Cholamandalam Investment And Finance Co. Ltd. · NSE:CHOLAFIN

Cholamandalam Investment And Finance — Investor Presentation (June 2022)

82 slides from Cholamandalam Investment And Finance's investor presentation, June 2022

  1. Slide 1: Corporate Presentation - June 2022

    CORPORATE PRESENTATION - JUNE 2022

  2. Slide 2: Table of Contents

    Table of Contents 1. Group overview 2. Corporate 3. Financial 4. Business overview performance segments' overview 5. Funding profile 6. Subsidiaries 7. Environmental 8. Risk performance Social Governance management 2

  3. Slide 3: Murugappa Group Overview

    Murugappa Group Overview 3

  4. Slide 4: Murugappa Group in a Nutshell

    Murugappa Group in a Nutshell Consolidated Group Market 122 Years of $7.0 $23.0 Turnover cap (as on Years Existence B B (FY22) 30th Jun 2022) Listed 3 Sectors 29 Businesses 10 Companies 40 Geographical 105 Manufacturing 53,000+ Work force Countries Presence Locations Locations 4

  5. Slide 5: Murugappa Group Overview

    Murugappa Group Overview Murugappa Group Agriculture Engineering Financial services Market Cap(Cr.) 37,400 49,093 62,139 Turnover (Cr.) 23,431 8,432 15,049 PAT(Cr.) 1,788 1,341 2,305 Market Cap(Cr.) 26,711 9,384 14,488 31,260 50,908 NA 11,875 Turnover (Cr.) 19,068 4,363 3,290 15350 10,141 4.824 84 P

  6. Slide 6: Corporate Overview

    eB) PY © a O ok i O UO = ov fe © > O

  7. Slide 7: Spirit of Murugappa

    SPIRIT OF MURUGAPPA “The fundamental principle of economic activity is that no man you transact with will lose, then you shall not." 7

  8. Slide 8: Cholamandalam Investment & Finance Company Limited

    Cholamandalam Investment & Finance Company Limited 19.8 lakh + customers 35,841 employees Helping customers enter better life Experienced team to serve more customers 2 lakh customers in year 2000 to 19.8 lakh plus customers till date 200 plus employees in year 2000 to 35,000+ employees today Rs. 86

  9. Slide 9: Our journey so far

    Our journey so far FY 2021-22 FY 2022-23 FY 2020-21 2023 • Increased FY 2015-20 2016 2022 branch network • GNPA recognition at 120 days 2021 • Reaffirmed as to 1148. • AUM crossed ₹30K Cr. • AUM crossed ₹69k Cr. constituent of • Increased • New LEAP LOS Digital platform • Increased branch FTSE4Good

  10. Slide 10: Highlights – Q1FY23

    Highlights – Q1FY23 ▪ Highest quarterly disbursement in the history of Chola at Rs.13,329 crores which is a growth of 267% as compared to Q1FY22. ▪ Business AUM growth of 21% YoY at Rs.81,925 crores. Overview ▪ PBT at Rs.762 crores which is a growth of 73% as compared to Q1FY22. ▪ PBT - ROTA stood a

  11. Slide 11: Highlights – Q1FY23

    Highlights – Q1FY23 ▪ Focused on providing Home Loans under affordable segment with presence across 244 branches PAN India. HL ▪ 89% of assets are in tier 2,3,4 cities and suburbs of tier 1 cities ▪ Delivered disbursements of Rs.478 Cr in Q1 of FY 23 (140% growth) as compared to Q1FY22. ▪ PBT stood

  12. Slide 12: Ecosystem Play in the MSME Sector

    Ecosystem Play in the MSME Sector Larger enterprises largely focused by Banks Large SME Focused by via SME business since the last 5 years Medium (SENP) Focused by via LAP business since the last 15 years Small (SENP & SEP) Focused by via CSEL business | New Business Mini (SENP) Focused by via SBPL|

  13. Slide 13: Shareholding

    Shareholding Shareholding Pattern Institutional Holders (More than 1%) Corporate Top Domestic Institutional Holding Bodies Mutual 3% • Axis Mutual Fund Funds 20% • HDFC Mutual Fund • SBI Mutual Fund • Birla Sun Life Mutual Fund • DSP Mutual Fund Public 7% • UTI Mutual Fund Promoters' • HDFC Life Ins

  14. Slide 14: Business Profile and AUM as on 30th Jun 2022

    Business Profile and AUM as on 30th Jun 2022 Business AUM Rs. 81,925Cr Vehicle Finance LAP Home Loan New Business Rs. 55,376Cr Rs. 18,116Cr Rs. 5,497Cr Rs. 2,937Cr 69% 22% 7% 2% SBPL 2% Used Resale 13% Vehicles BT 4% HCV 7% Commercial 27% Top-Up 16% 1% Tractor LCV 21% Builder CSEL 46% 10% Purchase -

  15. Slide 15: Strong Geographical Presence

    Strong Geographical Presence Jammu & Kashmir (5) Punjab (23) Himachal Pradesh (17) 1145 1148 1137 Chandigarh (2) Uttarakhand (16) Haryana (34) 1091 Sikkim (1) Arunachal Delhi (5) Pradesh (1) Assam (25) FY20 FY21 FY22 Q1FY23 Rajasthan (83) UP (73) Meghalaya (3) Bihar (44) Gujarat Mizoram (1) 27% 26%

  16. Slide 16: Financial Performance

    Financial Performance Petey GMT SM ) Daan if Fi, ld Wh “sath Hn" | uA ot (Wied ig wir

  17. Slide 17: Financial Snapshot — 10 Years

    Financial Snapshot —10 Years 17 • Capital Infusion • Spurt in GNPA in FY20 and FY 21 was due to Covid and in FY 22 was due to new RBI norms on NPA

  18. Slide 18: Disbursements

    Disbursements Disbursements (₹Cr) Disbursements (%) * 35,490 2% 2% 7% 6% 2,618 5% 16% 6% 4% 5% 1,571 * 29,091 13% 14% 11% 4% 537 17% 1,505 * 26,043 5,862 624 16% 3,662 1,542 3,627 80% 78% 78% 25,439 * 13,329 72% 23,387 2,121 64% 20,249 * 3,635 478 2,169 204 199 386 8,562 2,846 FY20 FY21 FY22 Q1 FY22

  19. Slide 19: Assets Under Management

    Assets Under Management Business - Assets under Management (₹Cr) Business - Assets under Management (%) * 81,925 * 76,907 2,937 1,642 5,497 * 69,996 * 67,821 0% 458 5,269 1% 2% 1% 4% 502 5% 7% 4,345 6% 7% 7% * 60,549 4,402 18,116 258 17,115 3,125 21% 21% 21% 14,777 22% 21% 14,513 12,960 52,881 55,37

  20. Slide 20: Profitability and Net worth

    Profitability and Net worth Profit after tax (₹Cr) Networth (₹Cr) *12,316 *11,708 164 164 2147 *9,887 *9,560 164 164 *8,172 164 1515 12,152 11,543 1052 9,723 9,396 8,008 566 327 FY20 FY21 FY22 Q1 FY22 Q1 FY23 FY20 FY21 FY22 Q1 FY22 Q1 FY23 Reserves and Surplus Equity Share Capital * Total Networth 2

  21. Slide 21: Asset Ratios

    Asset Ratios Net Income Margin (%) Expenses Ratio (%) 8.0% 2.8% 2.8% 7.9% 7.7% 2.6% 7.3% 6.9% 2.3% 2.1% FY20 FY21 FY22 Q1 FY22 Q1 FY23 FY20 FY21 FY22 Q1 FY22 Q1 FY23 Loan Losses & Provisions (%) ROA - PBT (%) 3.1% 3.9% 3.7% 3.0% 2.7% 2.0% 2.5% 1.6% 1.5% 1.2% FY20 FY21 FY22 Q1 FY22 Q1 FY23 FY20 FY21

  22. Slide 22: Shareholders' Returns Ratios

    Shareholders’ Returns Ratios Return on equity (%) Earnings per share (₹) 20.4% 18.9% 27.6 26.2 16.9% 15.2% 13.5% 18.5 16.0 13.4 FY20 FY21 FY22 Q1 FY22 Q2 FY23 FY20 FY21 FY22 Q1 FY22 Q1 FY23 P/E Ratio P/BV Ratio 32.1 5.0 30.2 4.8 27.5 4.3 4.1 22.4 11.4 1.5 FY20 FY21 FY22 Q1 FY22 Q1 FY23 FY20 FY21 FY2

  23. Slide 23: Profit and Loss Statement (As per IND AS)

    Profit and Loss Statement (As per IND AS) ₹ Cr Growth % Particulars Q1FY22 Q1FY23 FY22 Q1-o-Q1 Disbursements 3,635 13,329 267% 35,490 Closing Assets 75,763 86,703 14% 82,904 (Managed) Operating Income 2,478 2,771 12% 10,139 Finance Charges 1,104 1,131 2% 4,299 Net Income 1,374 1,640 19% 5,840 Expens

  24. Slide 24: Balance Sheet (As per IND AS)

    Balance Sheet (As per IND AS) Particulars Jun-21 Mar-22 Jun-22 ₹ Cr ASSETS Financial Assets 72,981 81,081 86,235 Cash and Bank balance 6,696 4,220 3,850 Derivative financial instruments 89 187 206 Receivables 61 128 124 Loans 63,966 74,149 79,475 Investments 1,631 2,076 2,284 Other Financial Assets

  25. Slide 25: Stagewise Assets & Provision Summary

    Stagewise Assets & Provision Summary ₹ Cr Mar-22 Mar-22 Mar-22 Jun-22 Jun-22 Jun-22 Mar-22 Mar-22 Mar-22 Jun-22 Jun-22 Jun-22 Mgt Mgt Mgt Mgt Particulars Normal Total Normal Total Normal Total Normal Total Overlay Overlay Overlay Overlay INR Cr INR Cr INR Cr INR Cr INR Cr INR Cr % to GA % to GA % to

  26. Slide 26: Stagewise ECL Summary – Jun 22

    Stagewise ECL Summary – Jun 22 Normal Total Normal Total Mgmt Mgmt Particulars Asset Model Overlay Provn NNPA Asset Model Overlay Provn NNPA Rs in Cr % Stage 1A (A ) 72,463 369 - 369 72,094 88.51% 0.51% - 0.51% 88.06% Stage 1B (B ) 244 12 - 12 232 0.30% 4.99% - 4.99% 0.28% Total Stage 1 (C ) 72,707

  27. Slide 27: Stage 3 Assets Product-wise

    Stage 3 Assets Product-wise Closing Gross Stage 3 ECL Provision Net Net Asset Class Asset Stage 3 Asset % Provision Coverage Stage 3 Stage 3% Jun'22 81,869 3,408 4.16% 1,387 40.69% 2,021 2.47% VF 56,550 2,225 3.93% 951 42.73% 1,274 2.25% LAP 16,746 987 5.90% 349 35.33% 638 3.81% HL 5,574 154 2.77% 7

  28. Slide 28: Chola – Stage 3 Assets Trend

    Chola –Stage 3 Assets Trend Chola 44.27% 43.52% 42.93% 12.00% 41.52% 41.62% 40.69% 39.67% 38.80% 40.00% 10.00% 36.45% 35.51% 8.00% 35.00% 6.79% 6.16% 5.85% 6.00% 2.41% 30.00% 2.24% 4.37% 4.16% 3.80% 3.75% 3.96% 2.27% 4.00% 3.34% 2.98% 1.73% 1.58% 1.63% 1.75% 1.39% 25.00% 1.28% 4.38% 1.69% 2.00% 3.91

  29. Slide 29: Business Overview

    Business Overview 29

  30. Slide 30: Vehicle Finance

    Vehicle Finance

  31. Slide 31: Vehicle Finance: Q1 FY23 Performance

    Vehicle Finance: Q1 FY23 Performance • Disbursements grew by 201% in Q1FY23 at Rs.8,562 crores as Disbursements compared to Rs.2,846 crores in Q1FY22. Assets under • AUM have grown by 14% YoY management Loss and • Loan losses improved to 2.1% in Q1FY23 from 3.8% in Q1FY22. provisions • PBT grew by 8

  32. Slide 32: Sector outlook – Vehicle Finance business (1/3)

    Sector outlook – Vehicle Finance business (1/3) Sector Outlook Chola’s Position ▪ The Light commercial vehicle segment had a growth ▪ Increased demand for Light commercial vehicle will of 104% in Q1 FY’23. This is due to low base effect of help us garner higher volumes, however we will be the corres

  33. Slide 33: Sector outlook – Vehicle Finance business (2/3)

    Sector outlook – Vehicle Finance business (2/3) Sector Outlook Chola’s Position ▪ The Passenger vehicle (Car & MUV) segment had a ▪ Our focus continues to be on retail customers growth of 41% in Q1 FY’23 due to improvement in especially in smaller towns and rural areas. We will semiconductor supplie

  34. Slide 34: Sector outlook – Vehicle Finance business (3/3)

    Sector outlook – Vehicle Finance business (3/3) Sector Outlook Chola’s Position ▪ The Construction Equipment segment had a growth ▪ Our exposure in this segment is around 6% at a of 61% in Q1 FY’23 due to a predominantly low base portfolio level and our focus will be on building a in Q1 of last year

  35. Slide 35: Auto Industry Outlook

    Auto Industry Outlook Trend in Domestic LCV Sales Trend in Domestic SCV Sales (in Units) Chola @ 144% (in Units) 1,10,301 Chola @ 127% 62,541 1,06,865 1,08,688 54,819 52,705 CAGR @ 10% CAGR @ 10% 104% 54,037 25,134 20,526 7,355 Q1 FY'20 Q1 FY'21 Q1 FY'22 Q1 FY'23 YTD Mar'27 (E) Q1 FY'20 Q1 FY'21 Q1

  36. Slide 36: Auto Industry Outlook

    Auto Industry Outlook Trend in Domestic HCV Sales Trend in Domestic Car & MUV Sales (in Units) (in Units) Chola @ 263% Chola @145% 60,905 62,340 10,43,366 41% 51,131 143% 9,11,032 CAGR @ 10% CAGR @ 20% 7,08,179 6,47,848 25,053 1,53,861 3,628 Q1 FY'20 Q1 FY'21 Q1 FY'22 Q1 FY'23 YTD Mar'27 (E) Q1 FY'2

  37. Slide 37: Vehicle Finance—Business Model & Positioning

    Vehicle Finance—Business Model & Positioning CV PV Low Industry Low Low Industry Low Chola Position Chola Position Principal Operator Salaried > 50 Vehicles Large Operators 26- 50 vehicles HCV Self Employed with Returns Returns Financials RISK RISK Medium Operators 10 -25 – HCV & LCV vehicles Taxi a

  38. Slide 38: Vehicle Finance—Business Model & Positioning

    Vehicle Finance—Business Model & Positioning Tractor CE Low Industry Low Low Industry Low Chola Position Super Strategic Chola Position Large Farmer Strategic Customer Captive Users / Prior Vehicles Captive Users/Prior Vehicles Returns Returns Medium Retail operator RISK RISK Medium Farmers Small Re

  39. Slide 39: Vehicle Finance - Disbursement/Portfolio Mix – Q1FY23

    Vehicle Finance - Disbursement/Portfolio Mix – Q1FY23 Well diversified across geography Disbursements - State wise Portfolio - State wise MP AP AP MP Karnataka Karnataka Maharashtra Maharashtra 6% 5% Kerala Kerala 6% 5% 7% 6% Puducherry 10% Puducherry 10% Gujarat 4% 5% Telangana Gujarat 0% Telangana

  40. Slide 40: Vehicle Finance - Disbursement/Portfolio Mix – Q1FY23

    Vehicle Finance - Disbursement/Portfolio Mix – Q1FY23 Well diversified product segments Disbursements (₹Cr) - Product wise Portfolio (₹Cr) - Product wise HCV 3 Wheeler 3 Wheeler CE 0.3% HCV CE 1% 6% 6% 9% 6% 2 Wheeler 2 Wheeler LCV 8% 4% 19% LCV 21% MUV Used Vehicles 9% Used Vehicles 27% 29% MUV 7%

  41. Slide 41: Vehicle Finance - Disbursement Mix – Quarter-wise

    Vehicle Finance - Disbursement Mix – Quarter-wise Disbursement (₹Cr) - Product wise Disbursement (%) – Product wise * 8,785 * 8,562 572 502 6% 6% 6% 7% 6% * 7,647 664 556 4% 5% 5% 8% 6% 447 333 * 6,161 1,579 1,595 18% 19% 17% 18% 19% 1,332 397 279 590 8% 7% 780 8% 7% 9% 569 1,158 838 10% 956 12% 10%

  42. Slide 42: Vehicle Finance - Portfolio Mix – Quarter-wise

    Vehicle Finance - Portfolio Mix – Quarter-wise Portfolio (₹Cr) - Product wise Portfolio (%) – Product wise * 55,376 * 52,881 * 50,675 3,557 6% 6% 6% 6% 6% * 49,285 Low Yield * 48,403 3,395 3,189 4,000 9% 9% 8% 7% 7% 2,982 3,083 3,914 3,937 4,560 4,313 11,630 21% 21% 21% 21% 21% 10,995 10,568 Medium

  43. Slide 43: Vehicle Finance - Disbursements and Asset Under Management

    Vehicle Finance - Disbursements and Asset Under Management Disbursements (₹Cr) Assets under management (₹Cr) *55,376 *52,881 547 25,439 *50,415 693 23,387 1,479 *48,403 *44,206 1,295 20,249 2,056 54,829 52,187 48,937 47,108 42,150 8,562 2,846 FY20 FY21 FY22 Q1 FY22 Q1FY23 FY20 FY21 FY22 Q1 FY22 Q1 F

  44. Slide 44: Vehicle Finance - Income and Profit before tax

    Vehicle Finance - Income and Profit before tax Income (₹Cr) Profit before tax (₹Cr) 7,721 7,440 2,054 6,624 1,287 945 1,916 2,013 480 258 FY20 FY21 FY22 Q1 FY22 Q1 FY23 FY20 FY21 FY22 Q1 FY22 Q1 FY23 44

  45. Slide 45: Vehicle Finance - Asset Ratios

    Vehicle Finance - Asset Ratios Net Income Margin (%) Expense Ratio (%) 3.3% 3.3% 8.8% 8.9% 8.5% 3.0% 7.8% 2.7% 7.2% 2.6% FY20 FY21 FY22 Q1 FY22 Q1 FY23 FY20 FY21 FY22 Q1 FY22 Q1 FY23 Loan Losses & Provisions (%) ROA - PBT (%) 3.8% 4.1% 3.6% 2.5% 2.7% 2.1% 1.9% 2.2% 2.1% 1.4% FY20 FY21 FY22 Q1 FY22 Q

  46. Slide 46: Profit and Loss Statement - Vehicle Finance (Managed)

    Profit and Loss Statement - Vehicle Finance (Managed) ₹ Cr Growth % Particulars Q1FY22 Q1FY23 FY22 Q1-o-Q1 Disbursements 2,846 8,562 201% 25,439 Closing Assets 48,403 55,376 14% 52,881 (Managed) Operating Income 1,916 2,013 5% 7,721 Finance Charges 875 811 -7% 3,290 Net Income 1,041 1,202 15% 4,431

  47. Slide 47: Profit and Loss Statement - Vehicle Finance (On Book)

    Profit and Loss Statement - Vehicle Finance (On Book) ₹ Cr Growth % Particulars Q1FY22 Q1FY23 FY22 Q1-o-Q1 Disbursements 2,846 8,562 201% 25,439 Closing Assets (On B/S) 47,108 54,829 16% 52,187 Operating Income 1,876 1,992 6% 7,578 Finance Charges 847 798 -6% 3,202 Net Income 1,028 1,194 16% 4,376 E

  48. Slide 48: Loan Against Property

    CO eee ets Loan Against Property

  49. Slide 49: Loan Against Property – Q1 FY23 Performance

    Loan Against Property – Q1 FY23 Performance • Disbursements grew by 462% in Q1FY23 at Rs.2,169 crores as Disbursements compared to Rs.386 crores in Q1FY22. Asset under • AUM have grown by 25% YoY. management Loss and provisions • Loan losses improved to -0.1% in Q1FY23 from 2.1% in Q1FY22. Profit be

  50. Slide 50: Loan Against Property: Industry outlook

    Loan Against Property: Industry outlook Sector Outlook Chola’s Position • The Overall portfolio of NBFC credit is expected to • Chola’s LAP business has witnessed strong growth grow at 11-12% during this fiscal and the overall during Q1 with the highest ever disbursements outstanding book of NBFCs i

  51. Slide 51: Loan Against Property - Disbursements and Asset Under Management

    Loan Against Property - Disbursements and Asset Under Management Disbursements (₹Cr) Assets under Management (₹Cr) * 18,116 * 17,115 5,862 1,418 * 14,777 1,544 * 14,513 * 12,960 2,062 1,961 2,425 3,662 3,627 16,699 15,571 462% 2,169 12,716 12,552 10,536 386 FY20 FY21 FY22 Q1 FY22 Q1 FY23 FY20 FY21 F

  52. Slide 52: Loan Against Property – Income and Profit before tax

    Loan Against Property – Income and Profit before tax Income (₹Cr) Profit before tax (₹Cr) 1,827 1,642 475 1,479 306 244 207 518 432 65 FY20 FY21 FY22 Q1 FY22 Q1 FY23 FY20 FY21 FY22 Q1 FY22 Q1 FY23 52

  53. Slide 53: Loan Against Property – Asset Ratios

    Loan Against Property – Asset Ratios Net Income Margin (%) Expenses Ratio (%) 5.8% 1.2% 1.2% 5.0% 1.1% 4.7% 4.3% 1.0% 3.8% 0.8% FY20 FY21 FY22 Q1 FY22 Q1 FY23 FY20 FY21 FY22 Q1 FY22 Q1 FY23 Loan Losses & Provisions (%) ROA - PBT (%) 4.7% 2.1% 3.0% 1.1% 2.2% 2.0% 1.8% 0.7% 0.7% -0.1% FY20 FY21 FY22 Q

  54. Slide 54: Profit and Loss Statement - Loan Against Property (Managed)

    Profit and Loss Statement - Loan Against Property (Managed) ₹ Cr Growth % Particulars Q1FY22 Q1FY23 FY22 Q1-o-Q1 Disbursements 386 2,169 462% 5,862 Closing Assets 14,513 18,116 25% 17,115 (Managed) Operating Income 432 518 20% 1,827 Finance Charges 261 263 1% 1,054 Net Income 171 256 49% 773 Expense

  55. Slide 55: Profit and Loss Statement - Loan Against Property (On Book)

    Profit and Loss Statement - Loan Against Property (On Book) ₹ Cr Growth % Particulars Q1FY22 Q1FY23 FY22 Q1-o-Q1 Disbursements 386 2,169 462% 5,862 Closing Assets (On B/S) 12,552 16,699 33% 15,571 Operating Income 378 468 24% 1,593 Finance Charges 221 233 5% 900 Net Income 158 236 49% 693 Expenses 3

  56. Slide 56: Home Loans

    Home Loans

  57. Slide 57: Home Loans – Q1 FY23 Performance

    Home Loans – Q1 FY23 Performance • Disbursements grew by 140% in Q1FY23 at Rs.478 crores as Disbursements compared to Rs.199 crores in Q1FY22. Asset under • AUM have grown by 25% YoY. management Loss and provisions • Loan losses improved to 0.4% in Q1FY23 from 1.9% in Q1FY22. Profit before tax • PBT

  58. Slide 58: Home Loans - Industry outlook

    Home Loans - Industry outlook Sector Outlook Chola’s Position • Revival of demand was witnessed in Q1 FY23 and is • Chola is expanding its geographical footprint expected to sustain in remaining quarters of FY23. especially in the North, East & West Zones and deepening footprint in South to augment

  59. Slide 59: Home Loans - Disbursements and Asset Under Management

    Home Loans - Disbursements and Asset Under Management Disbursements (₹Cr) Assets under Management (₹Cr) *5,497 *5,269 500 527 *4,345 *4,402 1,542 1,571 620 602 1,505 *3,125 677 4,997 4,742 3,726 3,801 2,449 478 199 FY20 FY21 FY22 Q1 FY22 Q1 FY23 FY20 FY21 FY22 Q1 FY22 Q1 FY23 On Book Assigned * Tota

  60. Slide 60: Home Loans - Income and Profit before tax

    Home Loans - Income and Profit before tax Income (₹Cr) Profit before tax (₹Cr) 671 215 519 357 112 87% 77 189 154 64 41 FY20 FY21 FY22 Q1 FY22 Q1 FY23 FY20 FY21 FY22 Q1 FY22 Q1 FY23 60

  61. Slide 61: Home Loans – Asset Ratios

    Home Loans – Asset Ratios Net Income Margin (%) Expenses Ratio (%) 8.3% 2.8% 7.6% 7.3% 2.4% 7.0% 2.2% 2.1% 6.1% 1.6% FY20 FY21 FY22 Q1 FY22 Q1 FY23 FY20 FY21 FY22 Q1 FY22 Q1 FY23 Loan Losses & Provisions (%) ROA - PBT (%) 1.9% 5.8% 1.5% 4.5% 3.8% 0.9% 3.1% 0.8% 2.5% 0.4% FY20 FY21 FY22 Q1 FY22 Q1 FY

  62. Slide 62: Profit and Loss Statement - Home Loans (Managed)

    Profit and Loss Statement - Home Loans (Managed) ₹ Cr Growth % Particulars Q1FY22 Q1FY23 FY22 Q1-o-Q1 Disbursements 199 478 140% 1,571 Closing Assets 4,402 5,497 25% 5,269 (Managed) Operating Income 154 189 23% 671 Finance Charges 74 78 6% 308 Net Income 80 111 39% 363 Expenses 18 29 61% 105 Net Cre

  63. Slide 63: Profit and Loss Statement - Home Loans (On Book)

    Profit and Loss Statement - Home Loans (On Book) ₹ Cr Growth % Particulars Q1FY22 Q1FY23 FY22 Q1-o-Q1 Disbursements 199 478 140% 1,571 Closing Assets (On B/S) 3,801 4,997 31% 4,742 Operating Income 136 169 25% 600 Finance Charges 62 68 10% 262 Net Income 74 101 38% 338 Expenses 18 29 61% 105 Net Cre

  64. Slide 64: Funding Profile

    ih onda (CCT Corres tana

  65. Slide 65: CAR and Credit Rating

    CAR and Credit Rating Capital Adequacy Ratio (CAR) – As per RBI guideline Tier I Tier II 20.69 19.62 19.07 19.15 17.36 5.41 3.93 3.13 2.90 4.92 15.28 15.14 16.49 16.25 12.44 FY19 FY20 FY21 FY22 Q1FY23 Minimum CAR Stipulated by RBI is 15% & for Tier I is 10% Credit Rating Loan type India ratings Care

  66. Slide 66: Diversified Borrowings Profile (I/II)

    Diversified Borrowings Profile (I/II) Borrowing mix by instrument type (₹Cr) * 63,197 * 62,309 * 65,806 * 69,174 * 73,929 4% 5% 7% 7% 2% 7% 2% 2% 2% 2% 6% 5% 6% 5% 6% 6% 6% 7% 2% 4% 7% 2% 3% 2% 2% 15% 17% 14% 14% 14% 58% 55% 57% 61% 58% 6% 7% 6% 6% 5% Q1FY22 Q2FY22 Q3FY22 Q4FY22 Q1FY23 Tier II Capit

  67. Slide 67: Diversified Borrowings Profile (I/II)

    Diversified Borrowings Profile (I/II) Borrowing mix by investor type (₹Cr) * 63,197 * 62,309 * 65,806 * 69,174 * 73,929 6% 6% 5% 5% 6% 2% 4% 2% 3% 3% 2% 2% 2% 2% 3% 2% 5% 6% 6% 7% 66% 66% 67% 63% 69% 1% 1% 1% 1% 5% 1% 4% 4% 4% 4% 11% 11% 9% 11% 8% 3% 2% 3% 3% 4% Q1FY22 Q2FY22 Q3FY22 Q4FY22 Q1FY23 Tr

  68. Slide 68: ALM Statement as of 30th Jun 2022 (As per IND AS)

    ALM Statement as of 30th Jun 2022 (As per IND AS) (₹Cr) ALM snapshot as on 30th Jun 2022 Particulars 1m >1 to 2m >2 to 3m >3 to 6m >6m to 1 yr >1 to 3 yr >3 to 5 yr >5 yr Total Cash & Bank Balances 3,361.54 - 21.68 196.38 - - - 1,533.41 5,113.00 Advances 3,913.09 2,557.50 5,200.49 8,421.64 13,213.01

  69. Slide 69: Consolidated Financials

    Consolidated Financials 69

  70. Slide 70: Consolidated Profit & Loss

    Consolidated Profit & Loss (₹Cr) Growth % Particulars Q1FY22 Q1FY23 Q1-o-Q1 FY22 Income 2,493 2,796 12% 10,232 Expenses (2,049) (2,032) -1% (7,324) PBT 444 764 72% 2,908 PAT 329 562 71% 2,158 70 Note: Above financials includes Chola Sec, Chola Home Finance, Paytail and Payswiff.

  71. Slide 71: Environmental Social Governance

    Environmental Social Governance 71

  72. Slide 72: Awards & Accolades

    Awards & Accolades • FTSE Russell - Included in FTSE4 Good Index series FY21 FY22 • FTSE Russell - Reaffirmed as constituent of FTSE4Good Index Series in June 2021. • FTSE Russell - Reaffirmed as constituent of FTSE4Good Index Series in June 2022. FY 23 • CRISIL ESG rating – STRONG 72 Note: For more

  73. Slide 73: Risk Management

    Risk Management 73

  74. Slide 74: Risk Governance Structure

    Risk Governance Structure ▪ Oversee the entire risk management process Board of Directors ▪ Formed in 2007-08 ▪ Meet four times in a year Risk Management ▪ Periodic review of framework, Committee process, key risk movement and other initiatives Executive Director ▪ Review the risk management process

  75. Slide 75: Key Functions of Risk Management Division

    Key Functions of Risk Management Division • Identify key risks in each function/business • Assess the risks in terms of probability of occurrence and their impact • Identify mitigation/ risk controls put in place by respective process champions • Identify key risk indicators to measure and monitor r

  76. Slide 76: ERM as Value Centre in Business Processes

    ERM as Value Centre in Business Processes • ERM works with business teams on the overall customer life cycle management Active portfolio Identifying segments & management and channels risk profiles prioritization for collection efforts Underwriting models to Customer retention optimally onboard risk

  77. Slide 77: ERM as Value Centre in Corporate Processes

    ERM as Value Centre in Corporate Processes • Periodic engagement with internal audit team to incorporate key observations on process failures identified by IA team which will be considered as part of risk review process. ERM also gives risk based inputs to internal audit team to plan and prioritize

  78. Slide 78: Information Technology

    Information Technology 78

  79. Slide 79: Technology Updates

    Technology Updates Technology Infrastructure Digital Engagement & Application Platform Provide resilient & scalable environment Deliver seamless digital experience for all • Continue wider usage of hybrid cloud solutions and adopt • New Digital services for online partnerships as well as assisted cl

  80. Slide 80: Contact us

    Contact us Cholamandalam Investment and Finance Company Limited (Chola), Dare House 1st Floor, No. 2, NSC Bose Road, Parrys, Our registered Chennai 600001. office Toll free number: 1800-200-4565 (9 AM to 7 PM) Land Line: 044–3000 7172 http://www.cholamandalam.com Sujatha P-Sr. Vice President & Compa

  81. Slide 81: Disclaimer

    Disclaimer • Certain statements included in this presentation may be forward looking statements made based on management’s current expectations and beliefs concerning future developments and their potential effects upon Cholamandalam Investment and Finance Company Ltd and its subsidiaries. There can

  82. Slide 82: Thank You

    & Chola a6 Enter a better life murugappa THANK YOU Dare House, No. 2, N.S.C. Bose Road, Parrys, Chennai - 600001., Phone : 044 4090 7172; Fax : 044 2534 6464, E-mail : customercare@chola.murugappa.com | Website : www.cholamandalam.com Cholamandalam Investment and Finance Company Limited

Cholamandalam Investment and Finance Company — Investor Presentation (June 2022) on 6ix