Tamilnad Mercantile Bank Limited · NSE:TMB
Tamilnad Mercantile Bank — Q2 FY2024 Earnings Presentation
34 slides from Tamilnad Mercantile Bank's earnings presentation, Oct 27, 2023
Slide 1: Exchange filing cover letter
Secretarial Section Head Office, 57- V.E. Road, Thoothukudi – 628 002. ☏: 0461-2325136 e-mail : secretarial@tmbank.in CIN: L65110TN1921PLC001908 Ref.No.TMB.SE.120/2023-24 27.10.2023 The Manager, The Manager, National Stock Exchange of India Ltd, Bombay Stock Exchange limited, Exchange Plaza, 5th Flo
Slide 2: Investor Presentation
Investor Presentation Sho4 i ae RAS \E—=: Ailes
Slide 3: Disclaimer
Disclaimer This presentation has been prepared by Tamilnad Mercantile Bank Ltd., (“the Bank”) solely by the Bank for information purposes only. This presentation is not a complete description of the Bank and the information contained herein is only current as of its date and has not been verified by
Slide 4: Table of contents
Table of contents Performance Highlights Balance Sheet Key Ratios / Parameters External Ratings Asset Quality Network Expansion Business / Financial Performance 3
Slide 5: Performance Highlights Q2FY2024
Slide 6: Performance Highlights for the Quarter
Performance Highlights for the Quarter Net worth has increased to ₹7,384 crore from ₹6,461 crore Y-o-Y Book value of share has increased to ₹466 from ₹408 Y-o-Y Total Income has improved to ₹1,365 crore from ₹1,141 crore Y-o-Y Net Profit has moved to ₹274 crore from ₹262 crore Y-o-Y The RAM segment
Slide 7: Performance Highlights Q2FY24 vis-à-vis Q2FY23
Performance Highlights Q2FY24 vis-à-vis Q2FY23 Deposits 8% Advances 9% Total Business 10% Q2FY24 Q2FY24 Q2FY24 ₹47,314 Cr ₹37,778 Cr ₹85,092 Cr Q2FY23 Q2FY23 Q2FY23 ₹43,137 Cr ₹34,877 Cr ₹78,014 Cr Interest Income 20% Total Income 21% % Q2FY24 Q2FY24 ₹1,209 Cr ₹1,365 Q2FY23 Q2FY23 ₹997 Cr ₹1,141 Cr
Slide 8: Shareholders Value-Enhanced
Shareholders Value-Enhanced (₹ in Crores) (in ₹) (in ₹) NET WORTH BOOK VALUE OF SHARE EPS 7600 470 18 7400 460 7200 450 18 440 7000 430 17 6800 * 466.30 17.99 420 454.03 7384 17 17.66 6600 7190 410 437.53 17.27 6928 425.69 6400 400 16 6741 16.50 408.03 6200 6461 390 15.98 16 6000 380 5800 370 15 * C
Slide 9: Key Ratios / Parameters
Slide 10: Key Ratios / Parameters (1/2)
Key Ratios / Parameters (1/2) (₹ in Crores) (₹ in Crores) (₹ in Crores) NET PROFIT OPERATING PROFIT NET INTEREST INCOME CAPITAL ADEQUACY % 285 410 540 (NII) 280 400 275 530 270 390 28.00% 265 520 26.57% 26.26% 380 405 404 260 280 534 533 274 370 527 26.04% 255 510 389 380 262 261 250 360 514 509 253
Slide 11: Key Ratios / Parameters (2/2)
Key Ratios / Parameters (2/2) ROA % ROE % NIM % 2.20% 18.00% 17.65% 2.14% 2.15% 17.50% 4.90% 16.95% 2.10% 17.00% 4.70% 2.05% 2.03% 16.50% 2.00% 4.50% 1.89% 16.00% 1.95% 1.87% 15.50% 4.30% 1.90% 1.85% 14.81% 15.01% 14.80% 1.85% 15.00% 4.10% 1.80% 14.50% 3.90% Above figures for the quarter annualised.
Slide 12: Efficiency Ratios
Efficiency Ratios CREDIT COST % COST OF FUNDS % COST TO INCOME % 46.99% 0.90% 5.90% 5.79% 47.00% 0.85% 0.85% 46.00% 5.70% 0.80% 5.52% 0.75% 5.50% 45.00% 44.22% 0.70% 5.30% 44.00% 0.64% 43.14% 0.65% 5.10% 5.03% 43.00% 0.60% 0.55% 4.90% 42.00% 41.76% 0.50% 0.50% 4.63% 0.46% 4.70% 41.00% 0.45% 4.58% 40
Slide 13: Asset Quality
Q2FY 2024 = Asset Quality
Slide 14: NPA Sector-wise
NPA Sector-wise (₹ in Crores) Gross NPA Composition Q2FY23 Q2FY24 1.80% 600 RETAIL 49 42 1.75% 215 172 1.70% 1.70% 142 AGRI 61 70 172 500 1.70% 1.70% 127 MSME 312 317 1.65% 400 OTHERS 172 215 1.60% 1.56% TOTAL GNPA 594 644 1.55% 300 312 294 315 317 Net NPA 296 372 281 1.50% 200 1.45% 1.40% 69 1.39%
Slide 15: Slippage Ratio & Sector-wise Slippage
Slippage Ratio & Sector-wise Slippage SLIPPAGE RATIO % ON TOTAL ADVANCES 0.94% 0.82% 0.84% 0.74% 0.64% 0.54% 0.44% 0.34% 0.21% 0.27% 0.22% 0.24% 0.15% 0.14% RETAIL AGRI MSME OTHERS 9 9 25 120 200 187 104 8 21 20 100 7 150 6 6 15 15 80 5 15 63 60 5 53 11 (₹ in crores) 60 100 4 3 3 10 3 40 23 50 2 5 2
Slide 16: Movement of NPA
Movement of NPA (₹ in Crores) Particulars Q2FY23 Q3FY23 Q4FY23 Q1FY24 Q2FY24 Opening Balance of Gross NPA 572.15 593.34 591.08 521.46 580.72 i)Cash Recovery 46.41 46.64 40.00 36.47 68.56 ii)Upgradation 6.09 5.82 1.34 5.28 19.88 iii)Write Off 0.00 0.00 98.72 0.00 157.47 Total Reduction* (i+ii+iii) 52
Slide 17: SMA Bucket-wise
SMA Bucket-wise (₹ in Crores) (₹ in Crores) (₹ in Crores) (₹ in Crores) SMA 0 SMA 1 SMA 2 TOTAL SMA 2500 2203 1400 1200 5000 4331 1144 984 4500 1200 1000 2000 4000 1000 890 892 787 3500 833 800 693 2926 1500 1249 800 3000 2447 2670 1080 1144 637 600 542 2500 2110 931 475 1000 600 2000 400 1500 400 5
Slide 18: SMA Sector-wise
SMA Sector-wise (₹ in crores) (₹ in crores) (₹ in crores) (₹ in crores) SMA - RETAIL SMA - AGRI SMA - MSME SMA - OTHERS 1600 400 1800 1693 1200 1340 1600 997 1400 318 1000 1200 1106 1400 1048 300 1091 971 1200 1068 800 1000 859 226 924 888 211 1000 800 191 600 525 200 800 143 600 600 341 340 400 400
Slide 19: Stressed Assets
Stressed Assets 4.20% 4.09% 4.01% 4.00% (in %) 3.80% 3.60% 3.40% 3.21% 3.23% 3.18% 3.20% 3.00% (₹ in crores) Particulars Q2FY23 Q3FY23 Q4FY23 Q1FY24 Q2FY24 Standard Restructure 832.73 804.53 673.81 615.31 575.37 advances Gross NPA 593.34 591.08 521.46 580.72 643.84 Total Stressed Assets 1426.07 1395
Slide 20: Restructured Advances
Restructured Advances (₹ in Crores) Q-o-Q Y-o-Y Growth Growth Particulars Q2FY23 Q3FY23 Q4FY23 Q1FY24 Q2FY24 (Q2FY24 (Q2FY24 Over over Q1FY24) Q2FY23) Advances (Gross) 34876.53 34801.61 37582.11 37292.21 37778.05 1.30% 8.32% Restructured Assets 948.45 896.36 785.53 702.60 648.71 -7.67% -31.60% Of wh
Slide 21: Sector-wise Restructured Accounts
Sector-wise Restructured Accounts (₹ in Crores) Q-o-Q Y-o-Y Growth Growth Sector Q2FY23 Q3FY23 Q4FY23 Q1FY24* Q2FY24 (Q2FY24 (Q2FY24 Over over Q1FY24) Q2FY23) 1.Retail 180.42 194.14 184.82 180.01 163.62 -9.11% -9.31% 2.AGRI 43.40 19.55 17.37 35.76 26.02 -27.24% -40.05% 3.MSME 393.47 341.55 306.63 39
Slide 22: Business / Financial Performance
Tamilnad Mercantile Bank Ltd Bea step ahead in lite Q2FY Business / Financial Performance Zo 2024
Slide 23: Business Mix
Business Mix (₹ in Crores) TOTAL BUSINESS 90000 85000 85348 85092 84300 80000 75000 78242 78013 70000 65000 60000 55000 50000 DEPOSITS ADVANCES 50000 40000 47766 37778 45000 37582 35000 47314 37292 47008 34877 34802 43440 43136 40000 30000 35000 25000 30000 20000 25000 15000 20000 10000 22
Slide 24: Deposits portfolio
Deposits portfolio (₹ in Crores) Q2FY24 Q-o-Q Y-o-Y Growth Growth Business Parameters Q2FY23 Q3FY23 Q4FY23 Q1FY24 Q2FY24 (Q2FY24 (Q2FY24 Over over Q1FY24) Q2FY23) Bulk Term Deposits 10% CASA A. Retail Term 28% 26,135 25,773 28,009 28,989 29,191 0.70% 11.69% Deposits B. Bulk Term 3,809 4,816 6,021 4,
Slide 25: Advances Portfolio
Advances Portfolio (₹ in Crores) (₹ in Crores) Q-o-Q Y-o-Y Q2FY24 Growth Growth Particulars Q2FY23 Q3FY23 Q4FY23 Q1FY24 Q2FY24 (Q2FY24 (Q2FY24 Over over Q1FY24) Q2FY23) Others Gross Advances 34,877 34,802 37,582 37,292 37,778 1.30% 8.32% 3510 Retail 9% Of which 8370 22% Retail Sector 7,127 7,612 7,8
Slide 26: Financial Performance
Financial Performance 3 Months 6 Months Q-o-Q Y-o-Y Growth Growth Financial Parameters Q2FY23 Q3FY23 Q4FY23 Q1FY24 Q2FY24 (Q2FY24 (Q2FY24 H1FY23 H1FY24 Over over Q1FY24) Q2FY23) Interest Income 996.69 1012.12 1070.08 1155.89 1209.16 4.61% 21.32% 1998.84 2365.05 (₹ in Crores) Non-Interest Income 144.
Slide 27: Balance Sheet
: Yaz be Ss Balance Sheet
Slide 28: Balance Sheet
Balance Sheet (₹ in Crores) Liabilities As on As on As on As on As on 30.09.2022 31.12.2022 31.03.2023 30.06.2023 30.09.2023 Capital 158.35 158.35 158.35 158.35 158.35 Reserves and Surplus 6302.85 6582.55 6770.00 7031.23 7225.55 Deposits 43136.65 43440.86 47766.48 47008.43 47314.32 Borrowings 279.21
Slide 29: Network Expansion
: QoFY Network Expansion a 024 a
Slide 30: During the Q2, 5 new branches were opened
During the Q2, 5 new branches were opened 29
Slide 31: Strategic Partners
Strategic Partners Insurance Point of Sales Retail Term Deposits 62% 30
Slide 32: External Ratings
External Ratings CRISIL Ratings Fixed Deposits A1+ (short term) Retail Term Deposits 62% Certificate of A1+ Deposits 31
Slide 33: Awards & Accolades during the Q2FY2024
Awards & Accolades during the Q2FY2024 The Bank has secured “2nd Best Bank award” under Small Bank Category in Emerging Asia Banking awards 2022-2023 conducted by Indian Chamber of Commerce (ICC), Kolkata. Retail Term Deposits 62% 32
Slide 34: Thank You
Tamilnad Mercantile Bank Limited No. 57, Victoria Extension Road, Thoothukudi – 628 002, Tamil Nadu, India Investor Contact Mr.P.A.Krishnan, Chief Financial Officer Mob: 63852 28111 E-mail: cfo@tmbank.in Retail Term Mr.Prakash Chandra Panda, Deposits Company Secretary & Compliance Officer Mob: 96595
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