Canara Bank · NSE:CANBK
Canara Bank — Q3 FY2016 Earnings Presentation
53 slides from Canara Bank's earnings presentation, January 2016
Slide 1: Financial Results 31st December 2015
Get Instant Loan Approval !!! Get Instant Loan Approval !!! Financial Results 31st December 2015 CANARA BANK MULTI CURRENCY TRAVEL PREPAID CARD www.canarabank.com Page 1
Slide 2: Highlights – December 2015
HIGHLIGHTS – DECEMBER 2015 Total Business at Rs.8.23 lakh crore, up by 6.2% y.o.y. Total Deposits at Rs.4.91 lakh crore, up by 6.1% y.o.y. CASA deposits grew by 12.5% y.o.y to Rs.1.18 lakh crore and CASA ratio (domestic) improved to 25.71% from 24.05% last year. Advances (net) at Rs.3.32 lak
Slide 3: Highlights – December 2015
HIGHLIGHTS – DECEMBER 2015 Non Interest Income stood at Rs.1169 crore. Operating (Gross) profit stood at Rs.1552 crore. Total provisions increased to Rs.1467 crore compared to Rs.1141 crore last year. Provisions on NPAs increased to Rs.1432 crore, up from Rs.952 crore last year. Major On a
Slide 4: Highlights – December 2015
HIGHLIGHTS – DECEMBER 2015 Gross NPA increased to Rs.19813 crore vis-à-vis Rs.14021 crore at September 2015. Gross NPA Ratio increased to 5.84% compared to 4.27% previous quarter. Net NPA Ratio increased to 3.90% from 2.90% previous quarter. Major Cash Recovery was at Rs.1117 crore and Provi
Slide 5: Performance Highlights - Business
PERFORMANCE HIGHLIGHTS- BUSINESS Amt. in Rs. Crore December March June September December y.o.y Parameters 2014 2015 2015 2015 2015 Growth (%) Deposits 462450 473840 471877 485206 490599 6.09 Advances (net) 312269 330036 324063 323077 331915 6.29 Business 774718 803876 795940 808283 822514 6.17 C-D
Slide 6: Performance Highlights - Overseas Business
PERFORMANCE HIGHLIGHTS- OVERSEAS BUSINESS Amt. in Rs. Crore December March December y.o.y Parameters Growth % 2014 2015 2015 Deposits 25743 29138 31709 23.17 Advances 20293 22693 26610 31.13 Total Business 46037 51831 58319 26.68 Gross Profit 213 270 185 -13.15 Overseas Business constitutes 7% of th
Slide 7: Performance Highlights - Profitability Q3FY16
PERFORMANCE HIGHLIGHTS- PROFITABILITY-Q3FY16 Amt. in Rs. Crore y.o.y Parameters Q3FY15 Q4FY15 Q1FY16 Q2FY16 Q3FY16 Growth(%) Total Income 12228 12429 12253 12478 12051 -1.45 Total Expenses 10431 10697 10249 10534 10498 0.65 Operating Profit 1797 1733 2004 1944 1552 -13.62 Net Profit 656 613 479 529
Slide 8: Performance Highlights - Expanding the Reach
PERFORMANCE HIGHLIGHTS- EXPANDING THE REACH December March December Y-o-Y Particulars 2014 2015 2015 increase Branch Network 5648 5682 5794 146 ATM Strength 7599 8533 9144 1545 Debit Card (In Lakh) 227 255 304 77 E-Lounges 164 Population group No. of branches % to total 5787 domestic Branches Rural
Slide 9: Business Segments
BUSINESS SEGMENTS www.canarabank.com Page 9
Slide 10: Segment Wise Deposits
SEGMENT WISE DEPOSITS Amt. in Rs. Crore December March June September December y.o.y Parameters 2014 2015 2015 2015 2015 Growth (%) Total Deposits 462450 473840 471877 485206 490599 6.09 Current 18696 19846 17534 19257 19247 2.94 Saving 86322 93686 92149 96745 98878 14.55 CASA 105019 113532 109684 1
Slide 11: Loans & Advances Segment
LOANS & ADVANCES SEGMENT Amt. in Rs. Crore December March June September December y.o.y Parameters 2014 2015 2015 2015 2015 Growth(%) Advances (Net) 312269 330036 324063 323077 331915 6.29 Total Priority 112693 118234 121978 139021 142652 26.58 Agriculture 56474 58868 60924 63541 65061 15.21 Other P
Slide 12: Achievement Under Mandated Targets – Priority Sector
ACHIEVEMENT UNDER MANDATED TARGETS – PRIORITY SECTOR Achieved the mandated norms in respect of: Total Priority (48.78 % to ANBC against 40% norm. Agriculture (22.25% to ANBC against 18% norm). Weaker Section (14.70% to ANBC against 10% norm). Mandated Number of Micro Enterprises accounts (25
Slide 13: Performance of Retail Advances
PERFORMANCE OF RETAIL ADVANCES Amt. in Rs. Crore Type of December March June September December y.o.y Advances 2014 2015 2015 2015 2015 Growth (%) Housing loans Direct 15225 16480 17261 18396 19305 26.80 Vehicle loans 3628 3770 3806 3901 4129 13.81 Education loans 5492 5636 5830 6363 6544 19.16 Othe
Slide 14: Exposure - Infrastructure
EXPOSURE - INFRASTRUCTURE Amt. in Rs. Crore December March June September December % Share y.o.y Parameters 2014 2015 2015 2015 2015 Total Adv Growth % Roads 7851 8195 8487 8451 8362 2.46 6.51 Ports 827 835 372 393 402 0.12 -51.36 Airports 1657 1364 1457 1411 1372 0.40 -17.18 Power (Generation, Tran
Slide 15: Exposure - Power Sector & Aviation
EXPOSURE - POWER SECTOR & AVIATION Amt. in Rs. Crore % Share y.o.y December March June September December Parameters Total Growth 2014 2015 2015 2015 2015 Adv % -Power Generation 23824 24459 23739 24055 23839 7.02 0.06 -Power Transmission 2126 1533 1566 1574 1503 0.44 -29.30 -Power Distribution 1967
Slide 16: Exposure to Other Sectors
EXPOSURE TO OTHER SECTORS Amt. in Rs. Crore December March June September December y.o.y 2014 2015 2015 2015 2015 Growth (%) EXPOSURE TO CAPITAL MARKET Outstanding 2458 2331 2247 2737 2651 7.85 EXPOSURE TO NBFCs Total 23523 24241 21564 18496 20885 -11.21 Out of above : HFCs 7212 7350 6039 5756 8109
Slide 17: Financials
FINANCIALS www.canarabank.com Page 17
Slide 18: Profitability - Q3 FY16
PROFITABILITY- Q3 FY16 Amt. in Rs. Crore Q3 Q4 Q1 Q2 Q3 y.o.y Parameters FY15 FY15 FY16 FY16 FY16 Growth (%) Total Income 12228 12429 12253 12478 12051 -1.45 Total Expenses 10431 10697 10249 10534 10498 0.65 Operating Profit 1797 1733 2004 1944 1552 -13.62 Provisions 1141 1120 1525 1415 1467 28.57 N
Slide 19: Profitability – 9M FY16
PROFITABILITY –9M FY16 Amt. in Rs. Crore 9M March 9M y.o.y Parameters FY15 2015 FY16 Growth (%) Total Income 35871 48300 36781 2.54 Total Expenses 30653 41350 31281 2.05 Operating Profit 5218 6950 5500 5.41 Provisions 3128 4248 4407 40.89 Net Profit 2090 2703 1093 -47.71 Net Interest Income 7178 966
Slide 20: Break-up: Income – Q3 FY16
BREAK-UP : INCOME – Q3 FY16 Amt. in Rs. Crore Q3 Q4 Q1 Q2 Q3 y.o.y Parameters FY15 FY15 FY16 FY16 FY16 Growth (%) Interest on Advances 8064 8093 8101 8126 7629 -5.38 Interest on Investments 2792 2826 2850 2943 2924 4.74 Other Interest Income 196 185 189 198 329 67.21 Total Interest Income 11052 1110
Slide 21: Break-up: Income – 9M FY16
BREAK-UP : INCOME – 9M FY16 Amt. in Rs. Crore 9M March 9M y.o.y Parameters FY15 2015 FY16 Growth (%) Interest on Advances 23973 32066 23856 -0.49 Interest on Investments 8098 10924 8717 7.65 Other Interest Income 576 760 716 24.40 Total Interest Income 32647 43750 33289 1.97 Non – Interest Income 32
Slide 22: Break-up: Expenditure – Q3 FY16
BREAK-UP: EXPENDITURE – Q3 FY16 Amt. in Rs. Crore Q3 Q4 Q1 Q2 Q3 y.o.y Parameters FY15 FY15 FY16 FY16 FY16 Growth (%) Interest Expenses 8671 8617 8623 8621 8655 -0.18 Interest on Deposits 8213 8146 8180 8181 8215 0.02 Staff Expenses 1038 1163 1059 1108 1040 0.18 Other Operating Expenses 722 917 567
Slide 23: Break-up: Expenditure – 9M FY16
BREAK-UP : EXPENDITURE – 9M FY16 Amt. in Rs. Crore 9M March 9M y.o.y Parameters FY15 2015 FY16 Growth (%) Interest Expenses 25469 34086 25900 1.69 Interest on Deposits 23880 32026 24576 2.92 Staff Expenses 3112 4274 3206 3.04 Other Operating Expenses 2072 2989 2175 4.96 Total Operating Expenses 5184
Slide 24: Break-up: Non-Interest Income Q3FY16
BREAK-UP: NON-INTEREST INCOME Q3FY16 Amt. in Rs. Crore Q3 Q4 Q1 Q2 Q3 y.o.y Parameters FY15 FY15 FY16 FY16 FY16 Growth (%) Com & Exchange 226 269 214 222 231 2.21 -Of which Bancassurance 20 11 11 17 15 -25.00 Profit from Exchange Transactions 251 62 102 165 209 -16.73 Rent – Lockers 2 3 74 4 3 50.00
Slide 25: Break-up: Non-Interest Income 9M FY16
BREAK-UP: NON-INTEREST INCOME 9M FY16 Amt. in Rs. Crore 9M March 9M y.o.y Parameters FY15 2015 FY16 Growth (%) Com & Exchange 659 929 667 1.21 -Bancassurance 47 58 43 -8.51 Profit from Exchange Transactions 720 782 476 33.89 Rent – Lockers 72 75 81 12.50 Dividend Income 60 81 37 -38.33 Recovery in W
Slide 26: Break-up: Provisions - Q3 FY16
BREAK-UP : PROVISIONS- Q3 FY16 Amt. in Rs. Crore Provisions for Q3 FY15 Q4 FY15 Q1FY16 Q2FY16 Q3 FY16 NPAs 952 782 1314 979 1432 Standard Assets 81 73 (61) (44) (79) Provisions on (236) 16 133 64 155 Investments Tax 300 110 165 203 38 Restructured & 44 139 (26) 213 (79) Others Total Provision & 1141
Slide 27: Break-up: Provisions – 9M FY16
BREAK-UP : PROVISIONS – 9M FY16 Amt. in Rs. Crore 9M March 9M Provisions for FY15 2015 FY16 NPAs 2989 3771 3725 Standard Assets 81 154 (183) Provisions on Investments (674) (658) 352 Tax 685 795 406 Restructured & Others 47 186 107 Total Provision &Contingency 3128 4248 4407 www.canarabank.com Page
Slide 28: Earnings Profile
EARNINGS PROFILE (In %) Parameters Q3FY15 Q4Y15 Q1FY16 Q2FY16 Q3FY16 NIM – Domestic 2.36 2.36 2.35 2.38 2.29 NIM – Global 2.24 2.25 2.21 2.24 2.16 ROAA 0.53 0.50 0.36 0.39 0.06 EPS (Rs.) (not Annualized) 14.22 13.29 9.63 10.26 1.56 ROE (Annualized) 11.27 11.06 7.01 7.14 5.15 Cost-Income Ratio (Cumul
Slide 29: Cost and Yield Trends
COST AND YIELD TRENDS (In %) December March June September December Parameters 2014 2015 2015 2015 2015 Cost of Deposits 7.40 7.38 7.12 7.07 7.01 Cost of Funds 6.83 6.84 6.41 6.39 6.32 Yield on Advances 10.75 10.75 10.22 10.18 9.92 Yield on Funds 8.75 8.78 8.28 8.30 8.12 Yield on Investments 8.02 8.
Slide 30: Investment Classification
INVESTMENT CLASSIFICATION Amt. in Rs. Crore % Share % Share % Share December March December Parameters in Total in Total in Total 2014 2015 2015 Portfolio Portfolio Portfolio SLR 131895 86% 122508 85% 141359 91% Non SLR 20854 14% 22084 15% 14214 9% Total (Domestic) 152749 100% 144592 100% 155573 100
Slide 31: Asset Quality
ASSET QUALITY www.canarabank.com Page 31
Slide 32: Asset Quality
ASSET QUALITY Amt. in Rs. Crore December March June September December PARTICULARS 2014 2015 2015 2015 2015 Gross NPA 10574 13040 13081 14021 19813 Gross NPA Ratio (%) 3.35 3.89 3.98 4.27 5.84 Net NPA 7556 8740 8888 9383 12940 Net NPA Ratio (%) 2.42 2.65 2.74 2.90 3.90 Cash Recovery (cumulative) 442
Slide 33: Gross NPA Movement
GROSS NPA MOVEMENT Amt. in Rs. Crore December March June September December PARTICULARS 2014 2015 2015 2015 2015 Opening Gross NPA ( Rs. Crore) 7570 7570 13040 13040 13040 Additions 8065 10870 2519 4720 10122 Sub Total 15635 18440 15559 17760 23162 Less: Reduction (a+b+c+d)) 5061 5400 2478 3739 3349
Slide 34: NPA Composition
NPA COMPOSITION Amt. in Rs. Crore December March June September December Parameters 2014 2015 2015 2015 2015 Gross Advances 315856 334947 328938 328387 339411 Sub-Standard 6055 7076 5827 6551 9163 Doubtful 4518 5964 7254 7470 10650 Loss NIL NIL NIL NIL Nil Provision Coverage Ratio(%) 59.44 57.29 59.
Slide 35: Sector-wise NPA Slippages
SECTOR-WISE NPA SLIPPAGES Amt. in Rs. Crore Q3 Q4 Q1 Q2 Q3 % to total SECTOR FY15 FY15 FY16 FY16 FY16 Slippages Micro & Small Ent. 627 496 906 738 1006 18.62 Agriculture 316 266 443 304 326 6.03 Other Priority Sector 156 89 204 165 166 3.07 Total Priority Sector 1099 850 1553 1207 1498 27.72 Medium
Slide 36: Sector-wise NPA Outstanding
SECTOR- WISE NPA OUTSTANDING Amt. in Rs. Crore December March June September December SECTOR 2014 2015 2015 2015 2015 Micro & Small Enterprises 2715 3048 3497 3913 4472 Agriculture 1330 1410 1618 1689 1906 Other Priority Segments 435 380 486 539 579 Medium Enterprises 825 829 940 1151 1321 Large Ind
Slide 37: Sectoral Contribution of NPA
SECTORAL CONTRIBUTION OF NPA Amt. in Rs. Crore December March June September December Particulars 2014 2015 2015 2015 2015 Gross Advances 315856 334947 328938 328387 339411 Gross NPA 10574 13040 13081 14021 19813 Gross NPA % 3.35 3.89 3.98 4.27 5.84 Priority Sector Advances 112693 118234 121978 1390
Slide 38: Restructured Assets
RESTRUCTURED ASSETS Amt. in Rs. Crore Restructured during the year (Standalone year wise) FY 2013-14 FY 2014-15 FY 2015-16(Q3) Particulars A/C Amount A/C Amount A/C Amount Total Restructured 10071 10752 37198 6821 3680 223.51 Of which Standard 9904 10231 36565 6130 3571 219.92 NPA 167 521 633 691 10
Slide 39: Restructured Assets
RESTRUCTURED ASSETS Amt. in Rs. Crore FY FY Q3 Particulars 2013-14 2014-15 FY 16 Gross Advances 303431 334947 339410 Restructured Assets 23205 28371 28695 % of Std. Restructured Assets to total Adv 6.67 6.71 6.07 % of Total Restructured Assets to total Adv 7.65 8.47 8.45 CDR 10446 10490 9216 % of CD
Slide 40: Sector Wise Cumulative Restructured Accounts
SECTOR WISE CUMULATIVE RESTRUCTURED ACCOUNTS Amt. in Rs. Crore FY 2013-14 FY 2014-15 FY 2015-16 (Q3) Sector A/cs Amt A/cs Amt A/Cs Amt Agriculture 10120 403 13316 470 8201 484 MSME 5663 617 11518 1509 8640 1703 Housing Loans 8475 312 15995 525 4615 295 Large Advance 554 12865 605 25470 482 25546 Oth
Slide 41: Sector Wise Restructured Accounts for Q3 FY16
SECTOR WISE RESTRUCTURED ACCOUNTS FOR Q3 FY16 Amt. in Rs. Crore Q3 FY16 Sector A/cs Amt. Agriculture 837 14.06 MSME 2048 54.35 Housing Loans 420 27.96 Large Advance 3 48.54 Others 372 78.60 Total 3680 223.51 www.canarabank.com Page 41
Slide 42: Restructured Assets
RESTRUCTURED ASSETS Amt. in Rs. Crore FY 2013-14 FY 2014-15 FY 2015-16(Q3) Particulars As on 31.03.2014 As on 31.03.2015 As on 31.12.2015 CDR 10446 10490 9216 NON CDR 12759 17881 19479 TOTAL 23205 28371 28695 www.canarabank.com Page 42
Slide 43: Sector Wise Restructured Accounts
SECTOR WISE RESTRUCTURED ACCOUNTS Amt. in Rs. Crore Name of the Sector As on 31 st Dec 2015 Details of restructured Accounts No. of a/cs Amt % to cumulative Outstanding Amt. INFRASTRUCTURE (a+b+c+d+e+f+g+h) 141 14476 50.45 POWER (a+b+c+d) 71 10192 35.52 POWER-State DISCOMS (a) 27 6418 22.36 POWER- P
Slide 44: Capital Adequacy – Basel III
CAPITAL ADEQUACY – BASEL III CRAR of 11.54% at December 2015 Vs. 9% norm Capital CET I ratio at 8.03% vs. 5.5% norm Adequacy Ratio Tier I ratio at 8.68% vs. 7% norm Tier II ratio at 2.86% Sufficient headroom available for raising further capital www.canarabank.com Page 44
Slide 45: Capital Adequacy – Basel III
CAPITAL ADEQUACY – BASEL III Amt. in Rs. Crore BASEL III December March June September December Particulars 2014 2015 2015 2015 2015 Risk-weighted 330813 342248 349640 346722 344773 Assets Tier I Capital 23932 27459 28966 29906 29915 CET: 6.97% CET: 7.37% CET: 7.65% CET: 7.98% CET:8.03 Tier I Ratio%
Slide 46: Shareholding Pattern
SHAREHOLDING PATTERN Govt . of As on December 31, 2015 66.30% 2.27 India 5.05 5.27 7.01 Insurance 14.10% Companies 14.10 66.30 FIIs & FPIs 7.01% Govt of India Insurance FIIs & FPIs Residents 5.27% Resident Individuals Mutual Funds Others Individuals Mutual 5.05% Funds Others 2.27% www.canarabank.com
Slide 47: Pradhan Mantri Jan-Dhan Yojana (PMJDY)
PRADHAN MANTRI JAN - DHAN YOJANA (PMJDY) 72.11 lakhs accounts opened under PMJDY, securing CASA deposits of Rs.1176 crore. A Toll free number (1800 425 11222) is functional for PMJDY grievances redressal. So far 187766 PMJDY account holders have been provided with overdraft facility, amounting
Slide 48: Financial Inclusion (FI)
FINANCIAL INCLUSION (FI) The Bank has provided banking facilities in all the allotted 10049 villages. Covered all 3962 allotted SSAs by opening of 827 Brick & Mortar branches and engaging 2459 BC agents. Besides FI branches, the Bank has opened 477 Ultra Small Branches. Financial Inclusion branc
Slide 49: Customer-Friendly Technology Initiatives in Q3FY16
CUSTOMER-FRIENDLY TECHNOLOGY INITIATIVES IN Q3FY16 Introduced enhanced version of CanMobile, Canara e-InfoBook and Canara m-Wallet to provide more convenience and facilities to customers. Customers can now download, register and activate CanMobile without visiting a Branch or ATM. Canara Galaxy,
Slide 50: Expanded Clientele Base
EXPANDED CLIENTELE BASE (In Lakhs) Y-o-Y Y-o-Y Dec’14 MAR’15 Dec’15 Increase Growth (%) 7.1 Clientele Base 632 657 710 78 12.3 crore Strong No. of Deposit Clientele A/cs 561 585 631 70 12.5 Base No. of Borrowal A/cs 71 72 79 8 11.3 78 lakh Clientele accounts added y-o-y. www.canarabank.com Page 50
Slide 51: Major Awards/Accolades in Q3FY16
MAJOR AWARDS/ACCOLADES IN Q3FY16 Agricultural and Best Social Banking Excellence Award, 2015, by ASSOCHAM. 5th Annual Greentech CSR Gold Award, 2015. CSR World Congress Award for overall excellence in CSR. India's Most Trusted Brand-2015 under India's Best Banks Category, in a survey conduct
Slide 52: Goals – March 2016
GOALS – MARCH 2016 Thrust on Retail Business & Asset Quality- CASA Retail Deposits Goals Retail Credit Fee Income NPA Management www.canarabank.com Page 52
Slide 53: Thank You
dole! da L\ canara Bank GANS AAT BT SaRF) (AGovemment of india Undertaking) Together We Can Thank OU www.canarabank.com