Idfc First Bank Ltd. · NSE:IDFCFIRSTB
Idfc First Bank — Q2 FY25 Earnings Presentation
87 slides from Idfc First Bank's earnings presentation, October 2024
Slide 1: Investor Presentation – Q2 FY25
Investor Presentation – Q2 FY25
Slide 2: Our Vision
IDFC FIRST Bank Our Vision TO BUILD A WORLD CLASS BANK IN INDIA, GUIDED BY 2 ETHICS, 9 @ POWERED BY == TECHNOLOGY, ¢ AND BE A FORCE FoR “3° SOCIAL GOOD
Slide 3: Key Highlights of Q2 FY25
Section 1: Building a Universal Bank Key Highlights of Q2 FY25 • Strong growth of 32.4% YoY in Customer Deposits, reaches US$ 25,955 Mn. • Strong growth of 37% YoY in Retail Deposits, reaches US$ 20,869 Mn. Deposits • Strong growth of 37.5% YoY in CASA deposits, reaches US$ 13,011 Mn. • High CASA Ra
Slide 4: Key Highlights of Q2 FY25
Section 1: Building a Universal Bank Key Highlights of Q2 FY25 • Provisions for Q2 FY25 stood at US$ 206 Mn., primarily on account of prudent provisioning buffer of US$ 68 Mn. created for microfinance business (US$ 38 Mn.) and one legacy infrastructure toll road account — micro-finance Business: The
Slide 5: Table of Contents
1 Building a Universal Bank 7 2 Deposits and Borrowings 14 3 Diversified Loan Portfolio 20 4 Robust Risk Framework 24 TABLE 5 Digital Capabilities 42 OF 6 Profitability & Capital 49 CONTENTS 7 Credit Rating 60 8 Board of Directors 62 9 Progress on ESG 65 10 Awards & Recognition 69
Slide 6: IDFC FIRST Bank was created by merger of IDFC Bank and Capital First
Section 1: Building a Universal Bank IDFC FIRST Bank was created by merger of IDFC Bank and Capital First in December 2018 • IDFC FIRST Bank was created by the merger of Erstwhile IDFC Bank and Erstwhile Capital First on December 18, 2018. • Erstwhile IDFC Bank started its operation as a Bank after
Slide 7: Progress since merger of IDFC Bank and Capital First
Section 1: Building a Universal Bank IDFC FIRST Bank was created by merger of IDFC Bank and Capital First in December 2018 IDFC FIRST Bank, IDFC FIRST Bank Change Parameters Erst. CAPITAL FIRST Erst. IDFC Bank (30-Sep-2018) (30-Sep-2018) (on merger) (now) Since (31-Dec-2018) (30-Sep-2024) Merger Loa
Slide 8: Post merger key initiatives to create building blocks for growth
Section 1: Building a Universal Bank Post merger, the Bank undertook key initiatives to address the challenges and create necessary building blocks for future growth over the last 5 years.. We are happy to share that IDFC FIRST Bank has made significant progress on all counts during the last 5 years
Slide 9: Bank has launched and scaled up many new products
Section 1: Building a Universal Bank Bank has launched and scaled up many new products to build comprehensive product suite of an Universal bank New Product Launched by the Bank Post-Merger Deposits and Loans Payment & Fee Based Products Wealth Management • The Bank has launched more than 20 product
Slide 10: Full suite of Universal Banking Products
Section 1: Building a Universal Bank The Bank now has built a full Suite of Universal Banking Products.. Corporate Lending Retail Lending Solutions Working Capital demand Loans, Cash Credit, Term Home Loans, vehicle Loans, Consumer Loans, Education Loans, Personal Loans, Corporate Bonds / NCDs, Fore
Slide 11: Strong progress in key financial and business parameters in 5 years
Section 1: Building a Universal Bank Bank has made strong Progress in key financial & business parameters in the last 5 Years Net-worth Customer Deposit Retail Deposit CASA Ratio in US$ Mn. in US$ Mn. 23,066 in US$ Mn. 18,017 47.2% 3,829 2,188 4,578 8.7% 1,238 Dec-18 Mar-24 Dec-18 Mar-24 Dec-18 Mar-
Slide 12: Bank has built a strong franchise of 38 m customers
Section 1: Building a Universal Bank Bank has built a strong franchise of 38 m customers Total Unique Customers Credit Cards in Force 37.6Mn 3.1M 9.3Mn - Mar-19 Sep-24 Mar-19 Sep-24 NRI Customers Wealth Management 82,150 2,07,000 3,641 5,500 Mar-19 Sep-24 Mar-19 Sep-24 1. Credit Cards business comme
Slide 13: Expanding customer franchise in SME & Corporate Banking
Section 1: Building a Universal Bank Expanding customer franchise in SME & Corporate Banking Start-up Banking Business Banking 8,496 20,000 1,732 - Mar-19 Sep-24 Mar-19 Sep-24 FASTag Customers CMS Relationships 14.7Mn 3,088 1,153 0.1Mn Mar-19 Sep-24 FY19 H1-FY25 12
Slide 14: Bank has set-up 961 branches across India
Section 1: Building a Universal Bank Bank has set-up 961 branches across India High Retail Deposits (as per LCR Disclosures) per branch of US$ 17 Mn. Strong growth in Retail Deposits (LCR) per branch of US$ 17 Mn. • Banks deposit growth has outperformed the branch growth. • IDFC FIRST Bank Branches
Slide 15: Section 2: Deposits and Borrowings
Section 2: Deposits and Borrowings
Slide 16: Strong growth in Deposits Franchise, Customer Deposits up 32% YoY
Section 2: Deposits & Borrowings Strong growth in Deposits Franchise, Customer Deposits up 32% YoY in US$ Mn. Customer Deposits CASA Deposits 25,956 13,011 24,354 11,630 23,066 11,282 21,010 10,178 19,610 9,460 Sep-23 Dec-23 Mar-24 Jun-24 Sep-24 Sep-23 Dec-23 Mar-24 Jun-24 Sep-24 CASA Ratio Credit D
Slide 17: Highly diversified liabilities base with 80% Retail Customer Deposits
Section 2: Deposits & Borrowings Bank has a highly diversified liabilities base with 80% Retail Customer Deposits • It is a strategic priority of the Bank to diversify the deposits by raising retail deposits. • Retail Deposit customers get used to transactions, id, passwords, RMs, branch services, a
Slide 18: Deposits & Borrowings Details
Section 2: Deposits & Borrowings Deposits & Borrowings Details The Bank has grown its customer deposits by 32% YOY which was utilized for repayment of the legacy borrowings and for the growth of assets. Particulars (in US$ Mn.) Sep-23 Jun-24 Sep-24 YoY Growth Legacy Long Term & Infrastructure Bonds
Slide 19: Bank has reduced Cost of Funds by 132 bps
Section 2: Deposits & Borrowings Bank has reduced Cost of Funds by 132 bps yet grew deposits strongly • Despite increase in Repo Rate by 25 bps between FY19 and H1-FY25, the Cost of Funds of the Bank has reduced to 6.47% from 7.8% at merger, a reduction of 132 bps which demonstrates the low-cost dep
Slide 20: Run down of Legacy high-cost long-term borrowings
Section 2: Deposits & Borrowings Bank continues to run down the Legacy high-cost long-term borrowings • Because we have a DFI background, the legacy borrowings are costing the bank 8.83%. The Bank plans to replace this with low- cost deposits. Balance Run off Schedule In US$ Mn. RoI (%) As on Sep-23
Slide 21: Section 3: Diversified Loan Portfolio
Section 3: Diversified Loan Portfolio
Slide 22: Diversified Loan Book
Section 3: Diversified Loan Portfolio Diversified Loan Book The Bank has transformed the loan book from a primarily wholesale credit book to a well diversified portfolio including retail, rural, MSME and corporate Banking Loan Book: US$ 12,460 Million, December 31, 2018 Loan Book: US$ 26,502 Million
Slide 23: Loan book diversified across more than 25 business lines
Section 3: Diversified Loan Portfolio The Bank has diversified its loan book across more than 25 business lines Loan Book: September 30, 2024 Infrastructure Financing Other Corporates incl SE/SR 1% 1% US$ 26,502 Million Financial Institutions 8% Home Loan 11% Emerging Corporates 6% Large Corporates
Slide 24: Analysis of Loans & Advances by nature of business
Section 3: Diversified Loan Portfolio Analysis of Loans & Advances by nature of business (Personal vs Business finance) Gross Loans & Advances (In US$ Mn.) Sep-23 Jun-24 Sep-24 YoY (%) QoQ (%) Retail Finance 12,453 14,951 15,560 25.0% 4.1% - Home Loan 2,531 2,935 3,035 19.9% 3.4% - Loan Against Prop
Slide 25: 4. Robust Risk Management Framework
4. Robust Risk Management Framework a. Cash-flow based lending – fundamental basis of Bank’s lending b. Trend in Bounce Rates c. Trend in Collection Efficiency d. Vintage Analysis e. SMA and NPA Ratios in Retail, Rural, SME Book f. Wholesale Credit Risk Management 24
Slide 26: Cash-flow based lending
a. Cash-flow based lending – fundamental basis of Bank’s lending Section 4: Robust Risk Management Framework The fundamental underwriting principle of the Bank explained Cash Flow Debit Assessment Instruction to High Asset Quality (Bank statements, GST filings, Bureau Data etc.) Bank • The Bank lend
Slide 27: 10 Step Stringent Underwriting Process
a. Cash-flow based lending – fundamental basis of Bank’s lending Section 4: Robust Risk Management Framework 10 Step Stringent Underwriting Process The Bank evaluates certain quick no-go criteria Credit Checking the customer’s credit behavior history, such as deduplication against existing records,
Slide 28: First EMI returns reduced by 32%
b. Trend in Repayment Bounce Rates Section 4: Robust Risk Management Framework First EMI returns for insufficient funds has reduced by 32% which indicates quality of underwriting has improved over the years ▪ First EMI (FEMI) represents Cheque 7.1% returns in the FIRST month after Booking. It is thu
Slide 29: Collection efficiency stable at 99.5%
c. Trend in Collection Efficiency Section 4: Robust Risk Management Framework The Bank collection efficiency stable at 99.5% (Excluding micro-finance) Collection Efficiency % = (Pos of EMI Collected for the Month)/(Pos of EMI Due for the month) % Collections % represented here do not include any arr
Slide 30: Deterioration in collection % of Microfinance Business
c. Trend in Collection Efficiency Section 4: Robust Risk Management Framework Deterioration in collection % of Microfinance Business Collection Efficiency % = (Pos of EMI Collected for the Month)/(Pos of EMI Due for the month)% Note: Collections does not include any arrear collections, or prepayment
Slide 31: Vintage Analysis
d. Vintage Analysis Section 4: Robust Risk Management Framework Vintage Analysis – showing quality of portfolio improvement over the year (excluding microfinance business). Vintage Analysis compares the delinquency of a portfolio with another, exactly 6.0% after the same number of Months on Books (M
Slide 32: SMA-1 & SMA-2 portfolio as % of Retail, Rural & MSME Loan Book
e. SMA and NPA Ratios in Retail, Rural, SME Book Section 4: Robust Risk Management Framework SMA-1 & SMA-2 portfolio as % of Retail, Rural & MSME Loan Book (Excluding Microfinance business) is stable SMA 1 = 31-60 dpd Pre -NPA SMA 2 = 61-90 dpd NPA >90 dpd Stable 0.95% 0.91% 0.89% 0.87% 0.84% 0.81%
Slide 33: Product wise SMA Analysis
e. SMA and NPA Ratios in Retail, Rural, SME Book Section 4: Robust Risk Management Framework Product wise SMA Analysis – All product stable except Microfinance Mar-24 Jun-24 Sep-24 2.54% Stable 1.88% Stable 1.74% 1.69% Stable 1.71% Stable Stable 1.26% 1.28% 1.27% 1.22% 1.18% Stable 1.07% 1.14% 1.08%
Slide 34: Micro-finance Loans – Product Features & Customer Profiles
e. SMA and NPA Ratios in Retail, Rural, SME Book Section 4: Robust Risk Management Framework Micro-finance Loans – Product Features & Customer Profiles • Small ticket size loans offered to only women borrowers primarily in rural areas for their livelihood generation • 4-6 members come together to fo
Slide 35: Micro-Finance: Bank recognized growing stress early
e. SMA and NPA Ratios in Retail, Rural, SME Book Section 4: Robust Risk Management Framework Micro-Finance business: Bank recognized the growing stress early in December 2023 & moderated disbursements Micro-Finance Industry was adversely impacted due to increased leverage, general elections, heat wa
Slide 36: Delinquency better / similar to industry
e. SMA and NPA Ratios in Retail, Rural, SME Book Section 4: Robust Risk Management Framework IDFC FIRST Bank has a relatively better / similar delinquency than industry Comparative performance of Industry and IDFC FIRST Bank across the Top 15 states IDFC FIRST Bank Industry IDFC POS POS State % POS
Slide 37: Reducing Micro-finance disbursals from December 2023
e. SMA and NPA Ratios in Retail, Rural, SME Book Section 4: Robust Risk Management Framework The Bank has been reducing the Micro-finance disbursals from December 2023 • Bank put restriction on new to bank customer in selected geographies and have been reducing geographic concentration • The Bank im
Slide 38: CGFMU cover increased since January 2024
e. SMA and NPA Ratios in Retail, Rural, SME Book Section 4: Robust Risk Management Framework Micro-finance business: CGFMU cover increased gradually since January 2024 75% CGFMU portfolio coverage increased from 0% in Dec-23 to 50% in Sep-24 and plan to increased coverage to >75% by March 2025 50% 4
Slide 39: Credit Card delinquencies trending better than Industry
e. SMA and NPA Ratios in Retail, Rural, SME Book Section 4: Robust Risk Management Framework Credit Card – Portfolio delinquencies trending better than Industry. 30 DPD Trend 90 DPD Trend IDFC FIRST Bank Industry 4.6% Industry IDFC FIRST Bank 4.2% 4.3% 4.3% 4.0% 1.9% 1.7% 1.7% 1.7% 1.6% 3.5% 3.5% 3.
Slide 40: Retail, rural and MSME segments continue to have low NPA ratios
e. Break-down of NPA Section 4: Robust Risk Management Framework Retail, rural and MSME product segments continue to have low NPA ratios Gross Advances Breakup (US$ Mn.) 3,703 3,844 3,035 3,098 3,087 3,219 2,816 2,154 Gross Advances of 754 the Bank stood at 303 US$ 26,013 Mn. Home Loan Against Vehic
Slide 41: Reduced infrastructure financing portfolio to 1.2%
e. Break-down of NPA Section 4: Robust Risk Management Framework The Bank has reduced its infrastructure financing portfolio from 19% in Mar-19 to 1.2% of the total funded assets in Sep-24. 2555 • The Bank had a total funded exposure of US$ 316 Mn. as of Sep 30, 2024. Infrastructure Book • Out of th
Slide 42: Reduced concentration risk in Wholesale lending
f. Wholesale Financing Section 4: Robust Risk Management Framework As a key risk measure, the Bank has reduced concentration risk in Wholesale lending Also, the exposure to top 20 single borrowers reduced from 16% in Further, the exposure to top 5 industries also reduced from 41% Mar-19 Mar-19 to 5%
Slide 43: Section 5: Digital Capabilities
Section 5: Digital Capabilities
Slide 44: Advanced Mobile Banking App with top rating
Section 5: Digital Capabilities Bank successfully rolled out an advanced Mobile Banking App with top rating of 4.9 on Google Play and 4.8 on App Store CREATE FD in 2 CLICKS FIRSTMONEY PL – ETB/NTB #1 ACE FUNDS/ IPO BANK APP IN INDIA SMART STATEMENT RUPAY CC on UPI Only Indian bank to feature in Glob
Slide 45: Wealth Management AUM growing at 60% CAGR
Section 5: Digital Capabilities Wealth Management: AUM growing at 60% CAGR and crossed US$ 2,400 Mn. • The Bank has successfully launched Wealth Management • Wealth Management AUM from scratch to US$ 2,483 Mn. in the last 5 years after merger • In Q2-FY25, the Wealth Management AUM grew by 79% YOY.
Slide 46: Over 20 million FASTags issued
Section 5: Digital Capabilities Over 20 million FASTags issued Largest IDFC FIRST is the largest issuer among 38 Issuer FASTags issued banks in NETC with respect to FASTAG monthly Issuer bank activation numbers and value processed. 20.0M 17.6M Largest Acquirer Largest Acquirer Bank with 765+ Toll pl
Slide 47: Credit Cards in force crosses 3 million
Section 5: Digital Capabilities Credit Cards in force crosses 3 million mark Credit Card Book (US$ Mn.) Credit Cards in force Credit Card Spends (US$ Mn.) 754 3.1 Mn+ 3,499 660 2.5 Mn+ 2,211 2,263 418 1.5 Mn+ 240 1,013 0.7 Mn+ 0.1 Mn+ 50 51 Mar-21 Mar-22 Mar-23 Mar-24 Sep-24 Mar-21 Mar-22 Mar-23 Mar
Slide 48: Strong growth in Business from recently launched App
Section 5: Digital Capabilities Strong growth in Business (Value) from recently launched App In US$ Mn. Mutual Funds (Investments) Foreign Payments 34 103 12 20 Q2-FY24 Q2-FY25 Q2-FY24 Q2-FY25 Payment through UPI Fixed Deposits 658 1,285 1,050 404 Q2-FY24 Q2-FY25 Q2-FY24 Q2-FY25 47
Slide 49: Improvement in Customer Service due to Digital Capabilities
Section 5: Digital Capabilities Strong improvement in Customer Service due to Digital Capabilities • Digitisation initiatives are improving efficiency and customer experience in customer service, disbursement, processing, collection, liabilities, and all divisions. • For instance, in the last one ye
Slide 50: Section 6: Profitability & Capital
Section 6: Profitability & Capital 49
Slide 51: Strong rise in Profitability
Section 6: Profitability & Capital Strong rise in Profitability In US$ Mn. unless specified otherwise Net Interest Income Fee and Other Income 1,958 23% 674 18% 1,504 482 1,155 1,129 374 879 916 313 316 723 180 189 417 97 FY19* FY20 FY21 FY22 FY23 FY24 H1 H1 FY19* FY20 FY21 FY22 FY23 FY24 H1 H1 FY24
Slide 52: Breakup of Fee & Other Income – H1-FY25
Section 6: Profitability & Capital Breakup of Fee & Other Income – H1-FY25 General Banking Fees & Others Loan Origination • The Bank has launched and 24% fees scaled up many fee-based 31% products in the last 5 years. • Many of these products are in the early stage of their lifecycle and have the po
Slide 53: Targeting to bring down Cost to Income Ratio over next 3 years
Section 6: Profitability & Capital Targeting to bring down the Cost to Income Ratio over next 3 years Assets C:I ratio Trend: Retail Liabilities C:I ratio Trend: Credit Cards C:I ratio Trend: 59.9% 226.5% 196.7% 240.0% 181.6% 184.1% 53.2% 53.5% 140.0% 164.6% 52.7% <50.0% 116.0% 99.8% ~75.0% FY22 FY2
Slide 54: Bank has turned profitable on sustained basis
Section 6: Profitability & Capital Bank has turned profitable on sustained basis based on strong Operating Profits Net Profit (US$ Mn.) 352 290 105 54 17 -231 -341 FY19* FY20 FY21 FY22 FY23 FY24 H1-FY25 *PAT is lower by US$ 51 Mn. on account of additional provisions in Q2 FY25 on a toll account and
Slide 55: Balance Sheet
Section 6: Profitability & Capital Balance Sheet Growth (%) In US$ Mn. Sep-23 Jun-24 Sep-24 (YoY) Shareholders' Funds 3,295 3,981 4,392 33.3% Deposits 20,385 24,960 26,620 30.6% - CASA Deposits 9,460 11,630 13,011 37.5% - Term Deposits 10,925 13,330 13,609 24.6% Borrowings 6,329 6,175 5,517 -12.8% O
Slide 56: Quarterly Income Statement
Section 6: Profitability & Capital Quarterly Income Statement Growth (%) In US$ Mn. Q2 FY24 Q1 FY25 Q2 FY25 YoY Interest Income 876 1,046 1,066 22% Interest Expense 405 487 496 22% Net Interest Income 470 559 570 21% Fee & Other Income 164 190 193 18% Trading Gain 6 3 13 94% Operating Income 640 752
Slide 57: Half-Yearly Income Statement
Section 6: Profitability & Capital Half-Yearly Income Statement Growth (%) In US$ Mn. H1 FY24 H1 FY25 YoY Interest Income 1,693 2,113 25% Interest Expense 777 984 27% Net Interest Income 916 1,129 23% Fee & Other Income 323 383 18% Trading Gain 15 15 2% Operating Income 1,255 1,527 22% Operating Exp
Slide 58: Capital Adequacy Ratio
Section 6: Profitability & Capital Capital Adequacy Ratio In US$ Mn. Sep-23 Jun-24 Sep-24 Common Equity 3,188 3,814^ 4,217^ Tier 2 Capital Funds 720 724 768 Total Capital Funds 3,908 4,539 4,985 Total Risk Weighted Assets 23,622 28,590 30,477 CET-1 Ratio (%) 13.49% 13.34% 13.84% Total CRAR (%) 16.54
Slide 59: Shareholding Pattern
Section 6: Profitability & Capital Shareholding Pattern Scrip Name: IDFC FIRST Bank (BSE: 539437, NSE:IDFCFIRSTB) Shareholding Post-Merger Trusts and Clearing Members (0.03%) Other Body Corporate (3.46%) Others Total No. of shares after merger US$ 87.10 Mn.^ (0.09%) President of India (9.11%) Rs. 51
Slide 60: BVPS has grown from US$ 0.46 to US$ 0.61
Section 6: Profitability & Capital BVPS has grew from US$ 0.46 to US$ 0.61 During the last 14 quarters, the BVPS Book Value Per Share reduced during increased by 63% with the increasing the first few years after merger due to profitability from the core business credit losses arising from legacy mod
Slide 61: Section 7: Credit Rating
Section 7: Credit Rating
Slide 62: Bank's Long Term Credit Rating
Section 7: Credit Rating Bank’s Long Term Credit Rating Rating Agency Fixed Deposit CRISIL AAA o The Bank has received AAA rating Long Term Credit Rating by CRISIL for its Fixed Deposit Program ICRA AA+ (stable) o Bank’s Long Term Credit rating India Ratings AA+ (stable) got upgraded from AA (Stable
Slide 63: Section 8: Board of Directors
Section 8: Board of Directors
Slide 64: Board of Directors: MD & CEO Profile
Section 8: Board of Directors Board of Directors: MD & CEO Profile Vaidyanathan aspires to create “a world-class Indian Bank, guided by ethics, powered by technology, and to be a force social good”. He became the Managing Director and CEO of IDFC FIRST Bank in December 2018 following the merger of C
Slide 65: Board of Directors
Section 8: Board of Directors Board of Directors • Advisor to global organizations across Europe, the US • Has over 32 years of experience in corporate • Was President and Group CTO at ICICI Bank from and Asia. world, with 24 years being in banking & financial 2005 to 2012. • Worked as Regional Busi
Slide 66: Section 9: Progress on ESG
Section 9: Progress on ESG
Slide 67: Our ESG journey
Section 9: Progress on ESG Our ESG journey H1 FY23 H1 FY24 H2 FY24 • ESG formalised at a Board • Published the second Integrated level • The Bank wins the coveted Report • First Integrated Report of the Golden Peacock Award for ESG • ESG Management and Bank published, aligned to IR 2023 (National) •
Slide 68: Key ESG highlights
Section 9: Progress on ESG Key ESG highlights SUSTAINABLE ENVIRONMENT SOCIAL GOVERNANCE FINANCE ▪ 21% overall infrastructure ▪ 56,960 lives impacted in ▪ 80% Independent ▪ ~2.2 lakh EV two wheelers green building certified H1 FY 25 under CSR Directors on Board financed* ▪ Corporate HO in Mumbai ▪ Ma
Slide 69: Recognitions for ESG Efforts
Section 9: Progress on ESG Recognitions for ESG Efforts Dun & Bradstreet India The European Institute of Directors India Capital Finance International UBS Forums Leading Listed ESG Entity Most ESG Responsible Banking Golden Peacock Award in ESG Outstanding Commitment to ESG Rising Star & Sustainabil
Slide 70: Section 10: Awards and Recognition
Section 10: Awards and Recognition
Slide 71: Awards and Recognition
Section 10: Awards & Recognitions Awards and Recognition FE Best Banks Award for Best Savings Product 2024 – Financial Express FE Best Banks Award for Banker Of The Year - 2024 - Financial Express Global Transaction Banking Innovation Award for Outstanding Innovation in Corporate Payments - 2024– Th
Slide 72: Improving TOMA score
Section 10: Awards & Recognitions IDFC FIRST Bank has established its strong presence improving its TOMA score Top Of Mind Awareness (TOMA) ^ 30 25 13 4 2 Mar-21 Mar-22 Mar-23 Mar-24 Sep-24 • Over the years, the Bank has launched many campaigns and improved its brand recognition • TOMA score represe
Slide 73: IDFC FIRST Bank
IDFC FIRST Bank We are building a world class bank with: - Highest levels of corporate governance - Stable balance sheet growth of ~20%, - Robust asset quality of GNPA less than 2% and net NPA of < 1% - High teens ROE - Contemporary technology and - High levels of Customer Centricity. 72
Slide 74: Disclaimer
Disclaimer This presentation has been prepared by and is the sole responsibility of IDFC FIRST Bank (together with its subsidiaries, referred to as the “Company”). By accessing this presentation, you are agreeing to be bound by the trailing restrictions. This presentation does not constitute or form
Slide 75: Thank You
Thank You IDFC FIRST Bank
Slide 76: Annexure 1
Annexure 1 • Performance of the Bank against the stated goals • Guidance 2.0 75
Slide 77: Performance against guidance given at the time of merger
The Bank is performing well on the guidance given for FY 25 at the time of the merger Dec-18 Particulars Guidance for FY24-FY25 H1-FY25 Status (At Merger) CET – 1 Ratio 16.14% >12.5 % 13.84%1 On Track Capital Capital Adequacy (%) 16.51% >13.0 % 16.36%1 On Track 30% (FY24), CASA as a % of Deposits (%
Slide 78: Performance against guidance given at the time of merger
The Bank is performing well on the guidance given for FY 25 at the time of the merger Dec-18 Particulars Guidance for FY24-FY25 H1-FY25 Status (At Merger) Top 10 borrowers as % of Total Loans & Advances (%) 12.8% < 5% 1.84% Achieved GNPA (%) 1.97% 2.0% - 2.5% 1.92% Achieved Asset Quality NNPA (%) 0.
Slide 79: Target 2.0 (FY24 - FY29)
Target 2.0 (FY24 - FY29) [Provided in January 2024] Particulars 31-Dec-2018 31-Dec-2023 5 Year CAGR (%) 31-Mar-2029 • The Bank has exceeded or met or most Deposits First 5 years since after merger likely to meet most targets as provided Branches (#) 206 897 34% 1700-1800 under Guidance 1.0. Customer
Slide 80: Annexure 2
Annexure 2 Since the business model of Capital First is an important part of the business being built in the merged bank, the brief history and the progress of Capital First is being provided for ready reference to investors. 79
Slide 81: Successful Trajectory of Growth and Profits at Capital First
Successful Trajectory of Growth and Profits at Capital First Financial Performance: The Asset Under Management has consistently grown at 5-Year CAGR of 29% 3,884 Wholesale AUM 3,214 Retail AUM 2,360 1,910 1,426 1,152 894 736 328 111 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 Sep-18 80
Slide 82: Successful Trajectory of Growth and Profits at Capital First
Successful Trajectory of Growth and Profits at Capital First Financial Performance: Yearly Trend of Profit After Tax In FY 08 and 09, the Company had made losses. Even after the new leadership took over, for two years the company continued to post losses as the building blocks for new age retail len
Slide 83: Successful Trajectory of Growth and Profits at Capital First
Successful Trajectory of Growth and Profits at Capital First This page is an extract from Capital First investor Presentation of September 2018, which is the last quarter prior to merger. Presented here to demonstrate the capability of the core loan book and the track record of growth and profitabil
Slide 84: Capital First: Return on Equity continuously improved
Capital First: the Return on Equity continuously improved over the quarters… This page is an extract from Capital First investor Presentation of September 2018, which is the last quarter prior to merger. Presented here to demonstrate the capability of the core loan book and the track record of growt
Slide 85: Capital First Market Capitalization
Successful Trajectory of Growth and Profits at Capital First This page is an extract from Capital First investor Presentation of September 2018, which is the last quarter prior to merger. Presented here to demonstrate the capability of the core loan book and the track record of growth and profitabil
Slide 86: Capital First stock price increased 7x in 6 years
Successful Trajectory of Growth and Profits at Capital First This page is an extract from Capital First investor Presentation of September 2018, which is the last quarter prior to merger. Presented here to demonstrate the capability of the core loan book and the track record of growth and profitabil
Slide 87: High Retail asset quality across cycles
Bank has maintained High Retail asset quality GNPA of ~2% and NNPA ~1% for 14 years across cycles 30-Sep-24 Retail, Rural & MSME NPA ratio GNPA: 1.57% GNPA NNPA NNPA: 0.53% 4.01% Ex Micro-finance GNPA: 1.50% NNPA: 0.54% 2.63% 2.02% 2.14% 2.18% 1.91% 1.66% 1.77% 1.65% 1.57% 1.38% 1.46% 0.99% 1.90% 0.