Bank Of Maharashtra · NSE:MAHABANK
Bank Of Maharashtra — Investor Presentation (March 2024)
43 slides from Bank Of Maharashtra's investor presentation, Mar 4, 2024
Slide 1: Letter to Stock Exchanges on Investor Meet Schedule
AX1/ISD/STEX/126/2023-24 Date: 4th March, 2024 The General Manager The Vice President Department of Corporate Services, Listing Department, BSE Ltd., National Stock Exchange of India Ltd., P.J Towers, Exchange Plaza, Dalal Street, Fort, Bandra Kurla Complex, Mumbai-400 001 Bandra (East), Mumbai-400
Slide 2: Investor Presentation
Digital Home Loan Concept Card - 1 INVESTOR PRESENTATION Investor Presentation October 2023 www.bankofmaharashtra.in /mahabank
Slide 3: Disclaimer
Disclaimer This presentation has been prepared for general information purposes in respect of Bank of Maharashtra (“Bank”) together with its subsidiary and associate, as applicable (together, with the Bank, the “Group”) only, without regard to any specific objectives, suitability, financial situatio
Slide 4: Disclaimer
Disclaimer This presentation includes certain industry data and projections that have been obtained from industry publications and surveys. Industry publications and surveys and forecasts generally state that the information contained therein has been obtained from sources believed to be reliable, b
Slide 5: Table of Contents
Table of Contents 1 Bank of Maharashtra Overview 6 2 Key Financial Highlights 9 3 Key Growth Strategies 34 4 Annexures 36 Strictly Private and Confidential © 2024 Bank of Maharashtra. All Rights Reserved 4
Slide 6: Abbreviations
Abbreviations Abbreviation Meaning AFS Available for Sale CASA Current Account & Savings Account CRAR Capital to Risk Weighted Asset Ratio GNPA Gross Non-Performing Asset HFT Held for Trading LCR Liquidity Coverage Ratio LAD Loan against Deposit LAP Loan against Property NII Net Interest Income NNPA
Slide 7: Bank of Maharashtra – An Overview
Bank of Maharashtra – An Overview Strictly Private and Confidential
Slide 8: Overview
Overview Shareholding Pattern Brief Snapshot Credit Rating (As of Dec`23) Founded in 1935, Bank of Maharashtra (“BoM”) has a legacy of Long Term Ratings Mutual funds/ Domestic more than 88 years (Tier II Bonds) Companies, 0.63% Individuals, UTI, 0.41% 7.53% Rating Agency: BoM has a customer base
Slide 9: Robust Banking Franchise
Robust Banking Franchise 01 Consistent improvement in financial performance 02 A relatively stable and granular RAM portfolio BoM has achieved financial turnaround over the past 3 more than half of the asset base (61% of gross years. advances)1 results in a diversified asset base with a focus Growth
Slide 10: Key Financial Highlights
Key Financial Highlights Strictly Private and Confidential
Slide 11: Business Performance
Business Performance Business Expansion Pace Continues Headroom to Further Expand CD Ratio One of the Highest CASA Share among Banks 3,00,000 25 21.23 74.81 76.78 19.84 57.85 2,50,000 18.89 66.85 53.99 53.38 20 61.87 50.19 2,00,000 14.98 15 1,50,000 10 1,00,000 5 50,000 - - Mar'21 Mar'22 Mar`23 Dec`
Slide 12: Diversified Credit Portfolio
Diversified Credit Portfolio Domestic Gross Advances – Growth driven by Corporate & MSME Advances Profile % Yield on Advances % Dec` 23 ( ₹ In Crore ) 1,88,670 1,75,120 YoY Particulars Growth1 % 26 8.85 1,35,240 39 1,07,654 Retail 22% 8.04 7.48 Agriculture 35% 14 7.29 MSME 29% 21 Retail Sector Agric
Slide 13: Stable Ratings Profile despite Challenging Environment
Stable Ratings Profile despite Challenging Environment External Rating-wise Advances – Above ₹ 25Cr ( ₹ In Crore ) Dec`22 Dec`23 Particulars No. of % of O/s No. of % of O/s O/s Amount O/s Amount Borrowers Amount Borrowers Amount Total Eligible Exposure for 416 74,223 100 435 82,483 100 External Rati
Slide 14: Asset Quality
Asset Quality Strictly Private and Confidential
Slide 15: Asset Quality – One of the lowest impaired/stressed assets in the industry
Asset Quality – One of the lowest impaired/stressed assets in the industry Rising Trend in Standard Advances Unprovided NPAs Pose Insignificant Risk to Networth 31.73 97.96 97.53 96.06 12.54 92.77 3.41 2.40 Mar'21 Mar'22 Mar`23 Dec`23 Mar'21 Mar'22 Mar`23 Dec`23 Stnd. Advances/ Gross Advance (%) NNP
Slide 16: Asset Quality – Delinquency Rate and Credit Cost
Asset Quality – Delinquency Rate and Credit Cost A Declining Trend in Delinquency Ratio Lower Delinquency Rate Leads to Lower Credit Cost 2.58 2.06 1.91 2.05 1.29 1.21 1.24 0.71 Mar`21 Mar`22 Mar`23 Dec'23 * Mar`21 Mar`22 Mar`23 Dec'23 * Provision Coverage Ratios Improve Accompanied by Fall in Net N
Slide 17: Asset Quality – Sectoral & Segmental NPA Position
Asset Quality – Sectoral & Segmental NPA Position Retail Sector - NPA ( ₹ In Crore ) MSME Sector - NPA ((₹₹ In Crore) ) In Crore Dec`23 Dec`23 Particulars Particulars Advances Sector NPA Sector NPA % Advances Sector NPA Sector NPA % Total Retail Credit 49,144 216 0.44 Total MSME Credit 39,410 1,073
Slide 18: Asset Quality – Industrial Exposures Above 1.0%
Asset Quality – Industrial Exposures Above 1.0% Funded Exposure to select industries (More than 1.0%)- Dec`23 Vehicle Loans 1.18% Chemicals & Chemical Products 1.21% Top 3 selected sectors are Infrastructure, Agriculture Transport Operators 1.25% & Allied Activites and All Engineering 1.31% Housing,
Slide 19: Restructuring Advances Well Monitored
Restructuring Advances Well Monitored ( ₹ In Crore ) Sector-wise COVID Restructuring under RP 1.0 as on 31.12.2023 RP Invoked RP Implemented Balance (as on 31.12.22) RP Implemented Balance (as on 31.12.23) % to respective % to Total % to respective % to Total Std Advance as on Sector Amount sector S
Slide 20: A Balanced Approach to Treasury Operations
A Balanced Approach to Treasury Operations Particulars ( ₹ In Crore ) Mar`21 Mar`22 Mar`23 Dec`22 (9M) Dec`23 (9M) Interest on Investments 4,153 4,385 4,267 3,170 3,362 Yield on investments 6.72 % 6.24 % 6.11 % 6.04 % 6.43% Gross Investments 68,647 69,093 69,215 68,116 67,006 M-Duration (AFS+HFT/ To
Slide 21: Diversified and Growing Liability Profile
Diversified and Growing Liability Profile Healthy Growth in Deposits Deposit Composition ( ₹ In Crore ) Dec`22 Dec`23 2,45,734 2,34,083 2,02,294 1,74,006 42% 39% 48% 50% 10% 11% Mar`21 Mar`22 Mar`23 Dec`23 CASA Term Deposits Total Deposits Savings Deposit Current Deposits Term Deposits YoY Cost of D
Slide 22: Consistent improvement in Profitability metrics
Consistent improvement in Profitability metrics Net Interest Income & NIM Operating Profit Net Profit ( ₹ In Crore ) * ( ₹ In Crore ) ( ₹ In Crore ) 2,837 3.90 6,099 3.56 * 5,796 2,602 3.48 3.15 7,237 2.84 4,848 7,741 4,244 6,044 3,960 1762 5,554 4,897 1,152 550 Mar`21 Mar`22 Mar`23 Dec`22 Dec`23 Ma
Slide 23: Capital Adequacy
Capital Adequacy Strictly Private and Confidential
Slide 24: Capital position
Capital position BoM has Stable Capital Ratios % Particulars Dec`22 Mar`23 Dec`23 18.14 16.85 16.48 RWA for Credit Risk 88,745 96,823 1,11,491 14.49 14.25 RWA for Market Risk 4,318 3,495 6,110 12.92 12.38 RWA for Operational Risk 12,299 12,299 14,537 10.98 Total RWA 1,05,361 1,12,618 1,32,139 CET I
Slide 25: Liquidity
Liquidity Strictly Private and Confidential
Slide 26: Liquidity – A fine balancing act on liquidity management
Liquidity – A fine balancing act on liquidity management LCR Position Comfortable and Above Mandatory Requirements Long-term Liquidity Position Above Mandatory Requirements 306.25 170.11 216.12 156.64 157.49 141.98 146.13 Mar`21 Mar`22 Mar`23 Dec`23* Mar`22 Mar`23 Dec`23* LCR % NSFR % BoM gradually
Slide 27: Technology & Digital Initiatives
Technology & Digital Initiatives Strictly Private and Confidential
Slide 28: Leveraging IT & Technology to build a Digital Bank
Leveraging IT & Technology to build a Digital Bank Digital initiatives of Bank of Maharashtra Tab Banking & White label WhatsApp / Door Step Online Saving Payment FASTag QUICK pay Online LAD Chatbot Banking Account Gateway Opening 1 2 3 4 5 6 7 ATM Card Base (Mio.) Digital transaction (%) UPI/BHIM T
Slide 29: New Initiatives in Digital Banking
New Initiatives in Digital Banking Internet Banking • Payment of Credit Card dues Mobile Banking • CIF based consolidated statement WhatsApp Banking • e-FD and e-RD • Open PPF Account • Reduced Beneficiary addition period • Get timely update for Re-KYC • Download forms • Enrolment of Insurance • Ins
Slide 30: New Initiatives in Information Technology
New Initiatives in Information Technology To enhance Core Technology Infra • Bank has established its own private cloud ‘NAKSHATRA’ enabling real-time allocation of infra resources for deployment of Digital Solutions. • Bank has rolled out SD-WAN (Software- defined Wide Area Network) in all its bran
Slide 31: Expanding Footprints across India
Expanding Footprints across India BoM's Population- Mar`21 Mar’`22 Mar’23 Dec`23 wise branches Metro 24% 24% 24% 24% Urban 19% 20% 22% 22% Semi Urban 23% 25% 27% 29% Rural 34% 30% 27% 25% Total Branches 1,964 2,022 2,203 2,401 Human Resource Strength* Employee Age Profile % (in Years) Staff Qualific
Slide 32: Management Team
Management Team Strictly Private and Confidential
Slide 33: Our Experienced Board Members
Our Experienced Board Members Mechanical Engineer (Hons) & MBA in Finance & Marketing. He M.Sc. Shri Rakesh Kumar was nominated as Director on the joined as Executive Director of Bank of Maharashtra on Board of Bank w.e.f. June 30, 2021. He worked as Executive 31.12.2021. He is an alumni of Indian I
Slide 34: Recent Awards
Recent Awards National MSME CA CFO – Large Best Public Awards 2022 Corporate – BFSI Sector Bank at the hands of Hon'ble awarded by ICAI Award – Prime Minister, Shri for FY 2022-23. FE India’s Best Narendra Modi. Banks Awards'23 Technology Best Innovation Winner Award in User in the BFSI Retail Bank
Slide 35: Key Growth Strategies
Key Growth Strategies Strictly Private and Confidential
Slide 36: Our Growth Strategies
Our Growth Strategies Improvement in credit quality through business and technological integration Emphasis on Retail, Agriculture, and MSME segments through collaboration (Co-lending partnership) Growth of core retail business Increase in share of wallet / No. of products per customer Strategize an
Slide 37: Annexures
Annexures Strictly Private and Confidential
Slide 38: P & L Highlights
P & L Highlights ( ₹ In Crore ) NINE MONTHS ENDED (REVIEWED) YEAR ENDED (AUDITED) PARTICULARS Dec`22 Dec`23 Y-O-Y (%) Mar`22 Mar`23 Y-O-Y (%) Total Income 12,861 17,004 32 15,672 18,179 16 Interest Income 11,403 15,028 32 13,019 15,898 22 Non-Interest Income 1,458 1,976 36 2,652 2,280 (14) Total Exp
Slide 39: Interest and Non-Interest Income
Interest and Non-Interest Income ( ₹ In Crore ) NINE MONTHS ENDED (REVIEWED) YEAR ENDED (AUDITED) Particulars Dec`22 Dec`23 Y-O-Y (%) Mar`22 Mar`23 Y-O-Y (%) Interest on Advances 8,117 11,562 42 8,232 11,486 40 Interest on Investment 3,170 3,362 6 4,385 4,267 (3) Other Interest Income 116 104 (10) 4
Slide 40: Provisions – Credit cost provision trending down
Provisions – Credit cost provision trending down ( ₹ In Crore ) NINE MONTHS ENDED (REVIEWED) YEAR ENDED (AUDITED) PARTICULARS Dec`22 Dec`23 Mar`22 Mar`23 Prov for Non-Performing Assets 1,708 1,717 2,578 2,253 Prov for Standard/Restructured Assets (394) 828 302 (114) Prov for Non-performing Investmen
Slide 41: Balance Sheet Highlights
Balance Sheet Highlights ( ₹ In Crore ) QUARTER ENDED ASSETS YEAR ENDED (AUDITED) (REVIEWED) Mar`21 Mar`22 Mar`23 Dec`23 Cash & Balance with RBI 12,882 19,722 18,508 13,512 Balances with Bank & Call Money 59 194 21 5,224 Total Investments (Net of Depreciation & 68,112 68,590 68,867 66,743 Provision)
Slide 42: Notes
Notes Strictly Private and Confidential © 2024 Bank of Maharashtra. All Rights Reserved 41
Slide 43: Thank You
Thank You www.bankofmaharashtra.in /mahabank
Bank of Maharashtra — Investor Presentation (March 2024) on 6ix