Kotak Mahindra Bank Limited · NSE:KOTAKBANK
Kotak Mahindra Bank — Q4 FY24 Earnings Presentation
32 slides from Kotak Mahindra Bank's earnings presentation, May 4, 2024
Slide 1: Exchange filing cover letter for investor presentation
May 04, 2024 BSE Limited National Stock Exchange of India Limited Corporate Relationship, Exchange Plaza, Plot No. C/1, G Block, Phiroze Jeejeebhoy Towers, Bandra-Kurla Complex, Dalal Street, Bandra (East), Mumbai 400 001 Mumbai 400 051 BSE Scrip Code: 500247, 958687, 974396, NSE Symbol: KOTAKBANK,
Slide 2: Q4FY24 Presentation on financial results
Q4FY24 Presentation on financial results for the period ended 31st March, 2024 04th May, 2024
Slide 3: Key Updates for Q4FY24
Key Updates for Q4FY24 Consolidated ✓ PAT growth: Q4FY24: 25% (QoQ); 17% (YoY); FY24: 22% (YoY) ✓ RoE: Q4FY24: 16.85%; FY24: 15.08% ✓ RoA: Q4FY24: 2.92%; FY24: 2.66% Bank ✓ PAT growth: Q4FY24: 38% (QoQ); 18% (YoY); FY24: 26% (YoY) ✓ NIM Q4FY24: 5.28% Q3FY24: 5.22%; FY24: 5.32%, FY23: 5.33% ✓ CASA Ra
Slide 4: Consolidated Highlights FY24
Consolidated Highlights FY24 Q4FY24 PAT ROA ROE ₹ 5,337 cr 17% 2.92% 16.85% FY24 PAT ROA ROE ₹ 18,213 cr 22% 2.66% 15.08% As at Mar’24 Customer Assets* CAR CET-I Book Value / Share ₹ 479,169 cr 22% 21.8% 20.7% ₹ 653 * Customer Assets comprise Advances (incl. IBPC & BRDS) and Credit Substitutes 3
Slide 5: Kotak Group PAT
Kotak Group PAT ₹ cr Q4FY24 Q4FY23 Q3FY24 FY24 FY23 YoY PAT Contribution Kotak Mahindra Bank 4,133 3,496 3,005 13,782 10,939 26% Kotak Mahindra Prime 223 224 239 888 829 7% Kotak Mahindra Investments 129 100 157 514 326 58% Kotak Infrastructure Debt Fund 11 8 11 44 29 56% 85% BSS Microfinance 76 89
Slide 6: Kotak Group Networth & ROE
Kotak Group Networth & ROE ₹ cr PAT FY24 Networth Mar’24 ROE Networth Contribution Kotak Mahindra Bank 13,782 96,639 Kotak Mahindra Prime 888 9,177 Kotak Mahindra Investments 514 3,329 Kotak Infrastructure Debt Fund 44 520 84% BSS Microfinance 383 1,010 Sonata Finance (14) 389 Mar’24 4% Bank & Other
Slide 7: Standalone Highlights FY24
Standalone Highlights FY24 Q4FY24 PAT NIM Cost/Income ROA 18% ₹ 4,133 cr 5.28% 44.76% 2.97% FY24 PAT NIM Cost/Income ROA ₹ 13,782 cr 26% 5.32% 45.99% 2.61% As at Mar’24 Customer Assets* Net NPA CASA Ratio CAR CET-I ₹ 423,324 cr 20% 0.34% 45.5% 20.5% 19.2% *Customer Assets comprise Advances (incl. IB
Slide 8: Profit and Loss Account
Profit and Loss Account ₹ cr Q4FY24 Q4FY23 Q3FY24 FY24 FY23 Notes for Q4FY24 Net Interest Income 6,909 6,103 6,554 25,993 21,552 2,979 2,186 2,297 10,273 7,083 AIF provision released basis RBI circular of 27th March 24: Other Income ₹157cr in Q4FY24 out of ₹190 cr provision made in Q3FY24 Fee and Se
Slide 9: Asset Quality
Asset Quality ₹ cr 31-Mar-24 31-Mar-23 31-Dec-23 GNPA 5,275 5,768 6,302 NNPA 1,271 1,193 1,225 ₹ 1,305 cr (0.3% of Net Advances), 1.39% 1.78% 1.73% (₹ 823 cr – Q4FY23), GNPA (%) [31st Mar 2023: ₹ 204 cr] 0.34% 0.37% 0.34% Of this, ₹ 236 cr upgraded within NNPA (%) Q4FY24 (₹ 218 cr – Q4FY23) PCR 75.9
Slide 10: Balance Sheet
Balance Sheet ₹ cr 31-Mar-24 31-Mar-23 31-Dec-23 ₹ cr 31-Mar-24 31-Mar-23 31-Dec-23 Capital & Reserves and Surplus 96,639 83,460 92,994 Cash, Bank and Call 52,788 32,542 27,509 Deposits 448,954 363,096 408,636 Investments 155,404 121,404 145,751 CASA 204,304 191,815 195,049 Term Deposits 244,650 171
Slide 11: Customer Assets
Customer Assets ₹ cr 31-Mar-24 31-Mar-23 31-Dec-23 YoY QoQ Advances Mix Home Loans & LAP 1,06,726 92,731 102,234 15% 4% 2% Consumer Bank WC (Secured) 35,997 29,389 33,790 22% 7% 7% Consumer PL, BL and Consumer Durables 20,049 15,773 19,310 27% 4% Credit Cards 14,505 10,090 13,882 44% 4% 22% Commerci
Slide 12: Deposits
Deposits Average Q4FY24 YoY % Q4FY23 CASA (EOP) (₹ cr) 3% Current Account 60,160 58,415 CASA % 45.5% 52.8% 47.7% 5% Savings Account 123,457 117,824 35% 20,017 10,385 17,074 Term Deposit 224,703 166,644 1,09,079 1,09,187 TD Sweep at ₹ 47,052 cr 1,11,400 YoY growth: 102% 75,208 70,030 68,788 CASA & TD
Slide 13: Update on RBI Supervisory Action
Update on RBI Supervisory Action Order and Impact assessment • Reserve Bank of India (“RBI”) order of 24th April 2024, directs the Bank to cease and desist (i) onboarding new customers through the Bank’s online and mobile banking channels and (ii) issuing fresh credit cards. • The order does not imp
Slide 14: Update on RBI Supervisory Action
Update on RBI Supervisory Action Business impact analysis • The Bank has assessed impact of above restrictions on: • Franchise and customers • Directly impacted businesses • Primarily new credit cards and customer acquisition through 811 • Potential financial impact • Bank is looking to redeploy res
Slide 15: Kotak Securities
Kotak Securities ₹ cr Q4FY24 Q4FY23 Q3FY24 FY24 FY23 34% QoQ KS Cash ADV (₹ cr) Total Income 1,214 682 999 3,982 2,986 Profit After Tax 378 182 306 1,226 865 Market Share Cash* (%) 10.2 10.4 10.3 10.2 10.5 7,858 5,862 5,820 4,286 Derivative Market Share* (%) 12.0 10.0 12.4 12.6 9.2 3,723 Overall Mar
Slide 16: Kotak Mahindra Life Insurance
Kotak Mahindra Life Insurance ₹ cr FY24 Individual New Business Product Mix# FY24 Indian Embedded Value (IEV)* 15,242 Participating Products 29.6% Value of New Business (VNB) * 1,053 Non-Participating Products 33.3% VNB Margin (%)* 28.5% ULIP 27.7% Annuity Products (Non participating) 9.5% Highlight
Slide 17: Kotak Mahindra Life Insurance
Kotak Mahindra Life Insurance ₹ cr Q4FY24 Q4FY23 Q3FY24 FY24 FY23 Gross written premium (₹ cr) Capital 562 562 562 562 562 7,478 6,198 3,975 17,708 15,320 Other Reserves and 5,301 4,765 5,192 5,301 4,765 Surplus 3,793 3,106 2,058 8,736 7,324 Total Premium 7,478 6,189 3,975 17,708 15,320 1,648 1,370
Slide 18: Kotak Mahindra Prime
Kotak Mahindra Prime ₹ cr Q4FY24 Q4FY23 Q3FY24 FY24 FY23 Customer assets* (₹ cr) NII 493 425 474 1,870 1,646 Other Income 126 100 159 500 361 29,784 27,861 23,178 Total Income 619 525 633 2,370 2,007 Operating Expenses 268 216 263 1,000 886 4,697 5,614 5,083 Provisions (Net) 54 9 50 182 11 Mar-24 Ma
Slide 19: Kotak Mahindra AMC & Trustee Co.
Kotak Mahindra AMC & Trustee Co. ₹ cr Q4FY24 Q4FY23 Q3FY24 FY24 FY23 Average Assets Under Management (₹ cr) - Overall Profit After Tax 150 192 146 525 555 3,84,007 3,53,885 3,46,589 Notes 2,91,595 2,87,058 Investment profit (pre tax) (₹ cr): Equity(Ex ETF & Arb) AAUM Q4FY24 Q4FY23 Q3FY24 FY24 FY23 F
Slide 20: Assets Under Management
Assets Under Management Total: ₹ 560,140 cr Total: ₹ 420,880 cr 33% Domestic MF Equity Domestic MF Equity 2,46,771 1,56,382 Domestic MF Debt Domestic MF Debt 44% 1,24,762 37% 1,34,469 24% 30% Offshore Funds 30,057 Offshore Funds NPS & PMS 51,236 NPS & PMS 7% 7,909 4,452 9% 1% 1% Insurance Alternate
Slide 21: Alternate Assets
Alternate Assets Comprehensive platform covering 6 different asset classes Total capital raised Strategic Real Estate Private Equity* Infrastructure Data Center Private Credit since inception Situations USD 3,344 mn USD 1,677 m USD 752 mn USD 590 mn USD 165 mn USD 9.4 bn USD 2,870 mn Total Capital r
Slide 22: ESG at Kotak Mahindra Bank
ESG at Kotak Mahindra Bank Board level CSR and ESG committee constituting both the Board Chair and the MD & CEO, has oversight of the Bank’s ESG strategy and performance Environment^ Social^ Governance Ratings & Awards Sustainable finance Diversity #$ Highly qualified Board o Board approved sustaina
Slide 23: Geographical presence - Bank
Geographical presence - Bank Bank Branches distributed across various geographies Jammu & Kashmir 03 Himachal Pradesh 15 Punjab 107 Meghalaya 01 Uttarakhand 13 Haryana 89 Assam 06 Sikkim 02 Delhi 111 Uttar Pradesh 121 Branches Branch No. of ATMs# Rajasthan 83 1,948* [No./%] Classification Bihar 26 T
Slide 24: Group Profile
GROUP PROFILE 23
Slide 25: The Journey So far…
The Journey So far… Ability to Identify and Capitalize on Opportunities 2003 Bill Discount Auto Finance Investment IPO Mutual Funds Life Insurance* Securities BANK Banking Kotak Fyn Digital Video First Microfinance ING Vysya Merger ARC Alternate Kotak Cherry KYC International Assets Digital Bank - 8
Slide 26: Kotak - Diversified and integrated financial services
Kotak - Diversified and integrated financial services Commercial Bank & Parent Company Car Finance | Other Lending Advisory Services for Middle East Investments | Lending Advisory Services | Investments Distribution Alternate Assets Asset Management Investment Banking Stock Broking | Commodity Broki
Slide 27: Present Across the Entire Value Chain
Present Across the Entire Value Chain Deposits across all customer segments Wholesale Banking Commercial Banking Corporate & Institutional • Corporate Loans • Agriculture Finance • Trade Finance • Tractor Finance Very Large • Investment Banking • Business Banking • Commercial Vehicles • Commercial R
Slide 28: Our Strengths
Our Strengths An integrated financial Healthy asset Digital & Ability to identify Strong brand Strong governance services conglomerate quality & prudent technological and capitalize on and leadership culture and an with a diversified risk management capabilities opportunities across businesses exper
Slide 29: Our Strategy
Our Strategy Keep customer at the core of the Investing in technology (both infrastructure Continue journey on best in class digital business in order to provide and applications), with a dual objective – processes and interface at speed a positive experience and build ‘run the Bank’ and ‘change the
Slide 30: The Path of Leadership
The Path of Leadership Strong Capital Position Multiple Growth Engines Risks Management Attract & Retain Talent Cross Sell Opportunities Capital adequacy amongst A stable annuity flow driven Extensive on-the-ground Kotak leadership team (KLT), Robust bank platform and the highest in the Indian busin
Slide 31: Strong and Committed Leadership Team
Strong and Committed Leadership Team Senior Leadership Team with Long Vintage Ashok Vaswani Shanti Ekambaram Virat Diwanji Devang Gheewalla Paul Parambi Milind Nagnur <1 Year 33 Years 20 Years 19 Years 33 Years 1 Year+ Managing Director & Deputy Managing Consumer Banking Group CFO Group Chief Risk C
Slide 32: Disclaimer
Disclaimer This presentation is for information purposes only and Equity does not constitute an offer, solicitation or advertisement with respect to the purchase or sale of any security of Kotak Mahindra Bank Limited (the “Bank”) and no part of it shall form the basis of or be relied upon in connect