City Union Bank Limited · NSE:CUB
City Union Bank — Investor Presentation (March 2016)
33 slides from City Union Bank's investor presentation, March 2016
Slide 1: Investor Presentation March 2016
INVESTOR PRESENTATION MARCH 2016 1
Slide 2: Disclaimer
Disclaimer No representation or warranty, express or implied is made as to, and no reliance should be placed on the fairness, accuracy, completeness or correctness of such information or opinions contained herein. The information contained in this presentation is only current as of its date. Certain
Slide 3: Table of contents
Table of contents 1. Overview Page : 04 2. Performance Highlights – March 2016 Page : 08 3. Financial Performance & Business Profile Page : 11 4. Branch Network Page : 29 5. Shareholding Pattern Page : 30 6. Corporate Governance Page : 31 3
Slide 4: Overview Facts & Figures
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Overview City Union Bank Ltd, the oldest private sector bank in India, was founded on October 31, 1904 and is headquartered at Kumbakonam, Tamil Nadu
Slide 5: Key milestones
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Key milestones Celebrated 110th year Foundation Day in Dec 2014 Incorporation Took over Initial Public Obtained licenses Rights issue @ Raised INR of the Bank
Slide 6: A specialized banking model aligned to Target Segment – SME/MSME
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern City Union Bank – A specialized banking model aligned to Target Segment – SME/MSME • SME/MSME specialized business model focusing on large untapped SM E/ M SM
Slide 7: Competitive Advantages
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Competitive Advantages • Continuos profitability and dividend payout in all 100+ years of operations Strong track record • Business growth of 20% CAGR in last
Slide 8: Q4 / FY 2015-16 Performance – A snapshot
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Q4 / FY 2015-16 Performance – A snapshot Deposits increased by 13% from Rs.241 Bn to Rs.272 Bn Y-o-Y Advances registered a growth of 17% from Rs.181 Bn to
Slide 9: Q4 Vs Q4 Performance – A snapshot
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Q4 Vs Q4 Performance – A snapshot (All figures in I N R M n) 271,581 212,531 484,112 55,326 13% 17% 15% 19% 240,750 180,885 421,635 46,307 Deposits Advances T
Slide 10: FY 2015-16 Performance – A snapshot
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern FY 2015-16 Performance – A snapshot (All figures in I N R M n) 271,581 212,531 484,112 55,326 13% 17% 15% 19% 240,750 180,885 421,635 46,307 Deposits Advances
Slide 11: FY 16 Vs FY 15 – Performance – A snapshot
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern FY 16 Vs FY 15 – Performance – A snapshot (in I N R M n) Financial Perform ance Inc / Particulars FY 2016 FY 2015 Growth Growth % (Dec) Deposits 271,581 240,7
Slide 12: Q4 FY 16 Vs Q4 FY 15 – Performance – A snapshot
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Q4 FY 16 Vs Q4 FY 15 – Performance – A snapshot (in I N R M n) Financial Perform ance INC / Particulars Q4 FY 16 Q4 FY 15 Growth % Q3 FY 2016 (DEC) Net Intere
Slide 13: FY 16 Vs FY 15 – Performance – A snapshot
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern FY 16 Vs FY 15 – Performance – A snapshot (in I N R M n) Financial Perform ance Particulars FY 2015-16 FY 2014-15 INC/ DEC Growth % Net Interest Income 9,810
Slide 14: Q4 – FY 16 Vs 15 – Income and Expenses – Breakup
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Q4 – FY 16 Vs 15 – Income and Expenses – Breakup (in I N R M n) Interest Income Breakup Interest Expenses Breakup Q4 FY Q4 FY Growth Q4 FY Q4 FY Growth Partic
Slide 15: FY 16 Vs 15 – Income and Expenses – Breakup
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern FY 16 Vs 15 – Income and Expenses – Breakup (in I N R M n) Interest Income Breakup Interest Expenses Breakup FY FY Growth FY FY Growth Particulars Particulars
Slide 16: Strong Deposits and Advances growth
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Strong Deposits and Advances growth (in I N R M n) Deposits Advances CAGR 16 % CAGR 18 % Business CASA CAGR 17 % CAGR 17 % 16
Slide 17: Income Growth over the years…
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Income Growth over the years… (in I N R M n) Net I nterest I ncom e Grow th Other I ncom e Grow th CAGR 18 % CAGR 21 % CEB Grow th Net P rofit Grow th CAGR 16
Slide 18: Key Business Indicators
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Key Business Indicators Particulars Q4 FY 2016 Q4 FY 2015 Q3 FY 2016 FY 2015-16 FY 2014-15 Cost of Deposits 7.39% 8.14% 7.48% 7.62% 8.15% Yield on Advances 12
Slide 19: Key Business Ratios – Yearly trends
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Key Business Ratios – Yearly trends Net I nterest M argin R eturn on Assets Cost of Funds Yield on Funds 19
Slide 20: Cost of deposits & Yield on advances
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Cost of deposits & Yield on advances Spread between cost of deposits and yield on advances of our bank maintained in the last 10 years 20
Slide 21: Efficiency
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Efficiency Cost income ratio C AS A R a t io Business per Em ployee P rofit per Em ployee Business per Branch (in I N R M n) Profit per B ra n c h (in I N R M
Slide 22: Loan Book – Products Composition
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Loan Book – Products Composition • Working capital loans yielding higher interest constitute 65% of advances • Re-pricing possible at short intervals thus red
Slide 23: Loan Book – Sectoral Deployment
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Loan Book – Sectoral Deployment (in I N R M n) Sectorial Deploym ent Secured & Unsecured Advances 33,911 (16%) Amount % to Total Particulars 72,956 (34%) (INR
Slide 24: Loan Book – Advances to Major Industries
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Loan Book – Advances to Major Industries (in I N R M n) Advances to Major Industries 31 st March 2016 10,710 (5%) 8,690 (4%) 7,432 (3%) 3,365 (2%) Amount % to
Slide 25: Asset Quality
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Asset Quality (in I N R M n) G r oss NP A Q t m & Gr oss NP A % Net NP A Q t m & Net NP A % 25
Slide 26: Asset Quality Position – Movement over the years
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Asset Quality Position – Movement over the years FY FY FY FY Q4 FY FY (Rs in Mn) Mar - 12 Mar - 13 Mar - 14 Mar - 15 2016 2016 NPA Opening balance 1,125 1,235
Slide 27: Restructured Accounts
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Restructured Accounts Balance outstanding as on 31.03.2016 in respect of Restructured Standard borrowers Amount Type Restructuring No. of Borrowers (in INR Mn
Slide 28: Investments – At a Glance
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Investments – At a Glance Investments Breakup and Categoryw ise (in I N R M n) Particulars MAR 2016 MAR 2015 SLR Securities 59,050 54,875 Non-SLR Securities 4
Slide 29: Strong presence in the South
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Strong presence in the South As of Mar 2016 - 525 branches. 469 branches are located in South India out of which 359 in Tamil Nadu No. of % of % of % of Sta t
Slide 30: A well diversified investor base
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern A well diversified investor base as of 31 st March 2016 Ownership profile Major Institutional Shareholders Shareholders % of Holding Lavender Investments Ltd
Slide 31: Transparent 'Corporate Governance' practices
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern Transparent ‘Corporate Governance’ practices Board consists of 7 Independent Directors and 3 Non-Independent Directors Various sub-committees of Board functio
Slide 32: A well experienced and strong Board
1 2 Performance 3 Financial Performance 4 5 Shareholding 6 Overview Branch Network Corporate Governance Highlights & Business Profile Pattern A well experienced and strong Board Shri. S. Mahalignam | B.Com (Honours), FCA Dr N. Kamakodi | B.Tech., MBA., PhD., CAIIB Non Executive Chairman M.D. & C.E.O
Slide 33: City Union Bank Ltd. Investor Contact
CITY UNION BANK LTD. INVESTOR CONTACT Regd. Office : 149, TSR Big Street, Kumbakonam – 612001, Tamilandu. Name : K. Jayaraman, DGM Admin Office : "Narayana" No.24 B, Gandhi Nagar, Kumbakonam - 612001,Tamil Nadu. Mob : +91 9344303740 Tel : 0435-2402322, 2401622, | FAX: 0435-2431746 | www.cityunionban