City Union Bank Limited · NSE:CUB
City Union Bank — Investor Presentation (September 2016)
37 slides from City Union Bank's investor presentation, September 2016
Slide 1: Investor Presentation September 2016
INVESTOR PRESENTATION SEPTEMBER 2016 1
Slide 2: Disclaimer
Disclaimer No representation or warranty, express or implied is made as to, and no reliance should be placed on the fairness, accuracy, completeness or correctness of such information or opinions contained herein. The information contained in this presentation is only current as of its date. Certain
Slide 3: Table of contents
Table of contents 1. Overview Page : 04 2. Performance Highlights – September 2016 Page : 08 3. Financial Performance & Business Profile Page : 12 4. Branch Network Page : 33 5. Shareholding Pattern Page : 34 6. Corporate Governance Page : 36 3
Slide 4: Overview Facts & Figures
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Overview City Union Bank Ltd, the oldest private sector bank in India, was founded on October 31, 1904 and is headquartered at Kumbakonam, Tamil Nadu
Slide 5: Key milestones
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Key milestones Celebrated 110th year Foundation Day in Dec 2014 Incorporation Took over Initial Public Obtained licenses Rights issue @ Raised INR of the Bank
Slide 6: A specialized banking model aligned to Target Segment – SME/MSME
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern City Union Bank – A specialized banking model aligned to Target Segment – SME/MSME • SME/MSME specialized business model focusing on large untapped SM E/ M SM
Slide 7: Competitive Advantages
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Competitive Advantages • Continuos profitability and dividend payout in all 100+ years of operations Strong track record • Business growth of 20% CAGR in last
Slide 8: Q2 / H1 FY 2016-17 Performance – A snapshot
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Q2 / H1 FY 2016-17 Performance – A snapshot Deposits increased by 11% from Rs.256 Bn to Rs.284 Bn Y-o-Y Advances registered a growth of 17% from Rs.189 Bn
Slide 9: Q2 Vs Q2 Performance – A snapshot
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Q2 Vs Q2 Performance – A snapshot (All figures in I N R M n) 283,928 222,149 506,077 58,794 11% 17% 14% 18% 256,161 189,348 445,509 49,950 Deposits Advances T
Slide 10: H1 Vs H1 Performance – A snapshot
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern H1 Vs H1 Performance – A snapshot (All figures in I N R M n) 283,928 222,149 506,077 58,794 11% 17% 14% 18% 256,161 189,348 445,509 49,950 Deposits Advances T
Slide 11: FY 2015-16 Performance – A snapshot
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern FY 2015-16 Performance – A snapshot (All figures in I N R M n) 271,581 212,531 484,112 55,326 13% 17% 15% 19% 240,750 180,885 421,635 46,307 Deposits Advances
Slide 12: Q2 FY 17 Vs Q2 FY 16 – Performance – A snapshot
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Q2 FY 17 Vs Q2 FY 16 – Performance – A snapshot (in I N R M n) Financial Perform ance Inc / Particulars Q2 FY 2017 Q2 FY 2016 Growth Growth % (Dec) Deposits 2
Slide 13: Q2 FY 17 Vs Q2 FY 16 – Performance – A snapshot
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Q2 FY 17 Vs Q2 FY 16 – Performance – A snapshot (in I N R M n) Financial Perform ance INC / Particulars Q2 FY 2017 Q2 FY 2016 Growth % Q1 FY 2017 (DEC) Net In
Slide 14: H1 FY 17 Vs H1 FY 16 – Performance – A snapshot
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern H1 FY 17 Vs H1 FY 16 – Performance – A snapshot (in I N R M n) Financial Perform ance INC / Particulars H1 FY 2017 H1 FY 2016 Growth % (DEC) Net Interest Inco
Slide 15: FY 16 Vs FY 15 – Performance – A snapshot
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern FY 16 Vs FY 15 – Performance – A snapshot (in I N R M n) Financial Perform ance Inc / Particulars FY 2016 FY 2015 Growth Growth % (Dec) Deposits 271,581 240,7
Slide 16: FY 16 Vs FY 15 – Performance – A snapshot
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern FY 16 Vs FY 15 – Performance – A snapshot (in I N R M n) Financial Perform ance Particulars FY 2015-16 FY 2014-15 INC/ DEC Growth % Net Interest Income 9,810
Slide 17: Q2 – FY 17 Vs 16 – Income and Expenses – Breakup
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Q2 – FY 17 Vs 16 – Income and Expenses – Breakup (in I N R M n) Interest Income Breakup Interest Expenses Breakup Q2 FY Q2 FY Growth Q2 FY Q2 FY Growth Partic
Slide 18: H1 – FY 17 Vs 16 – Income and Expenses – Breakup
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern H1 – FY 17 Vs 16 – Income and Expenses – Breakup (in I N R M n) Interest Income Breakup Interest Expenses Breakup H1 FY H1 FY Growth H1 FY H1 FY Growth Partic
Slide 19: FY 16 Vs 15 – Income and Expenses – Breakup
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern FY 16 Vs 15 – Income and Expenses – Breakup (in I N R M n) Interest Income Breakup Interest Expenses Breakup FY FY Growth FY FY Growth Particulars Particulars
Slide 20: Strong Deposits and Advances growth
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Strong Deposits and Advances growth (in I N R M n) Deposits Advances CAGR 14 % CAGR 15 % Business CASA CAGR 14 % CAGR 17 % 20
Slide 21: Income Growth over the years…
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Income Growth over the years… (in I N R M n) Net I nterest I ncom e Grow th Other I ncom e Grow th CAGR 18 % CAGR 19 % (6M) (6M) CEB Grow th Net P rofit Grow
Slide 22: Key Business Indicators
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Key Business Indicators Q2 FY Q2 FY Q1 FY H1 FY H1 FY FY Particulars 2017 2016 2017 2017 2016 2015-16 Cost of Deposits 6.86% 7.69% 7.12% 6.99% 7.78% 7.62% Yie
Slide 23: Key Business Ratios – Yearly trends
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Key Business Ratios – Yearly trends Net I nterest M argin R eturn on Assets Cost of Funds Yield on Funds 23
Slide 24: Cost of deposits & Yield on advances
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Cost of deposits & Yield on advances Spread between cost of deposits and yield on advances of our bank maintained in the last 10 years 24
Slide 25: Efficiency
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Efficiency Cost income ratio C AS A R a t io Business per Em ployee P rofit per Em ployee Business per Branch (in I N R M n) Profit per B ra n c h (in I N R M
Slide 26: Loan Book – Products Composition
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Loan Book – Products Composition • Working capital loans yielding higher interest constitute 64% of advances • Re-pricing possible at short intervals thus red
Slide 27: Loan Book – Sectoral Deployment
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Loan Book – Sectoral Deployment (in I N R M n) Sectorial Deploym ent Secured & Unsecured Advances 34,306 (15%) Amount % to Total Particulars 74,936 (34%) (INR
Slide 28: Loan Book – Advances to Major Industries
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Loan Book – Advances to Major Industries (in I N R M n) Advances to Major Industries 30 th September 2016 11,068 (5%) 10,597 (5%) 8,312 (4%) 2,853 (1%) Amount
Slide 29: Asset Quality
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Asset Quality (in I N R M n) G r oss NP A Q t m & Gr oss NP A % Net NP A Q t m & Net NP A % 29
Slide 30: Asset Quality Position – Movement over the years
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Asset Quality Position – Movement over the years FY FY FY FY Q2 FY H1 FY (Rs in Mn) Mar - 13 Mar - 14 Mar - 15 Mar – 16 2017 2017 NPA Opening balance 1,235 1,
Slide 31: Restructured Accounts
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Restructured Accounts Balance outstanding as on 30.09.2016 in respect of Restructured Standard borrowers Amount Type Restructuring No. of Borrowers (in INR Mn
Slide 32: Investments – At a Glance
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Investments – At a Glance Investments Breakup and Categoryw ise (in I N R M n) Particulars SEP 2016 SEP 2015 SLR Securities 63,226 68,110 Non-SLR Securities 4
Slide 33: Strong presence in the South
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Strong presence in the South As of Sep-2016 - 525 branches. 469 branches are located in South India out of which 359 in Tamil Nadu No. of % of % of % of State
Slide 34: A well diversified investor base
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern A well diversified investor base as of 30 th September 2016 Ownership profile Major Institutional Shareholders Shareholders % of Holding NT Asian Discovery Ma
Slide 35: Transparent ‘Corporate Governance’ practices
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Transparent ‘Corporate Governance’ practices Board consists of 7 Independent Directors and 3 Non-Independent Directors Various sub-committees of Board functio
Slide 36: A well experienced and strong Board
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern A well experienced and strong Board Shri. S. Mahalignam | B.Com (Honours), FCA Dr N. Kamakodi | B.Tech., MBA., PhD., CAIIB Non Executive Chairman M.D. & C.E.O
Slide 37: City Union Bank Ltd. Investor Contact
CITY UNION BANK LTD. INVESTOR CONTACT Regd. Office : 149, TSR Big Street, Kumbakonam – 612001, Tamilandu. Name : K. Jayaraman, DGM Admin Office : "Narayana" No.24 B, Gandhi Nagar, Kumbakonam - 612001,Tamil Nadu. Mob : +91 9344303740 Tel : 0435-2402322, 2401622, | FAX: 0435-2431746 | www.cityunionban
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