Indian Overseas Bank · NSE:IOB
Indian Overseas Bank — Q1 FY2024-25 Earnings Presentation
53 slides from Indian Overseas Bank's earnings presentation, Jul 22, 2024
Slide 1: Performance Analysis Q1-FY 2024-25
Performance Analysis Q1-FY 2024-25 22.07.2024 1
Slide 2: Index
INDEX VISION MISSION STATEMENT ---------- 3 PERFORMANCE HIGHLIGHTS ---------- 4 FINANCIAL PERFORMANCE ---------- 6 BUSINESS PERFORMANCE ---------- 13 NPA MANAGEMENT ---------- 21 CAPITAL ADEQUACY ---------- 24 FINANCIAL INCLUSION ---------- 26 DIGITAL INITIATIVES ---------- 32 CUSTOMER TOUCH POINT -
Slide 3: Vision Mission Statement
VISION MISSION STATEMENT Shri M Ct M Chidambaram Chettyar IOB Founder Chairman 3 Performance Performance Analysis Analysis Q1-FY25 Q3-FY24
Slide 4: Performance Highlights: Business Growth and Profitability
PERFORMANCE HIGHLIGHTS BUSINESS GROWTH (Rs. In Crores) Quarter Ending Parameters Jun-23 Jun-24 Y-O-Y ( %) CASA 116694 125947 7.93% CASA% 44.14% 42.17% (197 bps) BUSINESS GROWTH Total Deposits 264401 298681 12.97% Home Loan 24791 28788 16.12% Jewel Loan 38837 52907 36.23% Advances 191263 230092 20.30
Slide 5: Performance Highlights: Asset Quality and Financial Indicators
PERFORMANCE HIGHLIGHTS ASSET QUALITY (Rs. In Crores) Quarter Ending Parameters Y-o-Y (%) Jun-23 Jun-24 Gross NPA 13629 6649 -51.22% ASSET QUALITY Net NPA 2590 1154 -55.46% GNPA% 7.13% 2.89% (424 bps) NNPA% 1.44% 0.51% (93 bps) STRENGTHENING FINANCIAL INDICATORS (Rs. In Crores) Quarter Ending Paramet
Slide 6: Financial Performance
FINANCIAL PERFORMANCE (Rs. In Crores) Quarter Ending Growth % Particulars Jun-23 Mar-24 Jun-24 Q-o-Q Y-o-Y Interest Income 5424 6629 6535 -1.42% 20.48% Interest Expenses 3102 3866 4094 5.90% 31.98% Net Interest Income 2323 2763 2441 -11.65% 5.13% Non Interest Income 803 2477 1033 -58.30% 28.64% Oper
Slide 7: Total Income
TOTAL INCOME (Rs. In Crores) Quarter Ending Growth % Particulars Jun-23 Mar-24 Jun-24 Q-o-Q Y-o-Y Interest on Loans 3913 4760 4830 1.48% 23.44% Interest on Investment 1427 1539 1660 7.84% 16.31% Other Interest Income 84 330 45 -86.38% -46.48% Total Interest Income 5424 6629 6535 -1.42% 20.48% Exchan
Slide 8: Fee Based Income
FEE BASED INCOME (Rs. In Crores) Quarter Ending Growth % Particulars Jun-23 Mar-24 Jun-24 Q-o-Q Y-o-Y A.Exchange & Commission 59 140 122 -12.85% 106.31% B.Income from Non Fund Based 46 46 39 -15.35% -14.97% Business C.Processing charges 95 138 80 -41.80% -15.65% D.ATM/DBD Related Income 95 122 94 -2
Slide 9: Total Expenses
TOTAL EXPENSES (Rs. In Crores) Quarter Ending Growth % Particulars Jun-23 Mar-24 Jun-24 Q-o-Q Y-o-Y Interest on Deposits 2846 3337 3588 7.53% 26.08% Interest on Borrowings 256 529 506 -4.39% 97.57% Total Interest Expenses 3102 3866 4094 5.90% 31.98% Staff Expenses 1215 2517 1124 -55.33% -7.45% Other
Slide 10: Profit Parameter
PROFIT PARAMETER (Rs. In Crores) Quarter Ending Growth % Particulars Jun-23 Mar-24 Jun-24 Q-o-Q Y-o-Y Operating Profit 1345 1961 1676 -14.54% 24.60% Provisions 838 768 938 22.17% 11.92% of which NPA Provisions 809 409 164 -59.92% -79.74% Other Provisions 29 359 774 115.80% 2569.73% Tax Expenses 7 38
Slide 11: Performance Ratios - Quarterly
PERFORMANCE RATIOS - QUARTERLY COST OF DEPOSITS(%) COST OF FUNDS(%) 4.95 4.88 5.02 5.09 4.82 5.03 4.69 4.81 4.38 4.44 JUN 23 SEP 23 DEC 23 MAR 24 JUNE 24 JUN 23 SEP 23 DEC 23 MAR 24 JUNE 24 YIELD ON INVESTMENT(%) YIELD ON ADVANCES(%) 8.88 8.92 6.84 8.78 6.42 6.41 8.52 8.75 6.00 6.04 JUN 23 SEP 23 DE
Slide 12: Performance Ratios - Quarterly
PERFORMANCE RATIOS - QUARTERLY YIELD ON FUNDS(%) RETURN ON ASSETS(%) 8.48 0.86 0.94 0.75 8.05 0.62 0.70 7.74 8.11 7.50 JUN 23 SEP 23 DEC 23 MAR 24 JUNE 24 JUN 23 SEP 23 DEC 23 MAR 24 JUNE 24 NET INTEREST MARGIN(%) COST TO INCOME(%) 3.53 62.58 56.96 3.12 51.53 51.35 3.21 3.12 3.06 51.76 JUN 23 SEP 23
Slide 13: Business Performance - Global
BUSINESS PERFORMANCE - GLOBAL (Rs. In Crores) Q-o-Q variation Y-o-Y variation Particulars Jun-23 Mar-24 Jun-24 Amount % Amount % CASA 116694 125508 125947 439 0.35% 9253 7.93% Term Deposits 147707 160397 172734 12337 7.69% 25027 16.94% Total Deposits 264401 285905 298681 12776 4.47% 34280 12.97% Adv
Slide 14: Business Composition
BUSINESS COMPOSITION BUSINESS PORTFOLIO SHARE JUNE 24 Savings Bank Advances 19% 43% Current Deposits 5% Term Deposits 33% % SHARE OF ADVANCE-JUNE 24 POP CATEGORY WISE DISTRIBUTION OF DEPOSITS:JUNE 24 Urban Semi Urban Corporate/Others 22% 18% Retail 27% 24% Rural 12% MSME Agri 20% Metro 29% 48% 14 Pe
Slide 15: Advances
ADVANCES (Rs. In Crores) Q-o-Q variation Y-o-Y variation Parameters Jun-23 Mar-24 Jun-24 Amount % Amount % Retail 43731 48514 51029 2514 5.18% 7298 16.69% Agri 44853 55636 60786 5150 9.26% 15933 35.52% MSME 35947 41552 42642 1090 2.62% 6695 18.62% Corporate/others 50080 54995 58002 3007 5.47% 7922 1
Slide 16: RAM Performance
RAM PERFORMANCE (Rs. In Crores) Parameters Jun-23 Mar-24 Jun-24 Q-o-Q % Y-o-Y % RETAIL CREDIT 43731 48514 51029 5.18% 16.69% RETAIL BREAK UP - JUNE -24 Of which Others Home 24790 27621 28788 4.22% 16.13% 25% Education 3398 2641 2630 -0.41% -22.60% Personal 4% Vehicle 3817 4491 4713 4.95% 23.47% Pers
Slide 17: Agriculture
AGRICULTURE (Rs. In Crores) % Share to Domestic Period Agri Advances Domestic Advances Advances Jun-23 174611 44853 25.69% Sep-23 191823 47003 24.50% Dec-23 198054 50326 25.41% Mar-24 200697 55636 27.72% Jun-24 212459 60786 28.61% Agri Advances Mar-24 60786 55636 50326 44853 47003 Jun-23 Sep-23 Dec-
Slide 18: MSME
MSME (Rs. In Crores) Category Jun-23 Sep-23 Dec-23 Mar-24 Jun-24 Micro 24420 23607 24171 24780 18977 Small 7207 7471 7633 7812 8002 Medium 4320 8033 8839 8960 15662 Total 35947 39111 40643 41552 42642 MSME BREAKUP JUNE-24 Micro, 45% Small, 19% Medium, 37% 18 Performance Analysis Q1-FY25
Slide 19: Investment
INVESTMENT (Rs. In Crores) Parameters Jun-23 Sep-23 Dec-23 Mar-24 Jun-24 Domestic Investments 91170 93744 96044 96752 97955 SLR 63455 66005 68029 69297 72823 Non SLR 27715 27739 28015 27455 25132 Held to Maturity 79981 80938 81709 81860 87296 Available for Sale 11128 12806 14127 14892 8767 Held for
Slide 20: Valuations
VALUATIONS Particulars Jun-23 Sep-23 Dec-23 Mar-24 Jun-24 Return on Equity (%) 13.44 16.16 17.70 18.50 14.10 Basic & Diluted Earning per Share 0.26 0.33 0.38 0.43 0.33 Price Earning Ratio 92.33 141.48 113.32 140.23 192.01 Book value per share (in Rs) 8.01 8.35 8.93 9.56 9.43 Price/Book value (in Rs)
Slide 21: NPA Management
NPA MANAGEMENT (Rs. In Crores) Details Jun-23 Sep-23 Dec-23 Mar-24 Jun-24 i) Opening Gross NPAs 14072 13629 9893 8441 6794 a. Cash Recoveries 248 329 212 322 139 b. Upgradation 143 181 163 90 52 c. Write-Offs 597 3559 1491 1567 251 d. Sale to ARCs 0 7 0 17 0 e. Other Reductions 0 0 0 0 0 ii) Total R
Slide 22: NPA Management
NPA MANAGEMENT GNPA NNPA 7.13% 1.44% 4.74% 3.90% 3.10% 2.89% 0.68% 0.62% 0.57% 0.51% Jun-23 Sep-23 Dec-23 Mar-24 Jun-24 Jun-23 Sep-23 Dec-23 Mar-24 Jun-24 PCR SLIPPAGE RATIO 96.76% 96.85% 96.85% 96.96% 94.03% 86.20% 0.31% 84.57% 81.01% 82.09% 82.65% 0.18% 0.17% 0.16% 0.13% Jun-23 Sep-23 Dec-23 Mar-2
Slide 23: Sector-wise Credit Deployment & NPA
SECTOR-WISE CREDIT DEPLOYMENT & NPA (Rs. In Crores) Jun-23 Mar-24 Jun-24 Segmental NPAs ADV NPA Ratio % ADV NPA Ratio % ADV NPA Ratio % Retail 43731 1889 4.32% 48514 824 1.70% 51029 897 1.76% Agri 44853 2910 6.49% 55636 2098 3.77% 60786 2002 3.29% MSME 35947 2877 8.00% 41552 2227 5.36% 42642 2104 4.
Slide 24: Capital Adequacy
CAPITAL ADEQUACY (Rs. In Crores) Particulars Jun-23 Sep-23 Dec-23 Mar-24 Jun-24 Market Risk RWA 6506 7814 8481 8892 1602 Operational Risk RWA 16705 16705 16705 16705 19183 Credit Risk RWA 106969 106838 114570 118382 124051 Total RWA (A) 130180 131357 139756 143979 144836 CET 1 17367 18135 19495 2084
Slide 25: Movement of CRAR & RWAs
MOVEMENT OF CRAR & RWAs CRAR 17.28% 17.82% 17.00% 16.80% 16.56% JUN - 2 3 SE P - 2 3 DEC - 2 3 MA R- 2 4 JUN - 2 4 CREDIT RWA TO ADVANCE RATIO TOTAL RWA TO ADVANCE RATIO 55.93% 68.06% 65.74% 64.65% 53.00% 54.05% 53.91% 62.88% 51.14% 62.95% J UN - 2 3 SE P - 2 3 DEC - 2 3 MA R- 2 4 JUN - 2 4 JUN - 2
Slide 26: Financial Inclusion
FINANCIAL INCLUSION PMJDY Account (Number in Lakhs) PMJDY Account Balance (in Crs) 80.78 3558 78.93 3541 76.69 3510 73.55 3486 69.15 3432 Jun-23 Sep-23 Dec-23 Mar-24 Jun-24 Jun-23 Sep-23 Dec-23 Mar-24 Jun-24 PMJDY Account (Number in Lakhs) PMJDY Account Balance PMJDY Zero balance Accounts No in Lakh
Slide 27: CASA & Deposits Growth in Last Years
CASA & Deposits Growth in last 5 years (Rs. In Crore) CASA in Rs. CASA in % 1,25,508 43.44% 43.74% 43.90% 1,13,877 1,14,113 42.52% 1,02,165 89,751 40.26% March March March March March March March March March March 2020 2021 2022 2023 2024 2020 2021 2022 2023 2024 Term Deposits in Rs. Total Deposits
Slide 28: Advances Growth in Last Years
Advances Growth in last 5 years (Rs. In Crore) Retail Advances Agriculture Advances MSME Advances 55,636 48,514 41,552 42,400 43,988 34,856 36,961 35,106 38,577 29,494 30,423 34,196 28,694 25,678 26,849 March March March March March March March March March March March March March March March 2020 20
Slide 29: Retail Segment Loans Growth in Last Years
Retail Segment Loans growth in last 5 years (Rs. In Crore) Personal Loans Home Loans Vehicle Loans 2,083 27,621 4,491 24,116 20,483 3,492 3,751 1,537 17,668 2,985 3,333 1,095 15,092 871 929 March March March March March March March March March March March March March March March 2020 2021 2022 2023
Slide 30: Decreasing NPA Levels & Increase in PCR
Decreasing NPA Levels & Increase in PCR over 5 years (Rs. In Crore) Gross NPA in Rs. Net NPA in Rs. NNPA (%) 19,913 5.44% 16,323 15,299 14,072 6,603 3.58% 4,578 3,825 2.65% 6,794 3,266 1.83% 1,217 0.57% March March March March March March March March March March March March March March March 2020 20
Slide 31: Consistent Growth in Share Values
Consistent Growth in Share Values over 5 years Book value per share (in Rs.) Share Price (in Rs.) 9.56 59.98 7.75 6.54 4.97 4.11 22.55 16.00 18.15 7.05 March March March March March March March March March March 2020 2021 2022 2023 2024 2020 2021 2022 2023 2024 Market Capitalization (Rs. In Crore) E
Slide 32: Technology & Digital Initiatives
Technology & Digital Initiatives 32 Performance Analysis Q1-FY25
Slide 33: Introduction
Technology & Digital Initiatives Introduction Indian Overseas Bank has got a robust and resilient technology platform in place to serve customers across the diverse generations. We are committed in our digital transformation journey to bring customer delight through various digital innovations and h
Slide 34: Focus Areas
Technology & Digital Initiatives Focus Areas Customer Operational Centricity Efficiency Technology Digital Resilience Innovation 34 Performance Analysis Q1-FY25
Slide 35: Customer Centricity
Technology & Digital Initiatives 01 Secure and user friendly internet and mobile banking facility offering diverse range of banking services Self service centric solutions for instant 02 fulfilment like Jansuraksha enrolment, straight Customer Centricity through process for credit facilities Priorit
Slide 36: Digital Innovation
Technology & Digital Initiatives 01 Face Authentication using Aadhaar Biometrics for contact less and inclusive service delivery 02 My Account My Name empowering customers to name account as per their choice Digital Innovation Pioneer in multiple digital initiatives with 03 e-BG for secure and paper
Slide 37: Operational Efficiency
Technology & Digital Initiatives 01 Digital App for Collection and Recovery enhancing collections efficiency 02 CRM tool for widening and deepening customer engagements Operational Efficiency Pioneer in multiple digital initiatives with commitment towards transforming 03 Loan Origination System for
Slide 38: Value Delivery
Technology & Digital Initiatives Enhanced Customer Satisfaction: Improved 01 customer satisfaction, engagement, and loyalty through streamlined digital interactions, personalized services, and user-friendly interfaces Value Delivery Productivity Enhancement: Optimized internal Digital initiatives ha
Slide 39: Digital Outreach
DIGITAL OUTREACH ATM/CDM USERS INTERNET BANKING REGISTERED USERS (NO OF OUTLETS) (IN LAKHS) 31.25 3515 30.18 3508 28.97 3506 3505 27.77 3495 26.45 Jun-23 Sep-23 Dec-23 Mar-24 Jun-24 Jun-23 Sep-23 Dec-23 Mar-24 Jun-24 MOBILE BANKING REGISTERED USERS UPI REGISTERED USERS (IN LAKHS) (IN LAKHS) 81.98 85
Slide 40: Customer Touch Point Pan India
CUSTOMER TOUCH POINT PAN INDIA Domestic Presence Jun-23 Sep-23 Dec-23 Mar-24 Jun-24 Branches 3222 3223 3226 3236 3250 ATM/CR 3495 3515 3508 3506 3505 BC 3322 3891 4886 6379 7078 JUNE-24 BRANCHES Rural, 912, 28% Metro, 703, 22% Semi Urban, Urban, 663, 20% 972, 30% 40 Performance Analysis Q1-FY25
Slide 41: Foreign Outreach
FOREIGN OUTREACH HONG KONG BRANCH SINGAPORE BRANCH COLOMBO BRANCH BANGKOK BRANCH Performance Analysis Q1-FY25
Slide 42: Share Holding Pattern
SHARE HOLDING PATTERN Category of Shareholder % share Share holding Pattern – June 24 Government of India 96.38% Government of FI/Banks 0.00% India, 96.38% Foreign Portfolio Investor (Corporate) 0.05% Mutual Funds 0.07% Insurance Companies 1.23% Individual 1.90% ESOP/ESOS/ESPS 0.22% Bodies Corporate
Slide 43: Strategic Investment Joint Venture
STRATERGIC INVESTMENT JOINT VENTURE IOB entered into Non-Life Insurance Business with Universal Sompo General Insurance (USGI) Company Limited with equity participation of 18% along with the other Banks and Institutions Name on Entity Shareholding % Indian Overseas Bank 18.06% Shareholding % Indian
Slide 44: Assets & Liabilities
ASSETS & LIABILITIES (Rs. In Lacs) Balance Sheet as at 30.06.2024 LIABILITIES Standalone Consolidated Particulars 30.06.24 30.06.23 30.06.24 30.06.23 Capital 1890241 1890241 1890241 1890241 Reserves and Surplus 854372 684343 818150 645844 Deposits 29868104 26440112 29881394 26457313 Borrowings 33100
Slide 45: ESG Initiatives
ESG INITIATIVES ENVIRONMENTAL SOCIAL GOVERNANCE ENVIRONMENTAL 45 Performance Analysis Q1-FY25
Slide 46: ESG Initiatives: Environmental
ESG INITIATIVES IOB VEHICLE LOAN FOR E BIKE/CAR ENVIRONMENTAL SOCIAL GOVERNANCE IOB TEJAS FOR RENEWAL SOLAR ENERGY EQUIPMENT CREDIT FACILITY TO WIND MILL PAPERLESS BANKING ENVIRONMENTAL 46 Performance Analysis Q1-FY25
Slide 47: ESG Initiatives: Social
ESG INITIATIVES VARIOUS IOB CREDIT SCHEME FOR WOMEN ENVIRONMENTAL SOCIAL GOVERNANCE THE SAKTHI- IOB CHIDAMBARAM CHETTIAR MEMORIAL TRUST FINANCIAL LITERACY CENTERS (SNEHA) SOCIAL FRIENDLY WORK ENVIRONMENT 47 Performance Analysis Q1-FY25
Slide 48: ESG Initiatives: Governance
ESG INITIATIVES COMPLYING WITH ALL GUIDELINES ®ULATIONS ENVIRONMENTAL SOCIAL GOVERNANCE EFFECTIVE MONITORING CUSTOMER RIGHT POLICY EFFECTIVE CUSTOMER COMPLAINTS RESOLUTION GOVERNANCE 48 Performance Analysis Q1-FY25
Slide 49: Accolades & Award
ACCOLADES & AWARD Our MD and CEO Shri Ajay Kumar Srivastava is seen receiving Rajbhasha Kirti Award from Hon’ble Minister of State for Home Affairs, Shri Ajay Kumar Mishra, given by the Department of Official Language, Ministry of Home Affairs, Government of India for excellent publication of our Ba
Slide 50: Sports
SPORTS Basket Ball: Rajagiri Business League State Level Tournament at Kochi, Kerala: Winner “Hon’ble Prime Minister Shri. Narendra Modi is seen appreciating Mr. M. Ukkrapandian, International Volleyball Player, Senior Manager of Indian All India Invitational Volleyball Tournament Overseas Bank for
Slide 51: Products & Services
PRODUCTS & SERVICES 51 Performance Analysis Q1-FY25
Slide 52: Disclaimer
DISCLAIMER Except for the historical information contained herein, statements in this release which contain words or phrases such as "will", "aim" "will likely result", "would", "believe", "may", "expect",', "will continue ", "anticipate", "estimate" "intend", "plan", "contemplate" "seek to" "future
Slide 53: Thank You
THANK YOU We express our heartfelt gratitude to all our stakeholders for their support & trust and solicit their continued patronage to make our beloved Bank grow exponentially in the coming years Please provide your valuable feedback @investor.iobnet.co.in visit us @ https://www.iob.in Follow us on
Indian Overseas Bank — Q1 FY2024-25 Earnings Presentation on 6ix