Can Fin Homes Ltd. · NSE:CANFINHOME
Can Fin Homes — Q3 FY25 Earnings Presentation
37 slides from Can Fin Homes's earnings presentation, Jan 18, 2025
Slide 1: Submission of Investor Presentation - Post Q3 FY25 Results
CAN FIN HOMES LIMITED Registered Office No. 29/1, 1st Floor, Sir M N Krishna Rao Road Near Lalbagh West Gate, Basavanagudi Bengaluru – 560 004 Tel: 080-48536192; Fax: 26565746 e-mail: compsec@canfinhomes.com Web: www.canfinhomes.com CIN – L85110KA1987PLC008699 CFHRO SE CS LODR 17/2025 January 18, 20
Slide 2: Investor Presentation Q3FY25
Investor Presentation Q3FY25 Reinforce. Rebuild. Reach Higher. 37 years of vision, passion and progress January 2025 Offering home loans since 1987….. and it is just a beginning
Slide 3: Legacy Focus Reach
Legacy Focus Reach • 37 year old • To promote home • Headquartered institution registered ownership across in Bengaluru as a deposit taking India, with a motto HFC with NHB of friendship • Pan-India presence finance and good with 201 branches, • Promoted by Canara service 18 Affordable Bank in the y
Slide 4: Milestones since 1987
ET Edge 2015 Promising 2021 Brand Award to Can Fin Homes Ltd. 1989 11 more branches Rights issue of CFHL are added, including – mCap over New Delhi 1991 Loan book crossed Rs. 1000 Cr Rs. 100 Cr Successful completion of 35 Years Loan book over 2016 100th branch at Begur, Rs. 10000 Cr 2019 2022 1987 F
Slide 5: Company will continue its thrust on growth, asset quality, profitability and liquidity
• Company will continue its thrust on growth, asset quality, • Company intends to evolve further • Expansion of sourcing channels to profitability and liquidity. with the help of technology, duly attract different segments of • Unwavering focus on good keeping abreast with the changes in borrowers,
Slide 6: Key strengths
II • Consistent management support and guidance from the sponsor - Canara Bank. • Expertise gained over 37 years in housing 1989 finance. • Eminent personalities with rich experience on the Board • Quick, hassle free and customer friendly lending process. • Transparent and timely updation to stakeho
Slide 7: Credit ratings as on 31/12/2024
Position as on 31/12/2024 Borrowings CARE ICRA IND Ra Term Loans (Long Term Loan) AAA/Stable AAA/Stable Term Loans (Short Term Loan) A1+ NHB Borrowings AAA/Stable Commercial Papers (CPs) A1+ A1+ Non-Convertible Debentures (NCDs) AAA/Stable AAA/Stable AA+/Stable Public Deposits AAA/Stable www.canfinh
Slide 8: Board of Directors
Chairman (Promoter) Managing Director & CEO Director (Promoter) Director (Independent) Director (Independent) Director (Independent) Director (Independent) Director (Independent Deputy Managing Director (w.e.f 29/04/2024) www.canfinhomes.com 7
Slide 9: Senior management
Chief Financial Officer General Manager Company Secretary Total Exp: 16 Years Total Exp: 30 Years Total Exp: 21 Years Service in Can Fin - 2 Year Service in Can Fin – 30 Years Service in Can Fin – 1 Year Chief Compliance Officer Project Implementation Head Chief Risk Officer Total Exp: 34 Years Tota
Slide 10: Consistency in Performance over the years
PAT GNPA 800 750 1.00% 0.91% 700 0.90% 0.82% 621 0.76% 0.80% 600 0.70% 0.62% 0.64% 500 456 470 0.60% 0.55% 374 400 0.50% 0.43% 287 297 300 235 0.40% 200 157 0.30% 0.21% 86 0.17% 0.19% 0.20% 100 0.10% 0 0.00% FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY
Slide 11: Loan process: lead generation to disbursement
Lead Generation Through Website, Customer Referral, Direct marketing and DSA channel. Due Diligence CKYC-UIDAI linked verification; Bank account verification through PERFIOS; Field verification of residence, employment, property in each proposal; Online PAN verification; Online ITR verification; CER
Slide 12: Loan process: documentation to monitoring
Documentation Pre-filled System Generated documents - ready for Execution. Storage of Loan Centralised Document Storage. Dockets Collection Through E -NACH, Salary deduction. Option for online Payment. Monitoring Data mining for EWS Monthly OTMS reports Cluster Risk Monitoring Reconciliation At bran
Slide 13: Our digital focus areas
Our digital focus areas: Providing Creating a digital Automation and Building robust personalized and financial services digitization of and secure digital seamless services to bouquet in processes to capabilities across our customers across collaboration with make things platforms to the country so
Slide 14: Q3 FY25 highlights
1. Loan Book reached Rs. 37155 Cr (+9 % 7. Gross NPA 0.92% & Net NPA 0.49%. YoY) with a clientele base of 2.73 lakh. 8. The Salaried and Professional 2. NII:Rs. 345 Cr, PBT: Rs. 269 Cr and PAT: segment constitutes 71 % of the Rs. 212 Cr. outstanding loan book as on 3. NIM: 3.73 %, RoAA: 2.25 % Dec 2
Slide 15: Year on Year and Sequential
* Amt in Crore Sl. Year on Year and Sequential Particulars No. Dec’24 (3m) Dec’23 (3m) Sep’24 (3m) 1 New Approvals 2075 2053 2617 2 Disbursements 1879 1879 2381 3 Outstanding Loan Book 37155 34053 36591 4 Net Interest Income 345 329 340 5 Operating Profit 291 287 288 6 ECL Provision 22 31 14 7 Profi
Slide 16: Key ratios - quarter ended
* Amt in Crore Sl. PERIOD ENDED Particulars No. Dec’24(3m) Dec’23(3m) Sep’24(3m) 1 Return on Avg Assets (%) 2.25% 2.33% 2.29% 2 Return on Avg Equity (%) 17.55% 19.36% 17.99% 3 Earning Per Share (Rs.) 15.93 15.03 15.88 4 Net Interest Margin (%) 3.73% 3.92% 3.75% 5 Yield on Loan Portfolio (%) 10.19% 9
Slide 17: Year on Year (As per IND AS) - 9 months
* Amt in Crore Sl. Year on Year (As per IND AS) Particulars No. Dec’24 (9m) Dec’23 (9m) Growth% 1 New Approvals 6659 6206 7% 2 Disbursements 6112 5865 4% 3 Outstanding Loan Book 37155 34053 9% 4 Net Interest Income 1005 931 8% 5 Operating Profit 859 804 6% 6 ECL Provision 60 77 -22% 7 Profit Before
Slide 18: Key ratios - nine months ended
* Amt in Crore Sl. PERIOD ENDED Particulars No. Dec’24(9m) Dec’23(9m) 1 Return on Avg Assets (%) 2.21% 2.11% 2 Return on Avg Equity (%) 17.19% 17.47% 3 Earning Per Share (Rs.) 46.81% 40.68 4 Net Interest Margin (%) 3.64% 3.69% 5 Yield on Loan Portfolio (%) 10.14% 10.01% 6 Cost of borrowing (%) 7.54%
Slide 19: AUM by borrower category
AUM Q3FY 24 AUM Q3FY 25 1% 1% 13% 13% 27% 29% 1% 1% 58% 56% Sal - Govt Sal - Private Sal - PSU/Banks SENP Prof Sal - Govt Sal - Private Sal - PSU/Banks SENP Prof www.canfinhomes.com 18
Slide 20: AUM by product
AUM Q3FY24 AUM Q3FY25 2% 4% 2% 5% 5% 6% 10% 10% 79% 77% Housing Housing CRE Lap and Mort Top UP Others Housing Housing CRE Lap and Mort Top UP Others www.canfinhomes.com 19
Slide 21: AUM by purpose
AUM Q3FY24 AUM Q3FY25 14% 15% 7% 8% 2% 2% 4% 4% 8% 64% 63% 8% Construction Flat Resale Rennov Mort+LAP+Top UP Others Construction Flat Resale Rennov Mort+LAP+Top UP Others *Others include Site loan, Loan against rent receivables, Loans for commercial property, Loans for children education, Personal
Slide 22: Disbursement and AUM by ticket size
Disbursement (9 Months) AUM 38% 33% 36% 31% 28% 28% 28% 26% 28% 26% 25% 22% 13% 13% 13% 12% 0 - 10L 10 - 20L 20 - 30L >30L 0 - 10L 10 - 20L 20 - 30L >30L FY24 FY25 Dec-23 Dec-24 www.canfinhomes.com 21
Slide 23: Quarterly growth trend
18% 14% 0% Q1FY24 Q2FY24 Q3FY24 Q4FY24 Q1FY25 Q2FY25 Q3FY25 -11% -9% -6% -22% Gr% www.canfinhomes.com 22
Slide 24: DSA sourcing
Amt in Crore FY23 FY24 Q1FY25 Q2FY25 Q3FY25 Active DSA's 1463 1184 1310 1423 1350 Total Disbursement 8947 8117 1853 2381 1879 (Crores) Total DSA Sourced Amount(Crores) 7302 6669 1479 1919 1421 % share of total 82% 82% 80% 80% 76% business Share of Top 20 DSA's Amount(Crores) 1011 844 247 243 163 % s
Slide 25: Share of business sourced through DSA channel
87% 86% 85% 82% 80% 80% 80% 80% 80% 78% 76% Q1 FY 23 Q2 FY 23 Q3 FY 23 Q4 FY 23 Q1 FY 24 Q2 FY 24 Q3 FY 24 Q4 FY 24 Q1 FY 25 Q2 FY 25 Q3 FY 25 *72% of AUM sourced through DSA channel www.canfinhomes.com 24
Slide 26: Loan portfolio and branches by region
Branches Loan Portfolio 72% 72% 58% 17% 15% 13% 13% 11% 11% 5% 5% 2% 2% 2% 1% Central East North South West Central East North South West Q3FY 24 Q3FY 25 www.canfinhomes.com 25
Slide 27: Loan book movement: opening balance to closing balance
* Amt in Crore Opening Disbursement Amortization+ Closing Balance Run Off Balance(A) (B) Prepayment (D=A+B-C) E= C/A (C) Q1 FY 22 22126 894 799 22221 3.61% Q2 FY 22 22221 2208 845 23584 3.89% Q3 FY 22 23584 2472 965 25091 4.18% Q4 FY 22 25091 2730 1110 26711 4.50% Q1 FY 23 26711 1726 899 27538 3.53%
Slide 28: Category-wise product-wise distribution of loan book
CATEGORY-WISE PRODUCT-WISE DISTRIBUTION OF LOAN BOOK * Amt in Crore Sl. Dec - 23 Mar - 24 Jun - 24 Sep - 24 Dec - 24 Particulars No. 0/s Amt 0/s Amt 0/s Amt 0/s Amt 0/s Amt 1 Salaried & Professionals i) Housing Loans 22442 22971 23245 23607 23950 ii) Top-up Personal Loans 1040 1076 1092 1121 1155 ii
Slide 29: Funding mix
Funding Mix @ Dec 2023 (as %) Funding Mix @ Dec 2024 (as %) CP Deposits Deposits 5% 1% CP 1% 7% NCD 15% NCD 18% NHB Banks Banks 19% 60% NHB 60% 14% Total Borrowings – Rs. 31196 Crore Total Borrowings – Rs. 33454 Crore www.canfinhomes.com 28
Slide 30: Yield, cost of borrowing, spread and NIM
3.69% 10.01% 10.07% 10.12% 10.19% 3.96% 3.57% 3.65% 3.64% 10.12% 2.66% 7.40% 7.58% 7.56% 2.54% 2.56% 7.51% 2.28% 2.60% 7.35% Q3 FY 23-24 Q4 FY 23-24 Q1 FY 23-24 Q2 FY 24-25 Q3 FY 24-25 Q3 FY 23-24 Q4 FY 23-24 Q1 FY 24-25 Q2 FY 24-25 Q3 FY 24-25 www.canfinhomes.com 29
Slide 31: NPA with and without restructured accounts
* Amt in Crore NPA Amount NPA% 94 106 94 Quarter Without Only Without Only 96 Restructur Restructur Restructur Restructur 93 ed accts ed ed accts ed Q3FY24 213 96 0.62% 0.28% Q4FY24 193 93 0.55% 0.26% Q1FY25 219 106 0.61% 0.29% 247 213 219 226 Q2FY25 226 94 0.61% 0.25% 193 Q3FY25 247 94 0.66% 0.25%
Slide 32: Asset classification and ECL stages
* Amt in Crore Provision as Balance as on Provision as Asset Classification ECL Stages per ECL 31 Dec 2024 per IRAC Model Standard Asset 1 32269 SMA 0 1 2593 142.62 206.08 SMA 1 2 1045 SMA 2 2 907 NPA 3 341 157.02 154.26 Total Portfolio 37155 299.64 361.07 Undisbursed Loan Commitment 1597 7.43 Manag
Slide 33: Gross NPA, Net NPA and provision held
Gross NPA & Net NPA (%) Provision held * Amt in Crore 0.91 0.91 0.92 0.88 34 34 34 0.82 34 34 0.49 0.49 0.50 151 149 154 0.47 141 139 0.42 Q3 FY 23-24 Q4 FY 23-24 Q1 FY 24-25 Q2 FY 24-25 Q3 FY 24-25 Q3 FY 23- 24 Q4 FY 23- 24 Q1 FY 24- 25 Q2 FY 24- 25 Q3 FY 24- 25 Provision for NPA Management Overlay
Slide 34: Provision as percentage of GNPA
* Amt in Crore Q3FY24 As % of Q3FY25 As % of GNPA GNPA Gross NPA 309 341 A. ECL Provision (Stage 3) 141 46% 154 45% B. Management Overlay 34 34 Total Provision available 175 57% 184 55% (A+B) C. Prov for Restructured 58 48 Pool Total Provision available 233 76% 236 69% (A+B+C) D. Provision for Std A
Slide 35: Category-wise shareholding as on 31.12.2024
As on 31.12.2024 SI No. Category shareholding as % 8.04 9.46 29.99 1 Promoter 29.99 11.41 2 Mutual Funds 22.22 3 Individual 18.88 4 Foreign Corporate Bodies 11.41 18.88 5 Bodies Corporate 9.46 22.22 6 Others 8.04 7 Grand Total 100.00 Promoter Mutual Funds Individual Foreign Corporate Bodies Bodies C
Slide 36: Branch offices
(219 BRANCH OFFICES) • Odisha – Bhubaneshwar , Berhampur, Jharsuguda, • Punjab – Jalandhar, Ludhiana Cuttack • Telangana – Hyderabad (13 branches), Siddipet, Warangal, • Chandigarh • Bihar – Patna, Darbhanga Karimnagar, Khammam, • Tamilnadu – Hosur, Chennai (9 Mancherial, Nizamabad • Rajasthan – Alw
Slide 37: Forward-looking statements
The forward looking statements and projections, if any, contained in this presentation are predictions and involve known and unknown risks, uncertainties and other factors including the future changes or developments, the competitive environment, ability to implement the strategies and initiatives,