Indian Railway Finance Corp. Ltd. · NSE:IRFC
Indian Railway Finance — 9M FY22 Earnings Presentation
16 slides from Indian Railway Finance's earnings presentation, Feb 14, 2022
Slide 1: Intimation of Investor Presentation
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Slide 2: Indian Railway Finance Corporation Limited
Indian Railway Finance Corporation Limited For Nine-months ended: 31st December 2021 14th February 2022 PRIVATE & CONFIDENTIAL
Slide 3: Key Strengths
Key Strengths AUM CAGR (FY19-21) ◼ Dedicated market borrowing arm for the Indian Railways (IR) Strategic role in growth of ◼ Financed 67.3% of the capital outlay of the IR in FY 20-21 1 Indian Railways 32.6% ◼ Highest ever annual disbursement to MoR, at INR 1,04,369 crore during the FY 20- 21 ◼ AUM
Slide 4: Strategic role in financing growth of Indian Railways
Strategic role in financing growth of Indian Railways Indian Railways is fairly underpenetrated compared to the Global peers Route Km per million population (2017) 592 464 437 405 134 50 49 Russia USA France Germany Japan India China MoR’s increasing dependence on IRFC for financing INR Bn 1,481 1,5
Slide 5: Strategic role in financing growth of Indian Railways
Strategic role in financing growth of Indian Railways Assets Under Management AUM Break-Up (9M FY22) 4,02,301 Minimal credit risk : 98% of AUM is exposure to MoR 3,82,172 3,60,079 2,66,137 Loan to RVNL & IRCON 2,00,937 2% 1,54,535 Lease Receivables- Rolling Stock 2017-18 2018-19 2019-20 2020-21 Upto
Slide 6: Low risk, cost-plus business model
Low risk, cost-plus business model Spreads Charged by IRFC 0.40% 0.40% 0.40% 0.35% 0.35% 0.35% FY19 FY20 FY21 Rolling Stock Project Assets IRFC raises funds at lowest possible cost amongst the Term Lending Institutions in India. This directly benefits the IR in terms of saving in finance cost IRFC c
Slide 7: Competitive cost of borrowings and diversified sources of funding
Competitive cost of borrowings based on strong credit ratings in India and diversified sources of funding Borrowing Mix as on 31st December 2021 Particulars (31st Rating Outlook December 2021) Domestic Rupee Term Loans Domestic: Bonds (incl. 54EC) 31% 46% Long term rating CRISIL CRISIL AAA Stable IC
Slide 8: Consistent Financial Performance
Consistent Financial Performance Net Interest Income & PAT Net Interest Income PAT 4,645 4,597 4,533 4,416 3,225 3,192 3,041 3,003 2,996 2,934 2,782 2,554 2,140 2,001 FY 18 FY 19 FY 20 FY 21 Upto Q1 22 Upto Q3 21 Upto Q3 22 Negligible Operating Expenses 20 0.20% 17 16 14 0.15% 14 15 13 0.15% 11 10 0
Slide 9: Consistent Financial Performance
Consistent Financial Performance Return Ratios CRAR and Net Gearing Ratio 15.62% 9.0 9.3 13.34% 7.7 12.32% 7.0 11.57% 6.6 9.47% 466% 395% 420% 321% 347% 1.38% 1.16% 1.32% 1.35% 1.45% 2017-18 2018-19 2019-20 2020-21 2021-22 2017-18 2018-19 2019-20 2020-21 Q3 22 (Annualized) RoA RoE CRAR Net Gearing R
Slide 10: Key Ratios- Q3 of FY 2021-22
Key Ratios- Q3 of FY 2021-22 Particulars 9 Monthen ded 31st December 2021 Net Interest Margin 1 .62% (Annualized) Return on Equity 15.62% (Annualized) Net Gearing Ratio 9.34 x CRAR 466.34% EPS (9M) 3.52 PRIVATE & CONFIDENTIAL 9
Slide 11: Snapshot of Key Financials
Snapshot of Key Financials 9 month ended Year-Ended Particulars 31st Dec. 2021 31st Dec. 2020 Growth in % 31st March 2021 Revenue from Operations 14,367.54 11,315.51 27% 15,770 Finance Cost 9,721.96 8,319.22 17% 11,237 Net Interest Income 4,645.18 2,996.05 55% 4,533 Profit Before Tax 4,597.34 2,933.
Slide 12: Thank You
Thank You PRIVATE & CONFIDENTIAL 11
Slide 13: Disclaimer
Disclaimer * The presentation is prepared based on unaudited financial statements of IRFC the third quarter ended 31st December 2021 * There is a possibility of Ind As financial results and the additional disclosures to be updated, modified or amended because of adjustments which may be required to
Slide 14: Financials- P & L Statement
Financials- P & L Statement 9M Ended Half-Year ended Year- Ended (INR Crore) December FY22# December FY21# September FY22# September FY21* March 2021* Revenue from operations Interest income 5,381.71 2,767.27 3,311.76 3,943.66 1,716.77 Dividend income 0.40 0.23 0.24 0.23 0.25 Lease income 8,985.43 8
Slide 15: Financials – Balance sheet (1/2)
Financials – Balance sheet (1/2) As at 31st March Particulars December FY22# December FY21# September FY22# September FY21* 2021* ASSETS Financial assets Cash and cash equivalents 115.35 131.06 2,070.90 1.66 297.19 Bank balance other than above 122.54 92.12 76.24 94.21 161.73 Derivative financial in
Slide 16: Financials – Balance sheet (2/2)
Financials – Balance sheet (2/2) December FY22 December FY21 September FY22 September FY21 Particulars As at 31st March 2021* LIABILITIES AND EQUITY LIABILITIES Financial liabilities Derivative financial instruments 441.22 358.08 380.96 388.34 360.13 Payables - Trade payables (i) total outstanding d
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