Canara Bank · NSE:CANBK
Canara Bank — Q1 FY2024-25 Earnings Presentation
46 slides from Canara Bank's earnings presentation, June 2024
Slide 1: Financial Results: Q1 (FY 2024-25)
Financial Results: Q1 (FY 2024-25) Driving Customer Delight & Growth Digitally Page 1
Slide 2: Performance Highlights
Performance Highlights ₹ in Crore Global Business Global Deposit Global Advances Net Profit 11.07% 11.97% 9.86 % 10.47 % y-o-y y-o-y y-o-y y-o-y 23,10,350 13,35,167 9,75,183 3,905 CET-1 Return on Assets PCR 12.05% 1.05 % 89.22% y-o-y y-o-y y-o-y 55 bps 6 bps 118 bps Credit Cost Gross NPA Net NPA 0.9
Slide 3: Key Highlights
Key Highlights ₹ in Crore 12.26% 23.54% 11.90% y-o-y y-o-y y-o-y RAM Credit Retail Credit Housing Loan 5,51,750 1,75,794 96,108 15.49% 10.18% 16.75% y-o-y y-o-y y-o-y Vehicle Loan EPS Fee Based Income 17,708 17.27 1,910 Page 3
Slide 4: Contents
Contents 06-13 Business Performance 15-22 Financial Performance 24-25 Investments 27-32 Asset Quality 34-35 Capital & Shareholding 37-37 Environmental, Social & Governance 39-42 Distribution Network & Digital Footprint 43-43 Subsidiaries & Associates 44-44 Guidance for March 2025 Vs Actuals for June
Slide 5: Business Performance
Driving Customer Delight & Growth Digitally Business Performance Page 5
Slide 6: Business Performance
Business Performance ₹ in Crore Growth (%) Parameters June’23 Mar’24 Jun’24 Q-o-Q Y-o-Y Global Gross Business 2080141 2272968 2310350 1.64 11.07 Domestic Gross Business 1947569 2123133 2151518 1.34 10.47 Overseas Gross Business 132572 149835 158832 6.00 19.81 Global Gross Advances 887671 960602 9751
Slide 7: Domestic Deposit Mix
Domestic Deposit Mix ₹ in Crore Growth (%) Parameters Jun'23 Mar’24 Jun’24 Q-o-Q Y-o-Y Saving Deposits 320628 328378 332248 1.18 3.62 CASA Deposits 364464 392327 381448 (2.77) 4.66 Term Deposit 740042 822624 849736 3.30 14.82 Retail Term Deposit 466162 501403 514572 2.63 10.38 Total Domestic Deposit
Slide 8: Advances Mix
Advances Mix ₹ in Crore RAM: 57% Jun’24 Growth (%) Retail Parameters Jun’23 Mar’24 Jun’24 18% Q-o-Q Y-o-Y Corporate & Others Agriculture & Allied 43% RAM Credit 491475 541489 551750 1.89 12.26 25% MSME 14% Retail 142297 156414 175794 12.39 23.54 Agriculture & Allied 222757 253206 240894 (4.86) 8.14
Slide 9: Exceeded the Mandated Targets under Priority Sector
Exceeded the Mandated Targets under Priority Sector Exceeded the mandated norms in respect of: Total Priority (44.95% to ANBC against 40% norm) Agriculture (22.02% to ANBC against 18% norm) Mandated Norms under Small and Marginal Farmers (15.58% to ANBC against 10.00% norm) Priority Sector N
Slide 10: RAM & Retail Credit
RAM & Retail Credit RAM ₹ in Crore 551750 12.26% 491475 Jun'23 Jun'24 Retail Loans Housing Loans 175794 96108 23.54% 11.90% 142297 85884 Jun'23 Jun'24 Jun'23 Jun'24 Page 10
Slide 11: Industry Credit
Industry Credit ₹ in Crore Growth (%) Sector/Scheme Jun'23 Mar’24 Jun’24 Q-o-Q Y-o-Y Infrastructure 115220 129411 132942 2.73 15.38 NBFC 144804 131974 118529 (10.19) (18.15) Textile 17823 18353 18863 2.78 5.84 Iron & Steel 15564 14991 18767 25.19 20.58 Commercial Real Estate 19970 20841 22890 9.83 1
Slide 12: Rating Profile
Rating Profile External Rating - Wise Distribution of Domestic Advances above ₹ 25 crore ₹ in Crore (% of Total rated loan book above ₹ 25 crore) Jun’23 Mar’24 Jun’24 External Rating Outstanding % Share Outstanding % Share Outstanding % Share A and above 220189 81 222192 80 211925 78 BBB 27224 10 30
Slide 13: Rating Profile
Rating Profile ₹ in Crore Rating Profile of Standard NBFC Domestic Exposure Jun’23 Mar’24 Jun’24 External Rating Exposure % Share Exposure % Share Exposure % Share A and above 135871 99 129893 99 136866 99 BBB 366 130 74 1 1 1 BB and below 26 14 46 Total 136263 100 130037 100 136986 100 Page 13
Slide 14: Financial Performance
Driving Customer Delight & Growth Digitally Financial Performance Page 14
Slide 15: Total Income
Total Income ₹ in Crore Quarterly Parameters Growth (%) Jun'23 Mar’24 Jun'24 Q-o-Q Y-o-Y Interest Income 25004 28807 28701 (0.37) 14.79 Interest on Advances 18064 20863 20778 (0.41) 15.02 Interest on Investments 5349 5902 6078 2.98 13.63 Other Interest Income 1591 2042 1845 (9.65) 15.96 Non-Interest
Slide 16: Non-Interest Income
Non-Interest Income ₹ in Crore Quarterly Parameters Growth(%) Jun'23 Mar’24 Jun'24 Q-o-Q Y-o-Y Fee Based Income 1636 1941 1910 (1.60) 16.75 Commission Exchange & Brokerage 263 437 353 (19.22) 34.22 Service Charges 812 886 798 (9.93) (1.72) Miscellaneous 561 618 759 22.82 35.29 Treasury Income 536 86
Slide 17: Total Expenses
Total Expenses ₹ in Crore Quarterly Parameters Growth (%) Jun'23 Mar’24 Jun’24 Q-o-Q Y-o-Y Interest Expenses 16338 19227 19535 1.60 19.57 Interest Paid on Deposits 15043 17714 18352 3.60 22.00 Other Interests 1295 1513 1183 (21.81) (8.65) Operating Expenses 5881 7410 6869 (7.30) 16.80 Staff Cost 365
Slide 18: Financials at a Glance
Financials at a Glance ₹ in Crore Quarterly Parameters Growth (%) Jun'23 Mar’24 Jun’24 Q-o-Q Y-o-Y Net Interest Income 8666 9580 9166 (4.32) 5.77 Total Interest Income 25004 28807 28701 (0.37) 14.79 Total Interest Expenses 16338 19227 19535 1.60 19.57 Total Income 29823 34024 34020 (0.01) 14.07 Tota
Slide 19: Continuous & Consistent Performance
Continuous & Consistent Performance 3905 89.22 89.01 89.10 3757 88.73 3656 3606 3535 88.04 Jun'23 Sep'23 Dec'23 Mar'24 Jun'24 Jun'23 Sep'23 Dec'23 Mar'24 Jun'24 Net Profit (₹ in Cr) PCR (%) 5.15 4.76 4.39 4.23 4.14 1.57 1.41 1.32 1.27 1.24 Jun'23 Sep'23 Dec'23 Mar'24 Jun'24 Jun'23 Sep'23 Dec'23 Mar'
Slide 20: Provisions
Provisions ₹ in Crore Quarterly Parameters Growth (%) Jun'23 Mar’24 Jun’24 Q-o-Q Y-o-Y Total Provision 4069 3630 3711 2.23 (8.80) NPAs 2417 2280 2171 (4.78) (10.18) Standard Asset 3 44 21 (52.27) 600.00 Non Performing Investment 332 295 (125) ----- ----- Income Tax 1350 1149 1428 24.28 5.78 Others (
Slide 21: Key Ratios
Key Ratios (%) Jun’23 Mar’24 Jun’24 Ratios Quarterly Cumulative Quarterly Cumulative Quarterly Cumulative Return on Assets 0.99 0.99 1.03 1.01 1.05 1.05 Return on Net-worth 22.95 22.95 21.18 22.06 20.88 20.88 Cost to Income 43.61 43.61 50.08 47.03 47.42 47.42 CD Ratio 74.44 74.44 73.20 73.20 73.04 7
Slide 22: Key Ratios
Key Ratios NIM(%) Cost Of Deposits (%) Yield on 3.05 3.05 5.70 Advances(%) 5.50 8.71 8.66 5.22 2.90 8.43 Jun'23 Mar'24 Jun'24 Jun'23 Mar'24 Jun'24 Jun'23 Mar'24 Jun'24 Cost Of Funds (%) Yield on Funds(%) Yield on Investments(%) 6.94 7.72 5.25 6.91 7.54 5.00 4.76 7.28 6.85 Jun'23 Mar'24 Jun'24 Jun'23
Slide 23: Investments
Driving Customer Delight & Growth Digitally INVESTMENTS Page 23
Slide 24: Investment Portfolio
Investment Portfolio ₹ in Crore Sl. No Parameters Jun'23 Mar'24 Jun'24 1 Domestic Investments 334955 360836 373591 (a) SLR 298393 324154 324203 (b) Non SLR 36562 36682 49388 SLR as % to Dom. Investments 89.08 89.83 86.78 (i) Held To Maturity (HTM) 275423 290652 298077 (ii) Available For Sale (AFS) 5
Slide 25: Non SLR Portfolio
Non SLR Portfolio ₹ in Crore % Share Y-o-Y Variation Parameters Jun’23 Mar’24 Jun’24 (Jun'24) Amount % PSU Bonds 3503 3588 4138 8.38 635 18.13 Corporate and Other Bonds 5793 7113 7434 15.05 1641 28.33 Special Govt. Sec excl. Recap Bonds 1793 633 633 1.28 (1160) (64.70) CG Recap. Bond 18238 18238 182
Slide 26: Asset Quality
Driving Customer Delight & Growth Digitally Asset Quality Page 26
Slide 27: Asset Quality Ratios
Asset Quality Ratios ₹ in Crore Parameters Jun’23 Mar’24 Jun’24 Gross NPA 45727 40605 40356 Gross NPA (%) 5.15 4.23 4.14 Net NPA 13461 11823 11702 Net NPA (%) 1.57 1.27 1.24 Provision Coverage Ratio (%) 88.04 89.10 89.22 Credit Cost (%) 1.10 0.96 0.90 Slippage Ratio (%) 0.36 0.34 0.33 Page 27
Slide 28: Movement of NPA
Movement of NPA ₹ in Crore Parameters Jun’23 Mar’24 Jun’24 NPA as at the beginning of the period 46160 41722 40605 Cash Recovery towards Book Liability(i) 1127 929 780 Up-gradation (ii) 800 520 495 Write Off (iii) 1934 3068 2311 Total Reduction(i+ii+iii) 3861 4517 3586 Fresh Addition 3428 3400 3337
Slide 29: NPA Classification: Sector Wise
NPA Classification: Sector Wise ₹ in Crore Advance O/s Parameters Jun'23 Mar'24 Jun'24 GNPA (%) (Jun’24) Domestic Gross NPA 41427 37213 37235 920334 4.05 Global Gross NPA 45727 40605 40356 975183 4.14 Retail 2082 2247 2249 175794 1.28 Housing Loans 642 836 900 96108 0.94 Vehicle Loans 242 268 283 17
Slide 30: NPA Classification: Industry wise
NPA Classification : Industry wise ₹ in Crore Sector/Scheme Jun’23 Mar’24 Jun’24 GNPA (%) Infrastructure 5466 5637 5861 4.41 Iron & Steel 721 568 561 2.99 Textile 1299 1431 1499 7.95 Food Processing 1124 1121 1222 9.81 Engineering 969 825 812 5.74 Page 30
Slide 31: Special Mention Accounts (SMA)
Special Mention Accounts (SMA) ₹ in Crore SMA Position of the Bank (₹ 5 Cr and above) Jun’23 Mar’24 Jun’24 No of % to Gross No of % to Gross No of % to Gross Parameters Outstanding Outstanding Outstanding Accounts Advances Accounts Advances Accounts Advances SMA 2 237 3367 0.38 141 3897 0.40 167 413
Slide 32: Accounts referred to NCLT
Accounts referred to NCLT ₹ in Crore Jun’23 Jun’24 Parameters No of Book Provision No of Book Provision Provision Provision Accounts Liability Coverage Accounts Liability Coverage 1st List - RBI 4 1106 1106 100% 4 1094 1094 100% 2nd List – RBI 11 5289 5289 100% 9 4676 4676 100% Total RBI 1 & 2 15 63
Slide 33: Capital & Shareholding
Driving Customer Delight & Growth Digitally Capital & Shareholding Page 33
Slide 34: Capital Funds (Basel III)
Capital Funds (Basel III) Parameters ₹ in Crore Jun’23 Mar’24 Jun’24 CRAR (%) Tier I 80982 93368 98104 16.24 16.28 16.38 Common Equity 68561 77529 82265 Additional Tier I 12421 15839 15839 2.33 2.01 2.66 Tier II 15878 15599 13779 2.32 2.08 2.37 Total (Tier I+II) 96860 108967 111883 Risk-weighted Ass
Slide 35: Shareholding Pattern as on June 30th, 2024
Shareholding Pattern as on June 30th,2024 Year ended FII/FPIs holding (%) Mar’22 8.48 Staff, 0.63 Others, 2.45 Resident Individuals, 11.53 Mar’23 8.95 Mar’24 10.57 FIIs/FPIs, 11.91 Mutual Funds, 3.49 Insurance Companies, 7.06 Government of India, 62.93 Page 35
Slide 36: Environmental, Social & Governance
Driving Customer Delight & Growth Digitally Environmental, Social & Governance Page 36
Slide 37: Environmental, Social & Governance (ESG) Practices
Environmental, Social & Governance (ESG) Practices Environmental Social Governance As part of Green initiatives, Bank has undertaken: Bank is impacting the Society by engaging in For the Bank’s journey towards Sustainability, Increased usage of LED light, BEE rated AC units helping and uplif
Slide 38: Distribution Network
Driving Customer Delight & Growth Digitally Distribution Network Page 38
Slide 39: Distribution Network
Distribution Network Parameters Jun'23 Mar'24 Jun'24 General Branches(a) 8865 8984 8997 Specialised Branches(b) 788 620 626 Total Domestic Branches(a+b) 9653 9604 9623 Overseas Branches 3 4 4 BC Points 13427 13167 13167 Total Banking Outlets 23083 22775 22794 ATM 10683 10209 10014 Recycler 1431 1946
Slide 40: Digital Footprint
Driving Customer Delight & Growth Digitally Digital Footprint Page 40
Slide 41: Digital Footprint
Digital Footprint 530.92 5.74 385.36 2.67 207.68 142.42 5.24 2.52 JUN'23 JUN'24 JUN'23 JUN'24 JUN'23 JUN'24 JUN'23 JUN'24 MeitY Digital Transactions( Nos in Internet Banking Registrations (Nos in E-Transactions (Nos in Crores) Debit Card Outstanding (Nos in Crore) Crores) Crores) 5.37 9.07 2.95 2.34
Slide 42: New Digital Initiatives
New Digital Initiatives Canara Pre-Approved Personal Loan product up to Rs.10.00 Lakh to existing customers (Canara SB Premium Ready Payroll Customers) of our Bank through Straight-through-Processing (STP) Mode under Digital Cash Lending Platform. Canara My Loan up to Rs.10.00 Lakhs through Straight
Slide 43: Subsidiaries & Associates
Subsidiaries & Associates ₹ in Crore Total Profit Our share Name of the Entity Holding(%) Jun’24 SUBSIDIARIES Canara Robeco Asset Management Company Ltd. 51 40.25 20.53 Canara HSBC Life Insurance Company Ltd. 51 18.7 9.54 Canbank Factors Ltd. 70 1.7 1.19 Canbank Computer Services Ltd. 69.14 4.33 2.9
Slide 44: Guidance for March 2025 Vs Actuals for June 2024
Guidance for March 2025 Vs Actuals for June 2024 Guidance Parameters Actuals as on 30.06.2024 (31.03.2025) Business Growth (Global) 10.00% 11.07% Advances Growth (Global) 10.00% 9.86% Deposits Growth (Global) 9.00% 11.97% CASA (Domestic CASA to Domestic Deposit) 33.00% 30.98% NIM (Global)(Annualized
Slide 45: Disclaimer
Disclaimer This presentation has been prepared solely for information purposes only. It has no regard to any financial situations or informational needs of any particular reason. The forward looking statements involve a number of risk, uncertainties and other factors that could cause actual results
Slide 46: Together We Can
Together We Can We express our heartfelt gratitude to all our stakeholders for their support & trust and solicit their continued patronage to make our beloved Bank grow exponentially in the coming years. Page 46