Slide 1: Exchange filing cover letter
AXIS/CO/CS/236/2024-25 July 24, 2024 National Stock Exchange of India Limited BSE Limited Exchange Plaza, 5th Floor 1st Floor, Plot No. C/1, “G” Block P. J. Towers, Bandra-Kurla Complex Dalal Street Bandra (E), Mumbai – 400 051 Fort, Mumbai – 400 001 NSE Symbol: AXISBANK BSE Scrip Code: 532215 Dear
Slide 2: Press Release: Financial Results for Quarter Ended 30th June 2024
PRESS RELEASE AXIS BANK ANNOUNCES FINANCIAL RESULTS FOR THE QUARTER ENDED 30th JUNE 2024 Q1FY25 core operating profit of `9,637 crores up 16% YOY, NIM1 at 4.05%, cost growth moderating, aided by steady growth in average deposits and advances o Net Interest Income grew 12% YOY and 3% QOQ o Fee income
Slide 3: Performance at a Glance
Performance at a Glance Steady core operating performance o Net Interest Income grew 12% YOY and 3% QOQ o Core operating revenue up 14% YOY | Core operating profit up 16% YOY Loan growth delivered across focus business segment o Advances up 14% YOY and 2% QOQ, Retail loans grew 18% YOY o Small B
Slide 4: Profit & Loss Account: Period ended 30th June 2024
Profit & Loss Account: Period ended 30th June 2024 Core Operating Profit and Net Profit The Bank’s core operating profit for the quarter grew 16% YOY to `9,637 crores. Operating profit grew 15% YOY to `10,106 crores. Net profit stood at `6,035 crores in Q1FY25 as compared to `5,797 crores in Q1FY24,
Slide 5: Advances and investments portfolio
with home loans comprising 28% of the retail book. Home loans grew 6% YOY, Personal loans grew 29% YOY, Credit card advances grew 22% YOY, Small Business Banking (SBB) grew 26% YOY and 2% QOQ; and rural loan portfolio grew 24% YOY. SME book remains well diversified across geographies and sectors, gr
Slide 6: Capital Adequacy and Shareholders' Funds
Capital Adequacy and Shareholders’ Funds The shareholders’ funds of the Bank grew 20% YOY and stood at `1,57,766 crores as on 30th June 2024. The Bank now has a self-sustaining capital structure to fund growth, with organic net capital accretion through profits to CET-1 of 32 bps for the Q1FY25. As
Slide 7: Key Subsidiaries' Performance
Key Subsidiaries’ Performance The Bank’s domestic subsidiaries delivered steady performance with Q1FY25 PAT of `436 crores, up 47% YOY. Axis Finance: Axis Finance has been investing in building a strong customer focused franchise. Its overall assets under finance grew 37% YOY. Retail book grew 51%
Slide 8: Financial Performance and Balance Sheet
` crore Financial Performance Q1FY25 Q1FY24 % Growth Net Interest Income 13,448 11,959 12% Other Income 5,783 5,087 14% - Fee Income 5,204 4,488 16% - Trading Income 406 519 (22%) - Miscellaneous Income 173 80 117% Operating Revenue 19,232 17,046 13% Core Operating Revenue# 18,763 16,527 14% Operati
Slide 9: Business Performance
` crore As on As on Business Performance % Growth th 30 June’24 30th June’23 Total Deposits (i)+(ii) 10,62,484 9,41,690 13% (i) CASA Deposits 4,44,479 4,28,799 4% - Savings Bank Deposits 2,94,910 2,95,530 - - Current Account Deposits 1,49,569 1,33,269 12% CASA Deposits as % of Total Deposits 42% 46%
Slide 10: Safe Harbor
Safe Harbor Except for the historical information contained herein, statements in this release which contain words or phrases such as “will”, “aim”, “will likely result”, “would”, “believe”, “may”, “expect”, “will continue”, “anticipate”, “estimate”, “intend”, “plan”, “contemplate”, “seek to”, “futu
Slide 11: Investor Presentation
Investor Presentation Quarterly Results Q1FY25 NSE: AXISBANK BSE: 532215 LSE (GDR): AXB
Slide 12: Axis Bank at a glance
Axis Bank at a glance 3rd ~ 50mn 1,04,500+ 5,427 Axis Bank Employees Branches* largest Private Bank in India Customers 5.5% 5.0% 5.9% 13.9% Market Share Assets 1 Deposits 1 Advances 1 Credit Cards 2 Profitability 16.68% 4.05% 2.76% 2.54% Consolidated ROE 3 Net Interest Margin 3 Operating Profit Marg
Slide 13: Agenda
Executive Summary Financial Highlights Capital and Liquidity Position Business Segment Performance Asset Quality Sustainability Subsidiaries’ Performance Other Important Information Quarterly Results Q1FY25 3
Slide 14: Major highlights
Major highlights Q1FY25 core operating profit of ` 9,637 crores up 16% YOY, NIM at 4.05%, cost growth moderating, aided by steady growth in average deposits and advances • Net Interest Income grew 12% YOY and 3% QOQ, Net Interest Margin at 4.05% Steady core operating performance • Fee income grew 16
Slide 15: Key metrics for Q1FY25
Key metrics for Q1FY25 Snapshot (As on 30th June 2024) Deposits Advances Absolute (` Cr) (a) (c) 13% YOY 14% YOY (b) Q1FY25 Q1FY24 Q4FY24 YOY QOQ 14% YOY 15% YOY (d) Net Interest Income 13,448 11,959 13,089 12% 3% Fee Income 5,204 4,488 5,637 16% (8%) 29% Profit & Operating Expenses 9,125 8,232 9,31
Slide 16: Agenda
Executive Summary Financial Highlights Capital and Liquidity Position Business Segment Performance Asset Quality Sustainability Subsidiaries’ Performance Other Important Information Quarterly Results Q1FY25 6
Slide 17: Deposit and Loan growth performance
Deposit and Loan growth performance All figures in ₹ Billion Deposit mix (QAB)^ Segment loan mix Loan growth (gross of IBPC sold) at 15% YOY & 1% QOQ YOY QOQ YOY QOQ 10,245 14% 3% 9,924 9,468 9,002 9,111 9,651 9,801 14% 2% 9,323 8,973 8,585 6% 5% 2,781 2,910 (a) 6,099 21% 4% 2,864 10% 4% 5,881 2,828
Slide 18: Core Operating profit up 16% YOY
Core Operating profit up 16% YOY All figures in ₹ Crores Operating revenue Operating expense YOY 28% 34% 32% 27% 11% 19,855 13% 19,232 Opex YOY 17,349 18,087 9,319 17,046 growth 8,717 8,946 9,125 8,232 6,766 5,784 14% 5,087 5,034 5,555 6,107 6,234 6,396 5,996 5,544 11,959 12,315 12,532 13,089 13,448
Slide 19: Net interest margin at 4.05%
Net interest margin at 4.05% Advances mix by rate type Cost of Funds MCLR Duration Split 30% (Jun-24) 2% 1% ~ 70% of loans floating 5.35% 5.43% 5.44% 4% 1M, 5.17% 5.03% 1% 4.75% 13% 3M, 2% 4.34% 12M, 7% 4.09% 3.77% 3.83% 3.89% 50% 6M, 3% Repo linked MCLR linked Other EBLR* Q3FY22 Q4FY22 Q1FY23 Q2FY2
Slide 20: NIM has seen structural improvement led by multiple drivers
NIM has seen structural improvement led by multiple drivers 1 Improvement in balance sheet mix 2 Reducing share of low yielding RIDF bonds 3 Composition reflected through average CASA% Retail & SME as % of loan book 71% 71% As a % to total assets 67% 68% 64% 4.7% 3.5% 2.3% 42.9% 43.6% 42.5% 1.5% 1.4
Slide 21: Steady growth in fees; granularity built across business segments
Steady growth in fees; granularity built across our business segments All figures in ₹ Crores Retail Banking fees Retail fee mix 18% YOY 47% 44% 4,159 42% 3,698 3,706 27% 3,494 20% ^ 19% 17% 19% 20% 3,146 14% 14% 17% TPP Retail Cards & Payments Retail Assets excl cards & Retail Liabilities & others
Slide 22: Cost growth at 11% YoY; continue to invest in technology
Cost growth at 11% YoY; continue to invest in technology and growth related businesses; YoY Incremental Opex in Q1FY25 was led by Business 34% 30% 38% (3%) volumes & Technology related expenses 343 (28) Incremental YOY cost break up 271 308 (Rs 893 Crore) (YoY ↑ 11%) Lower Includes Integration Busin
Slide 23: Strategy to grow high RAROC granular businesses
Our strategy to grow high RAROC granular businesses results in higher operating costs, which is largely offset by higher fee income 1 Higher growth in granular business 2 Business mix shift towards more cost intensive granular* segments Incremental share in overall book 63% 23% • Credit card issuanc
Slide 24: Agenda
Executive Summary Financial Highlights Capital and Liquidity Position Business Segment Performance Asset Quality Sustainability Subsidiaries’ Performance Other Important Information Quarterly Results Q1FY25 14
Slide 25: Strong capital position with adequate liquidity
Strong capital position with adequate liquidity Bank’s Capital Adequacy Ratio 19.12% 0.69% 0.37% 18.54% 14.06% 17.64% 13.74% 17.53% 16.63% 16.65% 3.72% 3.30% 4.19% 3.62% 2.89% 2.59% Net accretion to CET-1 of 15.40% 15.24% 32 bps in Q1FY25 14.02% 13.74% 14.06% 13.34% CET-1 Mar'24 Accretion Consumptio
Slide 26: Agenda
Executive Summary Financial Highlights Capital and Liquidity Position Business Segment Performance Asset Quality Sustainability Subsidiaries’ Performance Other Important Information Quarterly Results Q1FY25 16
Slide 27: Retail Banking
Retail Banking ~47 Mn 4th `5.99 Tn Individual Largest issuer of AUM in wealth customers Credit Cards management 18% 24% 60% YOY growth in YOY growth in Share of Retail advances Rural advances Advances~ 3% 42% 71% QOQ Growth in SA CASA ratio Share in QAB* deposits (MEB**) total fee^ ~ share in Bank’s
Slide 28: Deposit franchise continues to grow faster than the industry
Deposit franchise continues to grow faster than the industry with improvement in quality and composition… We have grown faster than industry consistently in the medium to long term… …with improvement in the quality of deposits… …while delivering healthy CASA levels and reducing borrowings ~400 bps r
Slide 29: Led by multiple initiatives across the Bank
…led by multiple initiatives across the Bank Focus on Productivity & Exclusively curated Digital, transformation Premiumization Bharat Banking Partnerships Micro market strategy product propositions 33% CAGR in Burgundy 39% QOQ growth in new 69K+ extensive distribution Project NEO aiding higher 40%
Slide 30: Term deposit growth continues to remain healthy
Term deposit growth continues to remain healthy All figures in ` Crores 22% 24% 22% 19% 19% 19% 20% 13% 13% 11% 10% 11% YOY Growth 7% 5% 6,18,005 6,09,241 5,81,441 5,31,691 5,12,891 5,00,409 4,70,460 4,52,378 4,51,966 4,36,169 4,26,792 4,08,705 4,05,832 3,80,236 Mar-21 Jun-21 Sep-21 Dec-21 Mar-22 Ju
Slide 31: Leading player in India's Wealth Management space
The Bank is a leading player in India’s Wealth Management space Overall Burgundy AUM^ has grown strongly 33% CAGR* 40% YOY 5.99 Burgundy Private 5.37 adjudged as “Best Private 4.29 Bank” for 3.57 Client Acquisition, 2.61 Asia 2.13 1.33 1.47 5th Annual Wealth Tech Awards Mar-19 Mar-20 Mar-21 Mar-22 M
Slide 32: Retail loan book remains well diversified
`5.9 trillion Retail loan book remains well diversified ~ 71% of our retail book is secured (1) Retail book (in ₹ Billion) in Rs Crores Jun-24 QOQ YOY % Prop Home Loans 1,65,353 (0.3%) 6% 28% 27% Rural loans 88,508 (4%) 24% 15% 21% 23% 20% YOY Personal loans 73,620 3% 29% 13% 18% QOQ * 5% 7% 0% Auto
Slide 33: Growing Personal loan book within defined guard rails
We continue to focus on growing Personal loan book within the defined guard rails 7.5% 7.1% 6.7% 6.6% 6.4% 100% of Personal loans given to Salaried segment 73,620 47,031 56,895 5.3% 38,746 39,211 17% CAGR# Axis Bank’s closing market share in Personal loans as of Jun’24 Jun'20 Jun'21 Jun'22 Jun'23 Ju
Slide 34: Small Business Banking segment well diversified
Small Business Banking segment is well diversified and continues to grow strongly… SBB Portfolio (in Cr.) Well diversified customer base 26% YOY 2% QoQ • ₹ 58,391 crores overall book with Business Loan book of 15,142 crores 18% 15% 57,219 58,391 • ~72% value contribution from Secured products (worki
Slide 35: Innovative product offerings and transformation initiatives
…led by our innovative product offerings and transformation initiatives SBB Equipment Finance Loans up to 10Cr for Industrial & Health Care Equipment Industrial Machine Tools Plastic Injection Packaging Printing Healthcare Diagnostic Therapeutic Imaging Pathology Life support One Axis approach • P
Slide 36: Our bet on 'Bharat' is growing
Our bet on ‘Bharat’ is growing from strength to strength Drive higher business growth and increase market share in Rural and Semi Urban (RuSu) markets through asset led liability strategy Lending opportunities in RuSu markets to complement the Bank’s overall PSL strategy meaningfully Focus on bu
Slide 37: Rural portfolio is well diversified
Rural portfolio is well diversified, offering holistic and integrated financial solutions by leveraging technology and partnerships Well diversified rural lending portfolio with … focused on capitalizing opportunities in each … and leveraging technology and partnerships presence across 683 districts
Slide 38: Trend in Credit Card issuances
Trend in Credit Card issuances Increase in Cards in force (CIF) market share with increasing card issuances aided by KTB^ partnerships Axis Bank Magnus Credit Card ~1mn cards issued for 10th consecutive quarter In million 1.21 1.26 1.24 1.11 1.13 1.11 0.99 1.04 1.04 0.96 Pre-covid quarterly average
Slide 39: Flipkart Axis Bank Credit Card digital journey
End to End Digital KTB acquisition journey with best in class early activation and spend metrics for Flipkart Axis Bank Credit Card Customer clicks on Customer fills up the Flipkart Axis Bank form and submits the Credit card banner application and can view details 4.17 mn CIF for Flipkart Axis Bank
Slide 40: Trend in Card spends
Trend in Card spends All figures In ₹ Cr Trend in Credit Card spends market share Trend in Debit Card spends Overall Q1FY25 CC spends ` 57,791 Crores YOY 12.3% 12% 11.5% 11.8% 11.8% 11.7%* 11,457 11,415 1.2% 11,110 1.3% 1.1% 0.9% * 8% 1.2% 10,253 9,589 14% 11.1% 10.3% 10.5% 10.7% 10.9% * Q1FY24 Q2FY
Slide 41: Largest Merchant Acquiring Bank
We are the largest Merchant Acquiring Bank led by ‘One Axis’ focus, improved product capabilities and partnerships One Axis approach – Taking Bank to Merchant Market share in POS terminals Curated solution offerings : Payment solutions, Deposits, Business loans, Gold Loans and other customer fit len
Slide 42: Empowering merchants through Integrated Ecosystem solutions
Empowering merchants through Integrated Ecosystem solutions Soundbox PIN on Glass POS Solution Android POS with Features advanced solution Features • Instant audio confirmation of payments done via BQR • One of the most compact and affordable POS device in the market • Multilingual support for 10 la
Slide 43: Well distributed branch network
We have a very well distributed branch network; added 50 branches in Q1 FY25 Axis Virtual Centre Domestic branch network* Branch presence across categories 5,427 ~3.8 mn 5,377 18% Customer 6 4,903 connect ^ Centers 4,758 30% 4,594 ~1600 Virtual RMs 29% 23% Mar-21 Mar-22 Mar-23 Mar-24 Jun-24 Metro Ur
Slide 44: Corporate & Commercial Banking
Corporate & Commercial Banking 7% 20% 24% YOY growth in Domestic YOY growth in YOY growth in corporate loans SME loan book Mid Corporate book 7% 89% 89% YOY growth in Share of corporate Incremental sanctions Transaction Banking Fees advances to clients to A-and above** (for Q1FY25) rated A-and above
Slide 45: Relationship led franchise driving synergies across One Axis
Strong relationship led franchise driving synergies across One Axis entities… We have re-oriented the organisation structure in Corporate & Commercial Banking for delivering execution excellence • Segregated the responsibilities of coverage and product groups to ensure sharper focus • Corporate & Co
Slide 46: 89% of the book rated A- and above
…with 89% of the book rated A- and above Corporate Loans 89% of the corporate loan book is Incremental sanctions to corporates rated A- or better rated A- & above YOY QOQ 2,90,964 6% 5% (a) 2,77,086 2,68,334 10% 4% 28,682 26,793 1% 7% 2,32,582 32,299 15% 12% 11% 11% 11% 2,24,062 32,287 44,741 2,50,2
Slide 47: Overseas Corporate loan book is 97% India linked
Overseas Corporate loan book is 97% India linked • The Bank’s International strategy is to focus on Indian corporates that have global operations • We have consolidated our overseas business through branches in Dubai, Singapore and Gift City (India) Overseas corporate loan book Funding is primarily
Slide 48: Strengthened proposition as a Transaction Bank
We have strengthened our proposition as a Transaction Bank Current Account Digital Adoption 69% Current Account customers 12% YoY growth in Current Account quarterly registered for internet/mobile banking average Balances (Q1FY25) BBPS Market Share Market Share at Foreign LC Market Share 16% (as of
Slide 49: neo by Axis Bank delivering quality outcomes
neo by Axis Bank, our industry-leading digital initiative, is delivering quality outcomes Transformational Impact of Neo reflected Thought Leadership & Client Impact in the strong product-market fit • Wide base of successful client implementations from large Payment Aggregators to industrial clients
Slide 50: Neo for Business and Neo for Corporates
… along with empowering businesses with Neo for Business and Neo for Corporates neo for Business, Axis’ MSME proposition launched in neo for corporates, Axis’ tailored internet banking for large enterprises & complex solutions Sep’23, is getting scaled up with ~ 80000 customers onboard is live Over
Slide 51: Awards & Recognition
With Strong Market Recognition Awards & Recognition Best Product Best Product Best Product Innovation for Innovation for Innovation for Neo API Neo for Neo for Developer Portal Business Corporates 2024 2024 2024 India India Domestic Domestic Trade Digital Finance Bank Transformation of the year Bank
Slide 52: Industry-wise Distribution (Top 10)
Industry-wise Distribution (Top 10) All figures in ` Crores Outstanding1 as on 30th Jun’24 Total Rank Advances Investments Non-fund based Sectors Value (in % terms) 1. Financial Companies2 77,341 38,725 30,942 1,47,008 12.08% 2. Engineering & Electronics 18,450 1,898 36,867 57,215 4.70% 3. Infrastru
Slide 53: Business Performance: Commercial Banking
Business Performance Commercial Banking
Slide 54: Strong growth in SBB+SME+MC book
Strong growth in SBB+SME+MC book despite tightening our risk standards 21% 20% 19% 30% CAGR*# 15% 2,09,985 14% 1,71,242 30% 47,579 40% CAGR# CAGR# in combined MSME, MC and 38,465 SBB segment since Jun’20 1,30,355 93,166 28,021 1,04,015 21% CAGR# 74,230 18,414 86,503 12,436 70,690 48,264 56,527 10.8%
Slide 55: Commercial Banking benefitting from technology led transformation
Commercial Banking business benefitting from technology led transformation • One of the most profitable segments of the Bank with high PSL coverage • Data driven credit decisions, minimal documentation, simplified products and digitized operations aiding higher business growth SME Advances CBG Curre
Slide 56: SME lending book is well diversified
SME lending book is well diversified Book by Loan size Well diversified Geographical mix Well diversified Sectoral mix 16% 16% 14% 27% 19% 9% 33% 10% 18% 2% 8% 3% 27% 11% 2% 6% 3% 21% 2% 10% 4% 4% 4%4% 17% 4% 5% Trade Retail and Wholesale Food and Beverages Textile Engineering Others West 1 West 2 P
Slide 57: Digital Banking
Digital Banking 96% 93% 78% 75% 70% 58% Digital Credit cards New MF SIP New SA Individual RTDs PL disbursed (end-to-end digital) transactions1 issued2 (Q1FY25) volume (Q1FY25) acquisition3 value (Q1FY25) (in Q1FY25) D2C products 250+ 300+ 4.8 @ ~14 Mn 410+ 3600+ Employee tool Mobile App Mobile Banki
Slide 58: Our digital strategy: open by Axis Bank
Our digital strategy: open by Axis Bank 155 100 Setup open by Axis Bank – A Fully Digital Bank within the Bank - Distinctive In-house Digital Capability across People, Tech & Processes Acquire New Customers at Scale * Deposits - 70% of retail individual TDs acquired digitally by value Jun-23 Jun-24
Slide 59: Proprietary, distinctive, digital native capabilities
A Proprietary, distinctive, digital native capabilities 1 Team 2 Design capabilities 3 Engineering and technology Agile product development lifecycle Continuous deployment 2450+ SUBZERO People dedicated to digital agenda Axis Bank’s DESIGN SYSTEM Modular micro-services based architecture ~350 ~400 ~
Slide 60: Leadership in technology with several industry firsts
A Leadership in technology with several industry firsts… 1st 1st 1st Indian Bank to be ISO Indian Bank to roll-out MS Indian Bank to launch certified for its AWS GenAI Co-pilot BBPS for B2B and Azure Cloud security 99.50% 810 0.02% CIS Score - % rating for Best-in-class UPI-Declines - % decline Cent
Slide 61: Personalization capability and alternate data
A Built best-in-class personalization capability and are leveraging alternate data to scale up our customer centric franchise Personalization Partnership and digital public Modern data and tech infra led lending growth infrastructure Combination of Data Science + Lending decisions backed by Strong d
Slide 62: Distinctive customer experience: highly rated Mobile Banking App
B Distinctive customer experience : Among the world’s highest rated Mobile Banking App, doubling up as our largest branch Store Rating Bank on-the-go with ‘open’ 4.8 Hyper personalized | Intuitive | Seamless 4.8 Among the highest rating of 4.8 on Google Play Store with 2.7 mn+ reviews People’s Choic
Slide 63: Personal Finance Manager
B Distinctive customer experience: Personal Finance Manager PFM Landing Page PFM Landing Page Networth page - Assets Networth page - Assets Networth page - Liabilities Networth page - Liabilities Quarterly Results Q1FY25 53
Slide 64: Hyper Personalized Nudges
B Distinctive customer experience: Hyper Personalized Nudges Regulatory & Servicing Cross sell & Upsell Payment & Investment Quarterly Results Q1FY25 54
Slide 65: Account Aggregator based use cases
C We continue to scale up Account Aggregator based use cases Recently launched ‘One View’ on Axis Mobile Multiple use cases live in asset onboarding journeys Small Business Personal Loan Auto Loan Loan Peer Bank 1 Peer Bank 2 Two-Wheeler Credit Cards Home Loan Loan 92% • Consolidated balances from d
Slide 66: New products driven by OPEN philosophy
C We continue to introduce new products driven by our OPEN philosophy… Personal Finance UPI Loans servicing Manager NEW REDESIGNED NEW Quarterly Results Q1FY25 56
Slide 67: Significantly scaling up existing products
C …while significantly scaling up existing products 24x7 Personal loan 24x7 Auto loan Digital FD Cards portfolio Forex Card 24x7 Personal loan 58% 80% 70% 83% 80% Share of PL disbursed digitally* Share of Auto loans disbursed YOY increase in retail individual Cross sell / Up sell digitally Share of
Slide 68: UPI has scaled up tremendously
C UPI has scaled up tremendously to become a key channel for customer transactions We have developed best-in-class UPI stack that enables us to offer cutting edge customized solutions across SDK, Intent, Collect and Pay offerings apart from new use cases like UPI AutoPay Dedicated IT cloud infrastru
Slide 69: Agenda
Executive Summary Financial Highlights Capital and Liquidity Position Business Segment Performance Asset Quality Sustainability Subsidiaries’ Performance Other Important Information Quarterly Results Q1FY25 59
Slide 70: Asset quality stable, credit costs higher due to seasonality
Asset quality stable, credit costs higher due to seasonality and lower recoveries and upgrades, not indicative of full year credit costs GNPA at 1.54% & NNPA at 0.34% Segmental composition Retail CBG WBG Total 65%^ 72%^ 93%^ 78%^ 1.96% 1.73% 1.58% 1.43% 1.54% 1.38% 1.98% 0.41% 0.36% 0.36% 0.31% 0.34
Slide 71: Legacy asset quality issues adequately addressed
Legacy asset quality issues adequately addressed Overall Credit Costs: FY10 to Q1FY25 Trend in BB corporate book 3.57% (Fund based as % of GCA) 3.53% 7.29% Credit Cost 2.82% Net Credit Cost 2.78% 1.91% 2.15% 1.32% 1.87% 0.30% 1.89% 1.35% 1.56% 1.68% Jun'16 Mar'19 Jun'24 1.11% Long term (FY03 to FY24
Slide 72: Detailed walk of NPAs over recent quarters
Detailed walk of NPAs over recent quarters All figures in ₹ Crores Q1FY24 Q2FY24 Q3FY24 Q4FY24 Q1FY25 Gross NPAs - Opening balance A 18,604 18,158 16,757 15,893 15,127 Fresh slippages B 3,990 3,254 3,715 3,471 4,793 Upgradations & Recoveries C 2,305 1,985 2,598 2,155 1,503 Write offs D 2,131 2,671 1
Slide 73: Agenda
Executive Summary Financial Highlights Capital and Liquidity Position Business Segment Performance Asset Quality Sustainability Subsidiaries’ Performance Other Important Information Quarterly Results Q1FY25 63
Slide 74: Ranked 1st in Corporate Governance among financial sector peers
Ranked 1st in Corporate Governance among the financial sector peers Indian Corporate Governance rating across various metrics 1st Ranked No. 1 in corporate 77 5th Rank 74% governance scorecard in the Responsibilities of the financial sector Governance Score 4% of companies in the board S&P BSE 100*
Slide 75: ESG focus continues to have Bank-wide sponsorship
ESG focus continues to have Bank-wide sponsorship Our Purpose Statement: Banking that leads to a more inclusive and equitable economy, thriving community and a healthier planet Steady Performance on Global ESG Benchmarks Above 80th percentile Environmental Social Governance among global banks on DJS
Slide 76: Committed to Positive Climate Action and the SDGs
Committed to Positive Climate Action and Achieving the SDGs In September 2021, the Bank announced commitments aimed at supporting India’s low-carbon and equitable economic transition towards achieving the SDGs and India’s commitments under the Paris Agreement Our Commitment Unit Progress As of March
Slide 77: Sparsh, our Customer Obsession program
Sparsh, our Customer Obsession program, streamlines customer interactions, boosting NPS, automation, and digitization. Sparsh embedded across all customer touchpoints, Sparsh is committed to delivering Smart Banking: Industry-first LIVE processes & metrics Initiatives Getting more customers as promo
Slide 78: Agenda
Executive Summary Financial Highlights Capital and Liquidity Position Business Segment Performance Asset Quality Sustainability Subsidiaries’ Performance Other Important Information Quarterly Results Q1FY25 68
Slide 79: Significant value in our key group entities
Continue to create significant value in our key group entities Detailed One Axis presentation Link Invst Banking Consumer Retail Fintech Asset Management Trustee TReDS platform Insurance & Inst Equities focused NBFC Brokerage platform One of the fastest Leadership position in AAA rated NBFC with 3rd
Slide 80: Axis Finance: PAT up 26% YOY
Axis Finance : PAT up 26% YOY, Retail book up 51% YOY Growth in Assets under Finance (AUF) 41% CAGR** All figures in ₹ Crores, other than % 34,104 32,123 37% YOY 707 Major Highlights 709 24,902 • 51% YOY growth in Retail book, retail mix up ~416 bps YOY to 46% 23,340 15,567 14,337 1,071 811 (46%) 17
Slide 81: Axis AMC: PAT up 27% YOY
Axis AMC : PAT up 27% YOY All figures in ₹ Crores, other than % 27% CAGR* Overall QAAUM 19% CAGR* Equity QAAUM 20% YOY 18% YOY 1,73,211 1,64,981 2,91,967 1,43,546 1,44,718 2,74,265 1,37,074 2,59,818 2,48,160 2,41,415 1,96,549 98,822 1,38,402 61,968 Mar-20 Mar-21 Mar-22 Mar-23 Mar-24 Jun-23 Jun-24 Ma
Slide 82: Axis Capital: leading in Equity Capital Markets
Axis Capital : Among the leading players in Equity Capital Markets Q1FY25 Ranking* (includes IPO, FPO, QIP, REIT, OFS & Rights) Major Highlights Rank Banker No of Deals* 1 Axis Capital` 9 • 22 IB deals closed in Q1FY25 that include 9 ECM deals 2 Peer 2 8 • 1st rank in ECM deals 3 Peer 3 7 • 72% of I
Slide 83: Axis Securities: PAT up 171% YOY
Axis Securities : PAT up 171% YOY Total customer base (in mn) 12% YOY 3rd largest bank led retail brokerage in terms of customer base 24% CAGR* Major Highlights 5.45 5.68 4.86 5.01 • 12% YOY growth in customer base in Q1FY25 4.17 3.63 • 48% of the volumes in Q1FY25 was from Mobile trading 2.27 • 57%
Slide 84: Axis Trustee: AUM up 21% YoY
Axis Trustee: AUM up 21% YoY Assets under Trust 21% YOY 16% CAGR* Major Highlights 39,04,153 40,10,660 • No. 2 @ 10% share in Securitization with >4X YoY revenue growth 33,04,015 29,94,794 30,01,067 26,43,586 • 15% revenue growth in Facility Agency business 21,26,291 • 26% market share in Alternate
Slide 85: A.TREDS: Invoicemart setting a new benchmark in TReDS
A.TREDS: Invoicemart setting a new benchmark in TReDS A.TREDS is the largest TReDS entity which operates on a perpetual license, allowed by RBI to set up the Trade Receivables Discounting System (TReDS), an electronic platform for facilitating cash flows for MSMEs The TReDS platform connects MSME se
Slide 86: Freecharge: scaling Payment Aggregation and Merchant Businesses
Freecharge: Strong focus on scaling Payment Aggregation and Merchant Businesses and focusing on profitability for Consumer Payments & Lending Merchant Business Payment Aggregation Consumer Payments & Lending • 17% growth in merchant GMV in Q1 FY25 • Despite the ongoing business embargo, PAPG is • Pa
Slide 87: Agenda
Executive Summary Financial Highlights Capital and Liquidity Position Business Segment Performance Asset Quality Sustainability Subsidiaries’ Performance Other Important Information Quarterly Results Q1FY25 77
Slide 88: Awards and recognitions
Our winning mindset is reflected in multiple awards and recognitions… Won “Infosys Finacle Award”, for Co-lending Project implementation, Won ‘Domestic Retail Bank of the Won BFSI Tech “Best Product Transformation Excellence, Best BFSI Customer year’ and ‘Digital Transformation Innovation in BFSI (S
Slide 89: Shareholding Pattern (as on June 30, 2024)
Shareholding Pattern (as on June 30, 2024) Life Insurance Corporation Others 7.92% 6.34% GDR's 4.60% Foreign Institutional Investors 50.97% Indian Institutions 30.17% Share Capital `618 crores Shareholders’ Funds `157,766 crores Book Value Per Share `511 Diluted EPS (Q1 FY25) (Annualised) `7
Slide 90: Financial Performance
Financial Performance Financial Performance (₹ crores) Q1FY25 Q1FY24 % Growth Interest Income A 30,061 25,557 18% Other Income B = C+D+E 5,783 5,087 14% - Fee Income C 5,204 4,488 16% - Trading Income D 407 519 -22% - Miscellaneous Income E 173 80 117% Total Income F = A+B 35,844 30,644 17% Interest
Slide 91: Financial Performance ($ mn)
Financial Performance Financial Performance ($ mn) Q1FY25 Q1FY24 % Growth Interest Income A 3,605 3,065 18% Other Income B = C+D+E 694 610 14% - Fee Income C 624 538 16% - Trading Income D 49 62 -22% - Miscellaneous Income E 21 10 117% Total Income F = A+B 4,299 3,675 17% Interest Expended G 1,992 1
Slide 92: Balance Sheet
Balance Sheet Balance Sheet As on 30th Jun’24 As on 30th Jun’23 As on 30th Jun’24 As on 30th Jun’23 % Growth CAPITAL AND LIABILITIES In ` Crores In ` Crores in $ Mn in $ Mn Capital 618 616 74 74 0.3% Reserves & Surplus 1,57,148 1,30,334 18,845 15,630 21% ESOP Outstanding 865 543 104 65 59% Deposits
Slide 93: Limited restructuring, largely secured and well provided
Limited restructuring, largely secured and well provided All figures in ₹ Crores Bank’s Net NPA* and Fund based BB and Below* portfolio Update on restructured book Outstanding Covid (1+2) restructuring as on 30.06.2024 Implemented PCR (excluding technical write offs) at 78%; net NPA improved 7 bps Y
Slide 94: Safe Harbor
Safe Harbor Except for the historical information contained herein, statements in this release which contain words or phrases such as “will”, “aim”, “will likely result”, “would”, “believe”, “may”, “expect”, “will continue”, “anticipate”, “estimate”, “intend”, “plan”, “contemplate”, “seek to”, “futu
Slide 95: Thank You
Thank You Quarterly Results Q1FY25 85