Aditya Birla Capital Ltd. · NSE:ABCAPITAL
Aditya Birla Capital — Q3 FY22 Earnings Presentation
78 slides from Aditya Birla Capital's earnings presentation, Feb 3, 2022
Slide 1: Investor Presentation Financial Results: Q3 FY22
Investor Presentation FINANCIAL RESULTS: Q3 FY22 MUMBAI 3rd February 2022 A Leading Financial Services Conglomerate Aditya Birla Capital Limited 1
Slide 2: Table of contents
Table of contents 1 | Overview Pg. 3 - 14 2 | Business-wise Performance Pg. 15 - 73 3 | Other Updates Pg. 74 - 78 Copyright Content / 2016 NOTE 1: The financials of Aditya Birla Capital Ltd are consolidated financials prepared based on Ind AS unless otherwise specified NOTE 2: All financial figures
Slide 3: Q3 FY22 Performance Highlights: Snapshot
Q3 FY22 | Performance Highlights SNAPSHOT Q3 Consol. PAT1 FY22 Profit Guidance Aspiration Active Customers Delivery Vs. Targets ₹ 577 Cr. ₹ 1,500+ Cr. Among Top 100 31 Million On track to deliver ahead of FY24 Targets Listed Cos. in terms of Grew 100% Y-o-Y PAT delivery on track Grew 46% Y-o-Y profi
Slide 4: Q3 FY22 Performance Highlights by business
Q3 FY22 | Performance Highlights NBFC & HOUSING FINANCE ASSET MANAGEMENT LIFE & HEALTH INSURANCE LENDING BOOK GROWTH & MIX AUM GROWTH & MIX PREMIUM GROWTH & MIX LI: Ind. FYP ↑ 16% y-o-y; Protection Mix: 7% NBFC: Retail + SME1 ↑ 24% y-o-y; Mix: 60% Domestic AAUM ↑ 17% y-o-y LI: Total Premium up 21% y
Slide 5: On track to deliver ahead of FY24 targets
On track to deliver ahead of FY24 targets Key Metrics Q3 FY19 Q3 FY20 Q3 FY21 Q3 FY22 FY24 Target Retail + SME mix 48% 51% 53% 60% 65% NBFC Net Interest Margin 4.8% 5.1% 5.2% 6.2% 6.25%+ Return on Assets 1.8% 1.7% 1.7% 2.3% 2.5 – 2.7% Affordable mix 11% 17% 24% 35% ~65% Housing Net Interest Margin 3
Slide 6: Q3 FY22: highest ever quarterly profits
Q3 FY22: highest ever quarterly Profits Consistent, Strong Performance Business-wise profitability Revenue1 ↑ 13% y-o-y Businesses (INR Crores) Q2 FY22 Q3 FY21 Q3 FY22 NBFC 387 261 385 CAGR 17% 6,054 5,352 Asset Management 231 194 249 4,612 Life Insurance 50 36 40 4,118 3,257 Housing 66 48 68 Other
Slide 7: Financial Performance
Financial Performance Figures in Rs. Cr. FY17 FY18 FY19 FY20 FY21 CAGR 9M FY21 9M FY22 Y-o-Y (FY17 - FY21) Lending Book 38,839 51,379 63,119 59,159 60,557 12% 57,523 61,411 7% Gross Insurance Premium 5,778 6,146 8,008 8,882 11,076 18% 7,441 9,236 24% Active Customers (Mn) 10 11 12 20 24 24% 21 31 46
Slide 8: The One ABC Platform Advantage
The “One ABC” Platform Advantage MONEY SOLUTIONS FOR LIFE UNIFIED BRAND INFRASTRUCTURE SYNERGIES CUSTOMER VALUE Comprehensive A unified brand Large customer product offering provides support to Pan India network of ecosystem and allowing us to build all businesses along co-located branches, analytic
Slide 9: Leveraging ecosystems for acquiring customers at scale
Leveraging Ecosystems for acquiring customers at scale Partner ecosystems Cloud Infrastructure OUTCOMES Banking & Ecommerce Contact Channel 150+ ecosystem partners including banks digitally Finance Cos Centre Mgmt. enabled across ABC AI/ML 2.6+ Mn customers acquired through ecosystem Payment Fraud A
Slide 10: Leveraging One ABC Branch Network
Leveraging “One ABC” Branch Network Target to reach 1,100+ Branches by Mar ‘22 ➢ Maximise coverage and market access through co-location ➢ Improves real-estate space utilization, driving cost benefits ➢ Provides low cost opportunity to businesses to expand to new locations and thus grow revenues 150
Slide 11: Data and Analytics
Data and Analytics LIFE INSURANCE HEALTH INSURANCE AMC LENDING 16% 10% 3% 49% of Individual First of Retail Fresh of Retail Gross Sale of retail portfolio ACQUISITION Year Premium Premium (Excl. Micro/ using ML risk Byte size products) scorecards 23% 20% 11% 11% UPSELL of Individual First of Retail
Slide 12: Leveraging digital technology
Leveraging digital technology Customer Acquisition Customer Service Customer Analytics & Value Scalability Leveraging Ecosystems One ABC App Hyper-personalized offers Hybrid Cloud Strategy Customer Acquisition at scale through 30+% of One ID customers accessed One Continue to leverage Pre –Approved/
Slide 13: ABC Digital impact metrics
ABC Digital impact metrics Progress on multiple vectors across businesses as a result of digital focus All metrics are for Q3 FY22 unless specified REVENUE 94%+ 10% 50%+ 78% ENABLEMENT Customers of overall Personal Improvement in Successful customer through digital onboarded digitally Loan Business
Slide 14: Accelerating Growth Momentum
Accelerating Growth Momentum NBFC & HOUSING FINANCE ASSET MANAGEMENT LIFE & HEALTH INSURANCE Gross Disbursement Overall Equity AAUM Retail Premium ↑ 51% y-o-y ↑ 16% y-o-y ↑ 21% y-o-y CAGR 33% 7,717 CAGR 14% CAGR 18% 2,437 1,26,767 1,33,067 5,925 1,01,928 2,204 95,968 2,056 5,095 4,342 1,763 Q3 FY20
Slide 15: NBFC
NBFC Aditya Birla Capital Limited 15
Slide 16: Performance Summary | NBFC | Aditya Birla Finance
Performance Summary | NBFC | Aditya Birla Finance 1 Disbursement momentum towards Retail and SME segments 2 Improving margins & profitability ➢ Strong momentum in Q3 with disbursement at Rs 6,622 Crores (↑34% q-o-q; ➢ Q3 FY22 NIM ↑ 100 bps y-o-y to 6.2%; NII ↑ 30% y-o-y at Rs 799 Crore ↑55% y-o-y);
Slide 17: Change in loan book mix with focus on target segments
Change in loan book mix with focus on target segments Change in Loan Book Mix Focusing new disbursement to Retail and SME Segments SME + Retail1 book SME + Retail1 mix Disbursement SME + Retail1 24% ↑ Y-o-Y 53% → 60% 1.5x ↑ Y-o-Y 1.7x ↑ Y-o-Y 6,622 45,650 47,733 49,805 4% 2% 2% 4,951 2,077 38% 4,282
Slide 18: Enhanced our offerings across customer moments of truth
Enhanced our offerings across Customer moments of truth Individual Customers MSME Customers Medical Education Lifestyle Healthcare Merchant Supply Chain Machinery Travel Loans# Equipment Loans Loans Loans Loans Financing Loans Loans Copyright Content / 2016 Secured Working Secured Business Buy Now P
Slide 19: Transformative journey in Retail segment
Transformative journey in Retail segment % Retail as a proportion of overall ABFL portfolio New products launched in Retail segment 18% 21% 29% Retail ➢ Traditional products: like personal loans, business loans, loan Portfolio against property etc. (Rs. Crs) 14,540 8,583 9,519 ➢ Small ticket new pro
Slide 20: Deepening our penetration in Tier 3-4 markets
Deepening our penetration in Tier 3-4 markets Significant market opportunity for growth in Tier 3/4 markets: ~35% market share in PL & BL from outside Top 50 cities1 PL | 35% outside Top 50 Cities BL | 34% outside Top 50 Cities Top 50 Cities 65% 57% Outside Top 50 Cities 66% 70% 35% 43% 34% 30% “Opp
Slide 21: Successfully built a competitive digital lending platform
Successfully built a competitive Digital lending Platform… End-to-end online journeys through plug-&-play Ecosystem to help build a much leaner operating model in the long term E-mandates & E- AI-ML based Analytics based Online KYC contracts algorithms scorecards Digital Onboarding Digital Underwrit
Slide 22: Leading to large scale customer acquisition
…leading to large scale customer acquisition 2.6+ mn 10% 32% customers acquired via Digital of Retail portfolio in Dec’21 is of Retail segment Ecosystems in 9M FY22 from Digital Ecosystem disbursements in 9MFY22 via products Digital Ecosystems Digital ecosystem portfolio and disbursals as a proporti
Slide 23: SME expansion strategy with focus on digital ecosystem platform
SME expansion strategy with focus on digital ecosystem platform Increase penetration via focus Expand in Tier 3-4 markets with Building a Digital MSME platform for sourcing on specific industries access to SME clusters from across the value chain Increase penetration in Industry Opening new branches
Slide 24: Leveraging technology across end-to-end lending processes
Leveraging technology across end-to-end lending processes Progress on multiple vectors contributing to customer acquisition, service & process efficiencies Sourcing Collections Revenue Enablement 94% 2.6+ mn 32% ▪ Fully agile tech stack for customer ▪ ABFL Re-payment hub activated Customers Customer
Slide 25: Continue to deliver strong core operating profits
Continue to deliver strong core operating profits Margin improvement led by change in product mix CIR reduction of 227 bps y-o-y Net Interest Income1,3 0.29% 0.34% 31.88% 0.20% 30.10% 29.61% Fee Income CIR1,2 5.94% 5.90% 5.04% Core NIM Q3 FY21 Q2 FY22 Q3 FY22 Q3 FY21 Q2 FY22 Q3 FY22 Opex3 196 230 23
Slide 26: Continued focus on quality of book
Continued focus on quality of book Gross Stage 3 % Stage 3 PCR % Net Stage 3 % Risk Adjusted Margins ↑ 82 bps Y-o-Y ↑ 331 bps Y-o-Y ↑ 39 bps Y-o-Y ↑94 bps Y-o-Y GS3 Provision NS3 Credit Cost % NIM (adj. Credit Cost) % 3.9% 44.1% 41.9% 2.3% 5.0% 3.6% 38.5% 2.0% 4.8% 3.1% 1.9% 3.9% 1.4% 1.2% 1.4% 1,40
Slide 27: Adequate provisioning and security cover across segments
Adequate provisioning and security cover across segments 1.8x Net Security Cover1 Net Security Customer Segment GS3 GS3 % Provision NS3 NS3 (%) Security ▪ 76% of total loan book secured. ~Additional Value Cover1 4.0% secured through CGTMSE scheme, making over 80% of book secured. SME 305 2.2% 102 20
Slide 28: Building granularity across segments
Building granularity across segments Loan book 9,519 12,684 14,540 Loan book 12,907 13,899 14,001 % Mix 21% 27% 29% % Mix 28% 29% 28% ATS (Rs Lakhs) 5 1 1 ATS (Rs Crore) 5 5 6 Customers (#) - Lacs 1.8 10.0 22.8 Customers (#) 2,412 3.025 2,538 3% 4% 3% 7% 6% 7% Supply Chain Finance Retail LAS SME 20%
Slide 29: Well matched ALM with adequate liquidity
Well matched ALM with adequate liquidity ALM optimised for liquidity and costs 31st Dec 2021 Adequate liquidity under stress test scenario Liability Maturity (Dec’22) Fund Available as on Dec 31, 2022 Cumulative Outflows 100% 100% (Including interest payments) (Assuming 85% of collections) Cumulativ
Slide 30: Value accretive growth
Value accretive growth PAT Return on Assets Return on Equity1 ↑ 1.5x 287 ↑ 63 bps 2.3% ↑ 322 bps 12.7% 1.7% 9.5% 193 Q3 FY21 Q3 FY22 Q3 FY21 Q3 FY22 Q3 FY21 Q3 FY22 ↑ 1.6x ↑ 77 bps 2.3% ↑ 376 bps 12.3% 810 515 1.5% 8.6% Copyright Content / 2016 9M FY21 9M FY22 9M FY21 9M FY22 9M FY21 9M FY22 1 Based
Slide 31: Key Financials – Aditya Birla Finance Limited
Key Financials – Aditya Birla Finance Limited Quarter 2 Quarter 3 Figures in Crs Nine Months FY 21-22 FY 20-21 FY 21-22 FY 20-21 FY 21-22 Key Performance Parameters (CY) (PY) (CY) (PY) (CY) 47,733 45,650 49,805 Lending book 45,650 49,805 11.77% 11.45% 11.68% Average yield (Incl. Fee Income) 11.64% 1
Slide 32: Housing Finance
Housing Finance Aditya Birla Capital Limited 32
Slide 33: Performance Summary | Housing Finance | AB Housing Finance
Performance Summary | Housing Finance | AB Housing Finance 1 Disbursement momentum to target segment 2 Change in Mix leading to Improving margins & Core Profitability ➢ Strong growth in Q3 disbursal at Rs 1,095 Crore (↑ 12% q-o-q ; ↑ 34% Y-o-Y) ➢ Highest NIM at 4.21% (↑ 75 bps y-o-y); NII ↑ 7% y-o-y
Slide 34: Momentum in disbursement to focused segments
Momentum in disbursement to focused segments Growing loan book with increased retail mix Strong disbursements in target segment Retail Mix Affordable Gross Disbursal Affordable 1Y: 96% → 95% 2x over 2 yrs ↑ 12% Q-o-Q I ↑ 35% Y-o-Y 1Y: 48% → 50% 11,872 11,327 11,606 Gross Disbursal 813 974 1095 3% 6%
Slide 35: Growth in Affordable Segment
Growth in Affordable Segment Affordable AUM Affordable disbursement Tier wise branch presence for Affordable segment AUM: 2Y CAGR ↑ 40% Disbursal: 2Y CAGR ↑ 45% Dec’19 Dec’21 4,114 548 25% 18% Tier 1 2,777 43% 389 Tier 2 2,089 260 Tier 3 & 4 57% 25% 33% Q3 FY20 Q3 FY21 Q3 FY22 Q3 FY20 Q3 FY21 Q3 FY2
Slide 36: Increase in profits driven by margins
Increase in profits driven by margins Margin improvement led by change in product mix Marginal Increase in CIR due to new growth engines CIR : ↑ 1.3% Y-o-Y Net Interest Income1 NIM: ↑ 75 bps Y-o-Y | ↑ 6 bps Q-o-Q Cost Income Ratio 104 119 121 35.7% 36.5% 37.0% Q3 FY21 Q2 FY22 Q3 FY22 Q3 FY21 Q2 FY22
Slide 37: Continued focus on quality of book
Continued focus on quality of book Gross Stage 3 % Stage 3 PCR % Net Stage 3 % Risk Adjusted Margins Δ: ↑ 23 bps Y-o-Y Δ: ↑ 47 bps Y-o-Y Δ: ↑ 14 bps Y-o-Y Δ: ↑ 126 bps Y-o-Y GS3 Provision NS3 Core Credit Cost % NIM (adj. Credit Cost) % 34.3% 34.0% 3.72% 2.13% 2.12% 33.5% 1.40% 1.40% 3.60% 2.45% 1.89
Slide 38: Well matched ALM with adequate liquidity
Well matched ALM with adequate liquidity ALM optimised for liquidity and costs (As on 31st Dec 2021) Adequate liquidity under stress test scenario Liability Maturity (Till Dec’22) Projected Liquidity position till Dec’22 - 100% 100% Including interest payments Assuming 85% collections Cumulative Out
Slide 39: Digital impact metrics in Housing Finance
Digital impact metrics in Housing Finance Progress on multiple vectors contributing to customer acquisition, service & process efficiencies Sourcing Underwriting Revenue 85%+ 85%+ 46%+ ▪ Integration between sales Enablement ▪ Central Processing Hub for data customers Reduction of Reduction in manage
Slide 40: Value accretive growth
Value accretive growth PAT Return on Assets Return on Equity1 ↑ 2.8% 13.7% ↑ 39% 53 ↑ 58 bps 1.8% 38 10.9% 1.3% Copyright Content / 2016 Q3 FY21 Q3 FY22 Q3 FY21 Q3 FY22 Q3 FY21 Q3 FY22 1 Based on monthly compounding of annualised RoE Aditya Birla Capital Limited All figures in Rs Crores 40
Slide 41: Key Financials – Aditya Birla Housing Finance Limited
Key Financials – Aditya Birla Housing Finance Limited Quarter 2 Quarter 3 Figures in Rs Crore Nine Months FY 21-22 FY 20-21 FY 21-22 Key Performance Parameters FY 20-21 FY 21-22 (PY) (PY) (CY) (PY) (CY) 11,327 11,872 11,606 Lending book 11,872 11,606 10.26% 10.35% 10.28% Average yield 10.36% 10.34%
Slide 42: Asset Management
Asset Management Aditya Birla Capital Limited 42
Slide 43: Performance Summary | Asset Management | ABSL AMC
Performance Summary | Asset Management | ABSL Asset Management Co 1 Momentum in AUM growth and value accretive mix 2 Strong and growing retail franchise ➢ Mutual Fund QAAUM at Rs 2.99 Lac Crore (↑ 17% y-o-y); Backed by consistent ➢ Investor folios ~7.6 Mn; Added 0.98 Mn folios in 9M FY22 investment
Slide 44: Rebound in AUM growth
Rebound in AUM growth Closing Assets under Management Average Assets under Management All figures in Rs. Cr All figures in Rs. Cr Domestic Total Equity Equity Mix Overall QAAUM Domestic Equity Equity Mix ↑ 9% Y-o-Y ↑ 28% Y-o-Y 42% (PY: 36%) ↑ 16% Y-o-Y ↑ 39% Y-o-Y 41% (PY: 34%) 2,61,972 2,86,372 2,8
Slide 45: Strong retail franchise
Strong retail franchise Retail KPIs Equity QAAUM Individual MAAUM B-30 MAAUM Size Rs 1,21,962 Crore Rs 1,41,432 Crore Rs 46,925 Crore AAUM Mix 40.8% (PY: 34.3%) 47.9% (PY: 46.2%) 15.9% (PY: 16.1%) Rs. Crore Rs. Crore Rs. Crore ↑ 15% 1,41,432 ↑ 11% ↑ 39% 1,21,962 46,925 42,457 87,516 1,22,574 Yearly
Slide 46: Focus on growing SIP book
Focus on Growing SIP Book Increasing traction in SIP Long Tenure SIP Book SIP Book in Rs Cr.(1) Quarterly New SIP (1) registrations # of Live Outstanding SIPs (1) % Count of Total SIPs (2) Count(‘000) (Mn) (Dec-21) 867 892 786 320 324 3.11 2.99 88% 2.77 79% 193 Dec-20 Sep-21 Dec-21 Over 5 Years Over
Slide 47: Large and well-diversified distribution network
Large and well-diversified distribution network Continue to expand distributor base and empaneled 2,100+ new MFDs in Q3 FY22 280+ 69,000+ 100+ 90+ 240+ 70+ Locations MFDs Banks1 Emerging Market National Digital Representatives Distributors Partners Overall Asset Sourcing Mix1 Higher MFD Share in Equ
Slide 48: Growing Alternative Assets Business
Growing Alternative Assets Business Passives 5,302 Passive AUM (in Rs Cr) (2) 2,964 1,039 ~2,10,000 3x FOF Investor Folios Serviced Growth in Passives (1) 2,090 3,187 Index 1,692 878 764 1,078 ETF 654 404 233 805 921 1,008 1,076 16 Product Pipeline Mar-21 Jun-21 Sep-21 Dec-21 PMS / AIF Offshore Real
Slide 49: Holistic Digital Innovation
Holistic Digital Innovation Customer Customer Distributor 76% 89% 90% Digital Payments 99% Onboarding Servicing Onboarding Innovation and Continuous improvement of our Digital Assets Partner Assets Investor Assets Innovation on Customer Assets Partner Mobile App API services for IFAs Investor Mobile
Slide 50: Key Financials – Aditya Birla Sun Life AMC Limited
Key Financials – Aditya Birla Sun Life AMC Limited Quarter 2 Quarter 3 Figures in Rs Crore Nine Months FY 21-22 FY 20-21 FY 21-22 Key Performance Parameters FY 20-21 FY 21-22 (CY) (PY) (CY) (PY) (CY) 3,00,289 2,55,458 2,98,763 Domestic AAUM 2,36,241 2,91,502 1,16,151 87,516 1,21,962 Domestic Equity
Slide 51: Life Insurance
Life Insurance Aditya Birla Capital Limited 51
Slide 52: Performance Summary | Life Insurance | ABSL Insurance Co
Performance Summary | Life Insurance | ABSL Insurance Co 1 High Momentum in Individual Business 2 Consistent Growth in Value accretive Group Business ➢ Ind. FYP ↑ 12% y-o-y in Q3; YTD ↑ 16% y-o-y; FY22 est. growth at 16% y-o-y ➢ Q3 Group FYP ↑ 24% y-o-y; YTD ↑ 16% y-o-y on the back of 50% growth ove
Slide 53: Consistent growth in Individual and Group Business
Consistent growth in Individual and Group Business Individual FYP1 Group New Business Premium ABSLI Private Players Industry ABSLI Private Players Industry ↑ 16% Y-o-Y ↑ 30% Y-o-Y ↑ 20% Y-o-Y ↑ 16% Y-o-Y ↑ 29% Y-o-Y ↑ 7% Y-o-Y 1,454 2,192 1,042 553 575 848 325 301 Q1 FY’22 Q2 FY’22 Q3 FY’22 9M FY’22
Slide 54: Consistent Quality Improvements
Consistent Quality Improvements Total Renewal Premium Persistency1 Controlled Opex2 Renewal Growth Digital Renewal Improving Persistency across all cohorts Controlled Opex to premium ratio ↑ 27% Y-o-Y 74% 9M FY’22 9M FY’21 9M FY’20 Opex to Premium Δ 2Y 84% 13th 84% ↑ 4% 80% 17.6% 4.3% 4,258 +23% 73%
Slide 55: Growing AUM and Strong Investment performance
Growing AUM and Strong Investment performance Strong Investment Processes | Competitive returns across periods 59,114 Assure Enhancer 50,678 (Debt Fund) (Balanced Fund) 42,791 6.2% 7.0% 8.2% 9.2% 8.7% 9.0% 3.2% 3.4% Total AUM 9M FY’20 9M FY’21 9M FY’22 1 yr 5 yr 1 yr 5 yr Maximizer (Equity Fund) 72%
Slide 56: Focus on longer policy term and younger customer profiles
Focus on Longer Policy Term and Younger customer profiles Average Policy term Average age of customer 9M FY’22 9M FY’21 9M FY’20 9M FY’22 9M FY’21 9M FY’20 15 38 Non Par Non Par 16 37 17 37 34 33 Par Par 40 32 29% 33 33 Upsell contribution for 9M FY’22 Protection Protection 40 37 Individual FYP. 33
Slide 57: Focus on value accretive product mix
Focus on value accretive product mix Product Mix Products and Risk Management New products launched in last 18 months contributed to 41% of Ind. FYP 6.1% 5.7% 6.6% ➢ ABSLI Assured Saving plan launched in Q3 in the Traditional segment New Product with key features such as loyalty additions that boost
Slide 58: Steady increase in margins, ahead of guidance
Steady increase in Margins, ahead of guidance Gross VNB1 Net VNB2 Gross VNB Growth Net VNB Margin ↑ 37% Y-o-Y ↑ 124% Y-o-Y 35.3% 36.4% 43.2% 5.1% 6.9% 5.9% 10.6% 11.2% ~14% 219 637 178 125 466 428 80 65 Copyright Content / 2016 9M FY'20 9M FY'21 9M FY'22 9M FY’20 FY’20 9M FY’21 FY’21 9M FY’22 FY’22
Slide 59: Multi Channel Distribution Strategy
Multi Channel Distribution Strategy Pan India well diversified distribution scale 2,800+ 340+ 75,000+ 7 13,850+ Cities Own Branches Agents Banca Tie-ups Bank Branches HDFC Bank, DCB, KVB, Indian Bank, DB, DBS, Ujjivan Strong growth across channels Resulting in a balanced sourcing mix Product Mix by
Slide 60: Leveraging Digital, Data and Analytics
Leveraging Digital, Data and Analytics Acquisition Servicing • Customer details Empowering Partner / • Advisor Recruitment Customer • Sales Productivity Pre-sales App • Policy details Prospecting App - Advisor Servicing - Servicing – • Lead gamification For Lead • NLP enabled platform Customers Sale
Slide 61: Key Financials – Aditya Birla Sun Life Insurance Limited
Key Financials – Aditya Birla Sun Life Insurance Limited Quarter 2 Quarter 3 Figure in Crores Nine Months FY 21-22 FY 20-21 FY 21-22 FY 20-21 FY 21-22 Key Performance Parameters (CY) (PY) (CY) (PY) (CY) 612 545 635 Individual First year Premium 1,336 1,616 1,042 682 848 Group First year Premium 1,89
Slide 62: Health Insurance
Health Insurance Aditya Birla Capital Limited 62
Slide 63: Performance Summary | Health Insurance | AB Health Insurance Co.
Performance Summary | Health Insurance | AB Health Insurance Co. 1 Sustained strong growth 2 Strong financial management ➢ YTD FY22 loss (excl. CoVID) at Rs. 103 Crore (LY: Rs 107 Crore) ; ABHI market share ➢ Continued growth momentum: YTD FY22 GWP Rs 1,170 Crore (↑ 36% y-o-y)| of CoVID claims at 1.
Slide 64: Business Outcomes
Business Outcomes GWP growth at 1.4x y-o-y Lives covered growth at 1.5x y-o-y 13 Mn.+ through rural & micro/ byte-sized products Lives Covered (Mn.) Revenue (Rs. Cr.) 2.14x 1,170 2.6x 17 859 67% Retail 11 546 13 Rural & Byte 73% 7 70% 7 33% Group 4 30% 27% 3.8 4.3 Retail & Group 3 9M FY20 9M FY21 9M
Slide 65: Scaled-up, diversified and digitally enabled distribution 1/2
Scaled-up, diversified and digitally enabled distribution -1/2 Multi-channel & Digitally enabled distribution Diversified and scaled network Agency: Scalable channel with 175 branch 9M FY21 9M FY22 Diversified retail channel mix locations | Agency GWP ↑ +1.4x of PY | ABC synergy → agent base expansi
Slide 66: Scaled-up, diversified and digitally enabled distribution 2/2
Scaled-up, diversified and digitally enabled distribution -2/2 Distribution digital capabilities Ecosystem of partners Digital ride insurance multimillion policies issued • Partner specific products • 1 cr super top up Products • Contextual & Byte sized products • Travel/Ride/Stay/Telco/Loan Insuran
Slide 67: Pillars for achieving scale and differentiation
4 Pillars for achieving scale and differentiation Value creation at ABHI Differentiated Eco-system Business Model Development Data & Analytics Digital Copyright Content / 2016 Key Enablers Product Partners Big Data Technology Aditya Birla Capital Limited All figures in Rs Crores
Slide 68: Differentiated Business Model
Differentiated Business Model Analyze Customer demographics Attract Health-conscious Customers Personalized Health management 03 02 01 Risk Stratification 04 IMPROVE YOUR HEALTH GET REWARDED KNOW YOUR HEALTH Servicing Customer • Hyper Personalised WellBeingTM demographic Score including • Healthy He
Slide 69: Differentiated & segmented offerings
Differentiated & segmented offerings Diversified product suite with differentiated health first offerings enabling market expansion Enabling Market Expansion Product Differentiators Industry First Offerings Traditional Incentivized Wellness 100% HealthReturnsTM Sickness Insurance (35-55 years) 1 Cr
Slide 70: Holistic & integrated health eco system
Holistic & integrated health eco system Objective Pharmacy Physical health • Integrated platform for personalized Diagnostic Centers Nutritional health health recommendations and Health Management Interventions Preventive Promotive OPD incl. dental Mental health & Mindfulness • Meeting end to end He
Slide 71: Data & Analytics
Data & Analytics Investing in High End Capabilities CLTV – Acquisition /Retention Customer Engagement/Wellness Risk Management-UW & Fraud / Cross sell Organization wide PASA - 5Mn offer/5.5Cr GWP WBS based intervention Claims fraud detection engine structured data lake Deep expertise in AI/ML/NLP/ O
Slide 72: Digital Capabilities (1/2)
Digital Capabilities (1/2) Progress on multiple vectors contributing to customer acquisition, retention & process efficiencies Lead Generation Revenue 98% 10Mn 85% 37 Mn Predictive analysis & Enablement Digital marketing ML based cross-sell though digital Customer Customers Welcome Calls Revenue thr
Slide 73: Key Financials – Aditya Birla Health Insurance Limited
Key Financials – Aditya Birla Health Insurance Limited Quarter 3 Figures in Rs Crore Nine Months FY 20-21 FY 21-22 Key Performance Parameters FY 20-21 FY 21-22 (PY) (CY) (PY) (CY) 203 263 Retail Premium 629 788 106 143 Group Premium 230 382 309 406 Gross Written Premium 859 1,170 288 382 Revenue 777
Slide 74: Other Updates
Other Updates Aditya Birla Capital Limited 74
Slide 75: Other Financial Services Businesses
Other Financial Services Businesses Strong performance across financial metrics across these businesses Revenue ↑ 10% y-o-y PBT ↑ 26% y-o-y ↑ 1.4x 292 ↑ 3.6x 265 46 36 204 13 Q3 FY20 Q3 FY21 Q3 FY22 Q3 FY20 Q3 FY21 Q3 FY22 General Insurance Broking Stock & Securities Broking Asset Reconstruction Com
Slide 76: Consolidated Profit & Loss
Consolidated Profit & Loss Quarter 2 Quarter 3 Figures in Rs Crore Nine Months FY 21-22 FY 20-21 FY 21-22 Consolidated Profit & Loss FY 20-21 FY 21-22 (CY) (PY) (CY) (PY) (CY) 5,597 5,032 5,706 Revenue 13,661 15,602 14% Profit Before Tax (before share of profit/(loss) 440 326 659 857 1,417 of JVs 89
Slide 77: A financial services conglomerate meeting the life time needs of its customers
A financial services conglomerate meeting the life time needs of its customers CIN: L67120GJ2007PLC058890 Regd. Office: Indian Rayon Compound, Veraval – 362 266, Gujarat Corporate Office: One Indiabulls Centre, Tower 1, Jupiter Mills Compound, 841, Senapati Bapat Marg, Elphinstone Road, Mumbai – 400
Slide 78: Disclaimer
Disclaimer The information contained in this presentation is provided by Aditya Birla Capital Limited (“ABCL or the Company”), formerly known as Aditya Birla Financial Services Limited, to you solely for your reference. Any reference herein to "the Company" shall mean Aditya Birla Capital Limited, t