Aptus Value Housing Finance India Limited · NSE:APTUS
Aptus Value Housing Finance India — Q1 FY24 Earnings Presentation
35 slides from Aptus Value Housing Finance India's earnings presentation, August 2023
Slide 1: Investor Presentation Q1 FY24
my) PT) Pri \\\ Aptus Value Housing Finance India Limited Investor Presentation | Q1 FY24
Slide 2: Safe Harbor
Safe Harbor This presentation and the accompanying slides (the “Presentation”) which have been prepared by Aptus Value Housing Finance India Limited (the “Company”) have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscri
Slide 3: Background
Background x APTUS® | Commenced Operations in 2010 - 14h successful year of operations Regulated by RBI and supervised by NHB Run by professional management team backed by Presence in 231 locations strong Founder Promoter and © © marquee investors PX netus
Slide 4: Key Strengths
Key Strengths Good Asset Quality =A Industry Leading Profitability Mi Good Governance, Management and Alignment « PX apts
Slide 5: Management Update
Management Update 7s APTUS" Tech focused, Data driven fully connected operations — Sourcing to Collections Strengthening of Middle Management in Business and Support functions across IT, Credit, Finance & Technical Awarded ‘India’s Leading Housing Finance NBFC (Mid) by Dun & Bradstreet at BFSI & Fin
Slide 6: Journey — over the years
Journey — over the years AUM Rs. Crores CAGR - 32% (5 Years) Ci [a 2 100" Branch rer Oo a = ea B a] = 1414 i 846 otitas, Q © 352] [358 sf 2 86 _ =---"- (0) 2 3B, 201 11 2012 201: 2014 201! 2011 2017 201 Zp, 2010 0 0 013-20: 015 016 20. 018 por (#) — Represents on book portfolio - no Direct Assignmen
Slide 7: Financial Snapshot — Years
Financial Snapshot — 5 Years Rs in Crores FY 19 FY 20 FY 21 FY 22 FY23 _FY24(Q1) _CAGR No. of Branches 143 175 190 208 231! 231! No. of Customers 30,749 43,987 58,069 83,565 107,146} 112,741 | Disbursements 1,089 1,271 1,298 1,641 2,395 ! 646 | |AUM 2,247 3,179 4,068 5,180 6,738 | 7,123 | 32% Total
Slide 8: Snapshot - June 2023
Snapshot - June 2023 a, CN APTUS* | Assets under Management (AUM) Disbursement Gross Stage 3 ® yo B oa Consistently maintained Rs. 7,123 Cr Rs. 646 Cr 1.29 % Fst Spread Opex to Assets Profit After Tax 13.29% 2.55 % Rs. 142 Cr Return on Assets Return on Equity 8.21% 16.93 % Consistently maintained Im
Slide 9: Diversified Income Stream With Niche Customer Focus
Diversified Income Stream With Niche Customer Focus Secured Portfolio — Home Loans (HL) / Small Business Loans (SBL) HFC NBFC Top up loans Small Business Loan & Insurance 4 Non-HL — 100% loans 4% LIG Customers Home Loans 67% Quasi Home Loans 25% Self Employed Borrowers AUM - Rs. 5862 Cr AUM - Rs 126
Slide 10: 100% In-House Operations
100% In-House Operations Fully In-House Team... & Y 1,499 256 Business Origination Credit Reduced TAT ez == LC) 225 459 Low Takeover | a i Legal & technical Collection ...Leading to Desired Business Outcomes Pricing Power Reduced Operational Risk ASK HO / Operations e 0 PX aptus
Slide 11: Omni Channel Lead Generation
Omni Channel Lead Generation v Existing customers can refer leads through customer service APP Existing Customer Referrals 5.02 % ¥ Unifying construction ECO System ¥ Referral app to generate leads Construction ecosystem 6.25 % ca Flilnge ae Lead Generation ¥ Lead generation through social media Cam
Slide 12: Robust Underwriting, Monitoring and Collections Process
Robust Underwriting, Monitoring and Collections Process x artus il 100% In-House Leveraging Stringent Credit Robust Collection Sourcing Technology Underwriting Management System Lead Generation Digital Onboarding Cash flow 15-24 months through and KYC assessment Monitoring early Cust app,Ref app Pre
Slide 13: Information & Technology: Key Enabler of Growth
. ae Information & Technology : Key Enabler of Growth r\ artus il Lending Software Customer Relationship & Human Resources End-to-end software Service Human resources management solution Automated CRM and customer system application service requests j Customer Onboarding Business Intelligence & Sale
Slide 14: Scalable and Robust Digital Landscape
Scalable and Robust Digital Landscape ¥ Mobile App for customer on-boarding, Credit Verification, Technical Valuation, Collections & Customer Service v Easy ,Quick & Transparent process right from the field v Loan kit in Whatsapp & Customer App ¥ Robotic Process Automation(RPA) to eliminate manual p
Slide 15: Risk and Data Science Backed Centralized Underwriting
Risk and Data Science Backed Centralized Underwriting x arTus" i a Risk Management v¥50 + key data points are collected for Customer Profile Analysis v Stage-wise disbursement through technical visits ¥ Multiple touch points to ensure thorough verification in underwriting process Tech - Intervention
Slide 16: Scalability
Scalability @ 7x APTUS" | Per Capita GDP Compared to national average of INR 180k GDP Growth India average: 6.1% & ¢ Karnataka Telangana 1.5x 8% 1.5x 7% % of AUM as on No. of Branches AES FY23 FY22 FY21 FY20 (Q1) TamilNadu AndhraPradesh 86 36% 35% 31% 28% 24% Telangana 36 14% 14% 12% 10% 10% Karnata
Slide 17: Strong ESG Focus
Strong ESG Focus Focus on financial inclusion 78% LIG 71% Self-employed 38% New to Credit Improving Living Standards Strong Corporate Governance Employment in rural / semi-urban areas Support to borrowers in tier 2/3/4 locations leading to financial inclusion NIL Material Civil litigation Diversifie
Slide 18: Performance Highlights
Performance Highlights PX aptus’ | Disbursement(Rs. Cr) AUM (Rs. Cr) Gross NPA(%) S68 646 6738 7123 1.75% 5519 1.29% 525 | 1.15% QLFY 23 Q4FY 23 QLFY 24 QLFY 23 Q4FY 23 QLFY 24 QLFY 23 Q4FY 23 QLFY 24 Growth [ YoY 23% Growth | YoY | 29% | PAT (Rs. Cr) ROA (%) ROE (%) 142 8.88% 3.44% 16.93% 13s 8.21%
Slide 19: Consistent Spreads
Consistent Spreads x APTUS* Yields / Cost of Borrowings (%) (_1720% 17.03% 16.89% 17.00% __17.15% 16.85% 16.85% 16.90% 17.00% 17.15% > + 9.80% 8.10% 8.30% BP _a.03% 7.74% ‘ 7.90% 8.10% 8.30% —_ eo a zse% 7.70% 10% 30 Fy20 0 FY21 FY 22 FY 23 Toi) QIFY23 Q2FY23 Q3FY23 Q4FY23 QiFY24 NIM (%) 3.60% 9.15%
Slide 20: Opex and ROA
Opex and ROA x APTUS* Opex (%) 2.77% 2.75% 2.75% 3.40% 2.44% 2.55% 2.78% 2.75% 2.53% 2.55% FY 20 FY 21 FY 22 FY 23 FY 24 (Q1) Q1FY23 Q2FY23 Q3FY23 Q4FY23 QIFY24 ROA (%) 8.88% 8.71% 3.53% 3.44% : 8.44% 8.21% 8.00% 8.21% 7.37% 7.01% 7 FY 20 FY 21 FY 22 FY23 FY 24 (01) Q1FY23 Q2FY23 Q3FY23 Q4FY23 Q1FY2
Slide 21: Asset Quality
Asset Quality PCR- 82% Gross NPA (%) Net NPA (%) 1.32% 1.75% 1.47% 1.44% 1.10% 1.08% 1.29% 0.97% | | ] | Q1FY23 Q2FY23 Q3FY23 Q4FY23 Q1FY24 QIFY23 Q2FY23 Q3FY23 Q4FY23 QUFY24 Non Cash Collections Collection efficiency (%) 30 + DPD (%) > 102.90% 101.17% — 400.21% 00.31% 99.52% .! 6.50% 6.48% 6.27% 6.
Slide 22: Provision for Contingencies (ECL)
Provision for Contingencies (ECL) Rs in lakhs Consolidated 30-Jun-23 31-Mar-23 30-Jun-22 31-Mar-22 Gross Stage 3 9,224 7,767 9,654 6,184 % portfolio in Stage 3 1.29% 1,15% 1.75% 1.19% ECL Provision Stage 3 2,306 1,942 2,414 1,546 Net Stage 3 6,919 5,825 7,241 4,638 Provision coverage ratio (PCR) 25.
Slide 23: Robust Funding Management and Credit Profile
Robust Funding Management and Credit Profile Diversified and Balanced Funding Mix Sources of funds mix(%) _ Others, NCDs, 9% ~_ 30% NHB, 28%“ \ Banks, 60% Avg. Tenure of Borrowings (months) + Others represents Securitisation * Credit Rating (ICRA) — AA (-) Stable * Credit Rating(CARE) — AA (-) Stabl
Slide 24: ALM Surplus
ALM Surplus 7x APTUS" Position as on 30 Jun 2023 (Rs.Cr) Surplus <3 months A32 956 524 3-6 months <P 296 6m to 1 year 721 1027 306 310 5 yeas a 252 1228 5 to 7 years 595 2494 1899 7 to 10 years 519 2149 1630 >10 years 159 761 602 wOutflows Inflows « “ PX aptus
Slide 25: Fixed Vs Floating (Assets Vs. Liabilities)
Fixed Vs Floating (Assets Vs. Liabilities) x APTUS® | Loan Assets & Borrowings (= Cr) As on Jun-23 Borrowings - Fixed Vs. Floating 7123 7123 60% 61% 62% co, my, 80% BNG 33.93% ues 40% 30% ~~ 3am © 42% 48% 41% 42% 41.50% Loan Assets Borrowings/Equity Dec-21 Mar-22. Jun-22,— Sep-22.Dec-22,— Mar-23.—Ju
Slide 26: Comfortable liquidity position/Capital Adequacy
Comfortable liquidity position/Capital Adequacy A. Liquidity Rs in Crores Unecumbered Cash & Cash equivalents 497 Unavailed Sanctions from Banks 400 Total 897 Particulars Opening Liquidity 897 1,034 * Rs.1188 Crores Surplus Add: Principal repayments & Surplus 525 565 available for business upto | fr
Slide 27: Key Growth Strategies
Key Growth Strategies Continued Focus on Existing Segment & strengthen focus on SME Deeper Penetration in Existing Markets & Expand in new markets Continued focus on productivity & Credit Cost Ticket Size in INR 0.5 — 1.5mn range in HL and SME Large headroom in new to credit, retail segment Differen
Slide 28: Experienced and Well Diversified Board
Experienced and Well Diversified Board ~ APTUS" Non-Executive Nominee Directors Non-Executive Director L ; a M. Anandan Sumir Chadha KP Balaraj - Shailesh J. Mehta Executive Chairman Nominee Director - WestBridge Nominee Director - WestBridge Partner, Granite Hill Capital Partners endent Directors S
Slide 29: Stable Management
Stable Management C.T. Manoharan Chief Business Officer Rich experience in housing finance industry across sales, channel and distribution management V. Krishnaswami Sr. Vice President - Information Technology Experience in strategizing and implementing digital technology solutions, IT designs and,
Slide 30: Diversified Shareholding
Diversified Shareholding @ ~ APTUS® Shareholding Pattern onan nanan nneeeeeeeeennnn nent Founder Promoter — ' M.Anandan 25.02% Dil 2.72% FIl 28.25% Investor Promoter — WestBridge 37.19% Top Institutional Shareholders Key Investors Investor Details % of holding Malabar Group 8.31 Capital Research 3.3
Slide 31: Annexures
Annexures e PX aptus
Slide 32: Consolidated Statement of Profit and Loss
q@ Consolidated Statement of Profit and Loss(*) ~ APTUS* | Rs in Crores FY 23 . FY 24 FY 23 FY 23 Growth % Particulars Full Year Qi Qi Q4 Q1-0-Qi 1,058.40 Interest Income 296.81 233.00 290.61 27% 70.60 Fee and Other Income 18.06 15.76 17.78 15% (275.91) Interest Expenses (84.74) (54.26) (77.66) 56%
Slide 33: Consolidated Statement of Assets and Liabilities
7x APTUS" Consolidated Statement of Assets and Liabilities(*) Rs in Crores Mar-23 Particulars Jun-23 Jun-22 Source of Funds 99.61 Share capital 99.61 99.38 3,239.72 Reserves & surplus 3,282.03 2,935.63 3,339.33 Net worth 3,381.64 3,035.01 3,786.02 Borrowings 4,133.98 2,938.96 50.70 Other Liabilities
Slide 34: ROA Tree
ROA Tree (%) . FY 24 FY 23 Particulars ql Qi Return on Assets (RoA)* Revenue from Operations 17.60% 17.71% Other Income 0.60% 0.63% Total Revenue 18.20% 18.34% Interest Expenses (4.91%) (4.06%) Spread 13.29% 14.28% ECL Provisions / Write-Off's (0.14%) (0.71%) Operating Expenses (2.55%) (2.44%) Profi
Slide 35: Thank You
Thank You 8B, Doshi Towers, 205, Poonamallee High Rd, Kilpauk, Chennai - 600010., Phone: 044-45650000, E-Mail: investorrelations@aptusindia.com, Website: www.aptusindia.com 5 « “ PX aptus
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