Amt in Cr) 6965 7142 7231 1087 995 782 5877 5638 627 566 5878 6147 6449 5251 5072 HTM 79.28% Q3 FY22 Q4 FY22 Q1 FY23 Q2 FY23 Q3 FY23 AFS 19.30% SLR Investments Non-SLR Investments HFT 1.42% Yield on Investments QoQ
Slide 18: Sector Wise Exposure
Company Business Digital Earnings Strategy Overview Overview Penetration Sector Wise Exposure Industries % to Gross advances Sector Wise Exposure Textiles 4.44% Construction 3.39% 15% Infrastructure 3.17% Food Processing 2.66% Services % to Gross advances 31% Chemicals and Chemical Products (Dyes, N
Slide 19: Rating wise Exposure
Company Business Digital Earnings Strategy Overview Overview Penetration Rating wise Exposure External Rating of Corporate Accounts Internal Rating of SME accounts 2% 0% 4% 9% 8% 9% 1% 8% 0% 3% 98% of Corporate advances 31% 88% of SME advances are 15% 19% are externally rated of 33% rated as Low/Med
Slide 20: Profit & Loss Account - Q3 FY
Company Business Digital Earnings Strategy Overview Overview Penetration Profit & Loss Account - Q3 FY 23 Amt in Cr Q2 FY23 Q3 FY23 QoQ Q3 FY22 YoY Q2 FY23 Q3 FY23 QoQ Q3 FY22 YoY Interest Income 555.2 592.0 7% 527.6 12% Operating Profit 157.4 193.4 23% 147.6 31% Interest Expense 230.2 242.3 5% 224.
Slide 21: Profit & Loss Account - 9M FY
Company Business Digital Earnings Strategy Overview Overview Penetration Profit & Loss Account - 9M FY 23 Amt in Cr 9M FY22 9M FY23 YoY YoY% 9M FY22 9M FY23 YoY YoY% Interest Income 1,518.8 1,683.2 164.4 11% Operating Profit 471.7 505.5 33.8 7% Interest Expense 669.3 697.8 28.5 4% Provision for NPA
Slide 22: Balance Sheet – Q3 FY
Company Business Digital Earnings Strategy Overview Overview Penetration Balance Sheet – Q3 FY 23 Amt in Cr 31-12-2021 31-12-2022 YoY (%) 30-09-2022 QoQ (%) Liabilities Capital 173.5 173.5 0.0% 173.5 0.0% Reserves & Surplus 2,340.2 2,872.8 22.8% 2,715.2 5.8% Deposits 19,056.0 22,664.0 18.9% 20,986.6
Slide 23: Asset Quality
Company Business Digital Earnings Strategy Overview Overview Penetration Asset Quality Amt in Cr QoQ movement Gross NPA: Movement Q3 FY22 Q4 FY22 Q1 FY23 Q2 FY23 Q3 FY23 Restructured (Standard) (3 months) (3 months) (3 months) (3 months) (3 months) 0.71% Opening Balance of Gross NPA 587 389 290 293
Slide 24: Profitability Ratios: NII, NIM, Non-Interest Income
Company Business Digital Earnings Strategy Overview Overview Penetration Profitability Ratios Net Interest Income (in Cr) NIM Non interest Income to Total Income QoQ 350 QoQ 5.80% QoQ 5.60% 13.18% 10.91% 325 5.41% 5.42% 9.00% 9.28% 7.49% 311 5.17% 303 304 Q3 FY22 Q4 FY22 Q1 FY23 Q2 FY23 Q3 FY23 Q3 F
Slide 25: Profitability Ratios: Opex, Credit Cost, RoA
Company Business Digital Earnings Strategy Overview Overview Penetration Profitability Ratios Opex to Average assets Credit Cost RoA QoQ QoQ QoQ 3.80% 3.63% 2.42% 2.37% 3.39% 2.11% 1.75% 1.88% 3.32% Q3 FY22 Q4 FY22 Q1 FY23 Q2 FY23 Q3 FY23 3.21% -0.03% -0.21% -0.35% -1.00% Q3 FY22 Q4 FY22 Q1 FY23 Q2
Slide 26: Asset Quality Ratios
Company Business Digital Earnings Strategy Overview Overview Penetration Asset Quality Ratios Amt in Cr QoQ 2.62% QoQ 1.36% 1.81% 1.79% 1.65% 1.45% 0.68% 0.60% 0.57% 0.42% 389 200 290 293 291 271 107 99 97 78 Q3 FY22 Q4 FY22 Q1 FY23 Q2 FY23 Q3 FY23 Q3 FY22 Q4 FY22 Q1 FY23 Q2 FY23 Q3 FY23 3.67% 7.52%
Slide 27: Asset Quality Ratios: PCR, Slippage, Recovery
Company Business Digital Earnings Strategy Overview Overview Penetration Asset Quality Ratios Amt in Cr Slippage Ratio Provision Coverage Ratio QoQ QoQ 89.65% 90.51% 90.10% 91.93% 2.37% 82.95% 1.05% 0.94% 1.04% 63.05% 66.98% 66.03% 71.37% 0.60% 48.65% Q3 FY22 Q4 FY22 Q1 FY23 Q2 FY23 Q3 FY23 Q3 FY22
Slide 28: Share Holders Return & Risk Ratios: EPS, Net NPA to Networth
Company Business Digital Earnings Strategy Overview Overview Penetration Share Holders Return & Risk Ratios EPS (in Rs) Net NPA to Networth QoQ QoQ 34.18 8.77% 35.96 30.13 26.80 27.80 4.43% 3.72% 3.48% 2.75% Q3 FY22 Q4 FY22 Q1 FY23 Q2 FY23 Q3 FY23 Q3 FY22 Q4 FY22 Q1 FY23 Q2 FY23 Q3 FY23 YoY YoY 39.4
Slide 29: Share Holders Return & Risk Ratios: RoE, Book Value
Company Business Digital Earnings Strategy Overview Overview Penetration Share Holders Return & Risk Ratios RoE Book Value per Share (in Rs) QoQ QoQ 26.85% 22.21% 22.64% 151 158 167 18.57% 18.44% 136 144 Q3 FY22 Q4 FY22 Q1 FY23 Q2 FY23 Q3 FY23 Q3 FY22 Q4 FY22 Q1 FY23 Q2 FY23 Q3 FY23 YoY 20.88% 19.86
Slide 30: Efficiency Ratios: Business and Profit per Employee
Company Business Digital Earnings Strategy Overview Overview Penetration Efficiency Ratios Business per Employee (In Cr) Profit per Employee (in Lakhs) QoQ QoQ 12.24 11.13 7.92 9.59 9.04 9.81 7.82 7.38 7.16 6.60 Q3 FY22 Q4 FY22 Q1 FY23 Q2 FY23 Q3 FY23 Q3 FY22 Q4 FY22 Q1 FY23 Q2 FY23 Q3 FY23 YoY YoY
Slide 31: Efficiency Ratios: Staff Cost, Cost to Income
Company Business Digital Earnings Strategy Overview Overview Penetration Efficiency Ratios Staff Cost to Total Income Cost to Income Ratio QoQ 24.57% QoQ 61.34% 22.24% 58.49% 21.06% 21.50% 57.67% 57.46% 20.69% 56.00% Q3 FY22 Q4 FY22 Q1 FY23 Q2 FY23 Q3 FY23 Q3 FY22 Q4 FY22 Q1 FY23 Q2 FY23 Q3 FY23 YoY
Slide 32: Digital Touch Points
Company Business Digital Earnings Strategy Overview Overview Penetration Digital Touch Points 4.37 lacs+ Net 516 ATM 1,414 Installations 6.94 lacs + Debit Cards Banking users Network 5,665+ QR 90,457+ ePassbook 78,660+Prepaid 1.36 lac+ UPI Installations Downloads Cards Downloads 4.22 lacs+ Mobile Ba
Slide 33: Channel Transactions
Company Business Digital Earnings Strategy Overview Overview Penetration Channel Transactions Digital vs Branch No. of txns 638.62 532.94 9M FY22 9M FY23 (In lakh) (In lakh) Mobile Banking 9.63 13.90 371.55 Internet Banking 12.24 12.79 284.16 Debit Cards 65.52 78.99 UPI 284.16 532.94 75.69 Branch tx
Slide 34: SBS 2030
Company Business Digital Earnings Strategy Overview Overview Penetration SBS 2030 CSB Bank Investor Presentation Q3 FY23
Slide 35: Build phase is on.. Few Roll outs..
Company Business Digital Earnings Strategy Overview Overview Penetration Build phase is on.. Few Roll outs.. CSB Bank Investor Presentation Q3 FY23
Slide 36: Thank You…
Thank You… CSB Bank Investor Presentation Q1 FY23
Slide 37: Disclaimer
Disclaimer This presentation has been prepared by CSB Bank Limited (the “Bank”) solely for information purposes, without regard to any specific objectives, financial situations or informational needs of any particular person. All information contained has been prepared solely by the Bank. No informa