Muthoot Capital Services Ltd. · NSE:MUTHOOTCAP
Muthoot Capital Services — Q2 FY25 Earnings Presentation
31 slides from Muthoot Capital Services's earnings presentation, Oct 29, 2024
Slide 1: Exchange filing cover letter for investor presentation
MCSL/SEC/24-25/264 October 29, 2024 BSE Limited National Stock Exchange of India Phiroze Jeejeebhoy Towers Limited Dalal Street, Exchange Plaza, C-1, Block G, Mumbai - 400 001 Bandra Kurla Complex, Scrip Code – 511766 Bandra (E), Mumbai - 400 051 Scrip Code (Debenture and CP) - 974915, Trading Symbo
Slide 2: Q2 FY25 Investor Presentation
Q2 FY 25 INVESTOR PRESENTATION
Slide 3: Financial Results Q2 FY25
GNPA 4.80% Y-o-Y 59% AUM NNPA 2381 Cr 1.62% BLUE WHEEL DEBT Y-o-YEQUITY 35% RATIO Y-o-Y 58% Disbursement FINANCIAL RESULTS Q2 FY 25 643 Cr Y-o-Y 96% DEBT EQUITY PBT RATIO 21.62 Cr 3.37 x CRAR 26.93% 2
Slide 4: Operational Highlights
Operational Highlights AUM H1 FY 25: ₹ 2381 Cr Shareholders PBT Yield Fund Q2 : 21.62 Cr 19.96% 639.42 Cr Balance sheet Size H1 FY 25: ₹ ~2848 Cr No of Live Borrowing Cost Customers New Customers 9.91% 4,46,998 Q2 : 75,854 Total Borrowings as on H1 FY 25: ₹ 2141 Cr Disbursement A+ EPS CRISIL Rating
Slide 5: Strong Geographical Presence
Strong Geographical Presence Geographically spread across 22 308 States Districts 8% 8% 14% 15% Q2 14% Q2 19% FY24 FY25 58% 64% Portfolio Outstanding EAST 7% 11% 7% 16% NORTH Q2 20% Q2 FY24 FY25 SOUTH 48% 29% 62% WEST Disbursement
Slide 6: AUM Growth – Retail and Other Loans
AUM Growth – Retail and Other Loans ₹. In Crores 2381.10 2178.85 1940.30 2015.15 9% 1767.15 8% 4% 2275.8 10% 2044.8 1776.37 1833.48 1593.38 AUM Growth 35 % 173.77 163.93 181.67 134.05 105.3 Y-o-Y Q2 FY 24 Q3 FY 24 Q4 FY 24 Q1 FY 25 Q2 FY 25 Retail Loans Corp Loan & Others In Q2 Company has done ARC
Slide 7: Product wise Portfolio
Product wise Portfolio ₹. In Crores Q2 Q1 Q2 1,767.15 2,178.85 2,381.10 24 25 25 TW 1578.27 1,993.02 2,173.86 Corp Loan & Others 173.77 134.05 105.30 4W 12.41 34.10 51.29 3W - 10.47 30.27 LL& PL 2.7 6.02 11.68 CV - 1.19 8.70 Product Q-o-Q Y-o-Y TW 9%▲ 38%▲ AUM Growth AUM Growth Corp Loan & Others -2
Slide 8: Product wise Disbursements
Product wise Disbursements ₹. In Crores Q2 Q1 Q2 328.50 497.92 643.50 24 25 25 TW 275.56 473.98 576.36 Corp Loan & Others 48.53 - 11.00 4W 2.32 10.57 20.49 3W - 10.47 20.88 LL& PL 2.09 1.72 6.97 CV - 1.18 7.80 Growth Growth 96% 29 % Y-o-Y Q-o-Q
Slide 9: GNPA & NNPA
GNPA & NNPA 11.67% 10.69% 10.17% 9.84% GNPA 4.80% 3.88% 3.55% 3.40% 3.41% Y-o-Y 59% 1.62% Q-o-Q 51% Sep-23 Dec-23 Mar-24 Jun-24 Sep-24 GNPA NNPA In Q2 Company has done ARC of ₹95.60 Crs. The portfolio has been derecognized from the books in Q2 itself.
Slide 10: Financial Performance – FY 24-25
Financial Performance – FY 24-25 ₹. In Crores Parameters H1 FY 25 Q2-FY 25 Q1-FY 25 Q-o-Q Disbursement 1142.42 643.50 497.92 29% ▲ Asset Under Management – AUM 2381.10 2,381.10 2,178.85 9% ▲ Operating Expense – OPEX 78.07 41.09 36.98 11% ▲ Loan Losses and Provisions 1.22 -3.64 4.86 175% ▼ Profit Aft
Slide 11: Disbursements, Average LTV, AUM and Net Worth
Disbursements (in ₹ Cr) Average LTV 643.5 84.3% 478.9 497.9 430.4 81.8% 81.8% 81.9% 328.5 80.6% Q2 24 Q3 24 Q4 24 Q1 25 Q2 25 Q2 24 Q3 24 Q4 24 Q1 25 Q2 25 AUM (in ₹ Cr) Net Worth (in ₹ Cr) 2381 639.4 2179 1940 2015 1767 622.9 611.7 600.7 590.4 Q2 24 Q3 24 Q4 24 Q1 25 Q2 25 Q2 24 Q3 24 Q4 24 Q1 25 Q
Slide 12: Capital Adequacy, Loan Loss Provision, PAT, Debt Equity Ratio
Capital Adequacy Ratio (%) Loan Loss Provision & Write-Offs (in ₹ Cr) 35.4% 33.2% 31.2% 5.4 28.8% 4.9 26.9% 2.5 1.1 Q2 24 Q3 24 Q4 24 Q1 25 Q2 25 Q2 24 Q3 24 Q4 24 Q1 25 Q2 25 -3.6 Profit after Tax (in ₹ Cr) Debt Equity Ratio 83.1 2.9 3.4 2.7 2.7 2.8 10.2 11.1 11.4 16.3 Q2 24 Q3 24 Q4 24 Q1 25 Q2 25
Slide 13: ROA, ROE, EPS and Book Value Per Share
ROA (%) ROE (%) 17.2 60.6 2.3 2.2 2.9 2.2 7.3 6.9 7.3 10.3 Q2 24 Q3 24 Q4 24 Q1 25 Q2 25 Q2 24 Q3 24 Q4 24 Q1 25 Q2 25 Earnings per Share (in ₹ ) Book Value Per Share (in ₹ ) 50.6 388.8 378.7 371.9 365.2 359.0 7.1 9.7 6.1 6.7 Q2 24 Q3 24 Q4 24 Q1 25 Q2 25 Q2 24 Q3 24 Q4 24 Q1 25 Q2 25
Slide 14: Analysis of Cost & Yield
Analysis of Cost & Yield 25.00% 21.47% 20.72% 20.74% 20.75% 20.80% 20.24% 20.18% 20.11% 20.33% 20.00% 14.07% 14.44% 15.00% 13.91% 13.70% 13.85% 13.50% 13.61% 13.25% 11.58% 9.48% 9.70% 9.80% 9.82% 9.89% 9.84% 9.91% 10.00% 9.00% 9.18% 6.45% 6.54% 6.83% 6.78% 5.81% 6.16% 6.23% 6.24% 5.11% 5.00% 0.00% Q
Slide 15: Disbursement Retail Loans Q2 FY24 & Q2 FY25
Disbursement Retail Loans Q2 FY 24 & Q2 FY 25 ₹. In Crores 45.32 45.13 40.76 40.02 36.04 35.95 Q2 126% 24 Y-o-Y 279.94 9.07 11.51 12.1 1.23 2.57 0.24 Dealer July Aug Sep Y-o-Y 161% 114.11 111.63 104.17 MFL Q2 80.97 Y-o-Y 119% 76.08 25 61.64 632.50 Co Lending 24.60 24.80 Y-o-Y 87% 22.23 2.88 3.88 5.5
Slide 16: Collections – Q2 FY25
Collections – Q2 FY25 ₹. In Crores Sources of Collections Collection Cost as a % of Collection 70.19 67.15 62.99 4.05% 3.91% 3.50% 3.40% 36.78 35.83 35.18 22.53 22.42 20.19 10.48 10.35 9.9 3.00 3.73 3.37 Q3 24 Q4 24 Q1 25 Q2 25 JUL- 2 4 AUG - 2 4 SE P - 2 4 NACH MFL Bank/Electronic Mode Employee Col
Slide 17: Portfolio Analysis
Portfolio Analysis ₹. In Crores Portfolio Analysis 114.34 Segment – wise Analysis 4.80% 2,173.86 51.29 30.27 8.70 11.68 105.30 5.24% 0.55% 0.00% 0.00% 1.80% 0.00% 94.76% 99.45% 100.00% 100.00% 98.20% 100.00% 2,266.76 95.20% Two Wheeler Four Wheeler Three Commercial Loyality & Corp Loan & Wheeler Veh
Slide 18: Securitization Details as on 30th Sep 24
Securitization Details as on 30th Sep 24 2.84 216.14 ₹. In Crores 3.16 2,059.34 2,275.80 Securitized (part of own book) Direct Assignment Own Portfolio Off Book On Book No of Transaction Type AUM Transaction Type AUM Transactions Securitized (part of own book) 7 216.14 Off Book 2.84 Direct Assignmen
Slide 19: Partnerships
Partnerships Co Lending Business Correspondents 337.35 Cr (41%) . 263.96 Cr 115.57 Cr (32%) (14%) 95.00 Cr (11%) . 18.94 Cr (2%)
Slide 20: Corporate Loans
Corporate Loans CORPORATE LOAN MOVEMENT Monthly Collection Performance Monitoring – Corp Loan Particulars Nos Balance 30 100% 25 80% Balance as on 30.06.2024 34 134.01 20 17.1 17.43 16.64 16.04 14.41 14.81 14.03 14.33 15.12 14.16 60% 13.77 Add: Addition during Q2 3 11.00 15 13.06 40% 10 37 145.01 5
Slide 21: Stage Wise NPA and ECL Summary
Stage Wise NPA and ECL Summary ₹. In Crores Interest Stage AUM Asset Provision Net Asset Accrual Stage 1A A 2,162.90 25.98 2,188.88 15.13 2,173.75 Stage 1B B 0.39 0.01 0.40 0.27 0.13 Total Stage 1 C 2,163.29 25.99 2,189.28 15.40 2,173.88 Stage 2A D 77.02 0.87 77.88 6.80 71.09 Stage 2B E 11.76 0.50 1
Slide 22: Asset Quality and NPA Movement
Asset Quality and NPA Movement ₹. In Crores Parameters Sep-23 Dec-23 Mar-24 Jun-24 Sep-24 Gross NPAs - Opening POS 419.88 190.97 191.39 188.47 193.16 Add : Additions 32.58 25.69 20.38 21.84 19.47 Less: Reductions Normalized and Closed during the Quarter 12.25 11.70 10.33 6.43 6.23 Repossessed vehicl
Slide 23: Asset Quality Updates
Asset Quality Updates Stage 2 Stage 1 5.23% 91.93% 3.89% 3.25% 3.20% 3.27% 86.58% 86.96% 85.42% 83.11% Q2 24 Q3 24 Q4 24 Q1 25 Q2 25 Q2 24 Q3 24 Q4 24 Q1 25 Q2 25 Stage 3 Provision Coverage @ 75% 11.67% 10.69% 10.17% 9.84% 190.97 191.39 188.47 193.16 143.23 143.54 141.35 144.87 4.80% 102.58 76.94 Q2
Slide 24: Expected Credit Loss (ECL) Vs IRACP
Expected Credit Loss (ECL) Vs IRACP ECL IRACP Excess Particulars AUM Provision(Incl ECL% IRACP % Provision /(Deficit) Overlay Performing Assets S1 and S2 Hypothecation Loans 2,161.46 21.29 8.65 12.64 0.98% 0.40% S1 and S2 other loans 105.30 0.63 0.42 0.21 0.60% 0.40% Non-Performing Assets S3 Hypothe
Slide 25: ARC
ARC ₹. In Crores Phoenix ARC (Sep 2023) Investments in SRs 102.22 74.31 PARAS ARC (Sep 2024) 63.07 53.46 46.1 Sep-23 Dec-23 Mar-24 Jun-24 Sep-24 Investment in SRs Collection Sep 24 41.73 3.00 Quarterly Collection 25.04 17.52 14.15 8.92 7.87 Q2 FY 24 Q3 FY 24 Q4 FY 24 Q1 FY 25 Q2 FY 25 Collection
Slide 26: Shareholding Pattern (As on Q2 FY25)
Shareholding Pattern (As on Q2 FY25) 1.34% 0.84% 1.32% 1.74% 5.90% Promoter 26.24% Public Bodies Corporate FPI Category I NRI Institutions (AIFs & Banks) Others 62.62%
Slide 27: Sources of Borrowing
Sources of Borrowing Additional Facilities Q 2 FY 25 Total Borrowings Cost of New Facilities 9.83% Total Borrowings 30th Sep 2024 Short Term 175 Crores 2140.63 Crores Cost of Borrowings 9.91% Funding Concentration Total TL/WCDL - 51% 669.76 Crores NCD/MLD – 28% WCDL Rollovers in Q2 CP/Securitisation
Slide 28: Borrowing Profile
Borrowing Profile ₹. In Crores Sep-23 Mar-24 Sep-24 Borrowings O/S Rate O/S Rate O/S Rate NCD & MLD 259.00 10.29% 504.00 10.15% 604.00 9.95% PUBLIC DEPOSIT 32.31 7.51% 41.97 8.43% 42.37 8.21% LFD 6.78 10.85% 6.90 10.85% 6.78 10.85% CC/WCDL/WCTL 962.56 10.12% 799.98 10.05% 1,098.03 10.18% CP 45.00 7.
Slide 29: Impact of MCLR Changes in WCDL Interest Rates
Impact of MCLR Changes in WCDL Interest Rates MCLR VS BANK INTEREST RATES 11.00% 10.00% 0.70% Increase Average MCLR 9.00% Rate 0.14% Increase in 8.00% Average ROI 7.00% 6.00% Average Sep-23 Sep- 24 Average Interest Rate 9. 70% 9.84% MCLR Bank Average MCLR Rate 8.51% 9.21% % CHANGE IN MCLR V/S INTERE
Slide 30: Structural Liquidity as on 30/09/2024
Structural Liquidity as on 30/09/2024 ₹. In Crores 700.00 600.00 500.00 400.00 300.00 200.00 100.00 - 1-7 days 8-14 days 15 days-1 month 1-2 months 2-3 months 3-6 months 6-12 months Inflow Outflow 1-7 days 8-14 days 15 days-1 month 1-2 months 2-3 months 3-6 months 6-12 months Cumulative Mismatch 135
Slide 31: Don't Just Soch Karo Blue Soch
DON’T JUST SOCH KARO BLUE SOCH 30
Muthoot Capital Services — Q2 FY25 Earnings Presentation on 6ix