Dcb Bank Limited · NSE:DCBBANK
Dcb Bank — Q4 FY2018 Earnings Presentation
47 slides from Dcb Bank's earnings presentation, Apr 14, 2018
Slide 1: Investor Presentation – Q4 FY 2018
Investor Presentation – Q4 FY 2018 April 14, 2018 DCB Bank Limited
Slide 2: Disclaimer
Disclaimer This presentation is strictly confidential and may not be copied, published, distributed, redistributed, disseminated or transmitted, directly or indirectly, in any manner. The information in this presentation is being provided by DCB Bank Limited (the “Bank”). This presentation has been
Slide 3: Branch Network March 31, 2018
Branch Network March 31, 2018 3
Slide 4: Key Indicators - I
Key Indicators - I No. of Cost to Return on Return on INR mn Branches Balance Sheet Income Ratio Asset Equity Q4 FY 2018 318 302,221 59.38% 0.91% *10.20% Q3 FY 2018 311 271,513 62.34% 0.86% *9.29% Q2 FY2018 306 259,081 60.27% 0.94% 8.84% Q1 FY 2018 290 243,451 57.17% 1.06% 10.73% FY 2018 318 302,221
Slide 5: Key Indicators - II
Key Indicators - II INR mn Q4 FY 18 Q3 FY 18 Q4 FY 17 Y-o-Y Deposits 240,069 212,959 192,892 24% Of which CASA 58,403 54,667 46,892 25% Of which Retail Term 120,466 110,031 102,587 17% - Of which NRI Term 14,908 14,037 13,686 9% Net Advances 203,367 185,952 158,176 29% INR mn Q4 FY 18 Q3 FY 18 Q4 FY
Slide 6: Balance Sheet
Balance Sheet Mar 31, Mar 31, Mar 31, Mar 31, Mar 31, Mar 31, Mar 31, INR mn 2012 2013 2014 2015 2016 2017 2018 Shareholder’s Equity 8,614 10,031 11,540 15,886 17,922 22,049 28,078 Deposits 63,356 83,638 103,251 126,091 149,260 192,892 240,069 Borrowings1 11,235 15,256 8,601 11,638 11,479 12,758 19,
Slide 7: Profit & Loss
Profit & Loss INR mn Q4 FY17 Q1 FY18 Q2 FY18 Q3 FY18 Q4 FY18 Net Interest Income 2,203 2,332 2,481 2,505 2,637 Other Income 633 853 651 749 849 - Commission, exchange 449 515 481 567 629 and brokerage - Profit on Sale of Investment 41 287 71 55 42 - Profit on Exchange Transaction 9 32 35 36 37 Opera
Slide 8: Profit & Loss
Profit & Loss INR mn FY 2013 FY 2014 FY 2015 FY 2016 FY 2017 FY 2018 Net Interest Income 2,844 3,684 5,082 6,195 7,971 9,954 Other Income 1,170 1,387 1,657 2,205 2,488 3,103 - Commission, exchange 893 999 1,193 1,405 1,651 2,192 and brokerage - Profit on Sale of 139 225 277 423 454 454 Investment -
Slide 9: Deposits Mix
Deposits Mix Deposits as on March 31, 2018 Resident Term CASA Deposit 49% 24% Interbank Term Deposit 21% Non-Resident Term Deposit 6% Retail Deposits to Total Deposits - 74% * CASA includes NRI CASA. 9 DCB Bank Limited
Slide 10: Advances Mix
Advances Mix Net Advances as on March 31, 2018 SME + MSME, 12% Corporate Banking, Mortgages, 40% 17% AIB, 18% Commercial Vehicle, 6% Construction Others, 2% Finance, 3% Gold Loan, 2% 10 DCB Bank Limited
Slide 11: NIM, Yield and Cost of Funds
NIM, Yield and Cost of Funds Mar 31, Mar 31, Mar 31, Mar 31, Mar 31, Mar 31, Mar 31, Year Ended 2012 2013 2014 2015 2016 2017 2018 Net Interest 3.25% 3.34% 3.56% 3.72% 3.94% 4.04% 4.16% Margin Yield on 12.60% 12.75% 12.84% 12.63% 12.52% 12.03% 11.41% Advances Cost of Funds 7.11% 7.78% 7.78% 7.78% 7.
Slide 12: Non Performing Assets
Non Performing Assets Mar 31, Mar 31, Mar 31, Mar 31, Mar 31, Jun 30, Sep 30, Dec 31, Mar 31, 2013 2014 2015 2016 2017 2017 2017 2017 2018 Gross NPA 3.18% 1.69% 1.76% 1.51% 1.59% 1.74% 1.80% 1.89% 1.79% Net NPA 0.75% 0.91% 1.01% 0.75% 0.79% 0.92% 0.90% 0.87% 0.72% Provision 85.71% 80.54% 74.66% 77.5
Slide 13: Gross NPA Movement
Gross NPA Movement INR mn Q4 2016-17 Q3 2017-18 Q4 2017-18 FY 2017-18 Opening Balance 2,279 3,158 3,545 2,542 (+) Add Fresh Slippages 742 1,031 805 3,463 Addition to Existing 4 7 9 26 NPAs (-) Less Recoveries 225 307 284 985 Upgrades 168 269 383 1,034 Write Offs / Sacrifice 90 75 2 322 Closing Balan
Slide 14: Treasury
Treasury Mar 31, Mar 31, Mar 31, Mar 31, Mar 31, Mar 31, Mar 31, INR mn 2012 2013 2014 2015 2016 2017 2018 SLR 20,219 24,332 28,072 34,750 39,855 47,711 49,091 Non-SLR 774 5,552 4,236 4,872 3,478 10,468 13,099 Total Investments* 20,993 29,884 32,308 39,622 43,333 58,179 62,190 HTM 16,660 19,903 22,6
Slide 15: Capital Adequacy Ratios – Basel III
Capital Adequacy Ratios – Basel III Mar 31, Mar 31, Mar 31, Mar 31, Mar 31, Mar 31, Mar 31, 2012 2013 2014 2015 2016 2017 2018 CRAR 15.41% 13.61% 13.71% 14.95% 14.11% 13.76% 16.47% -- Tier I 13.81% 12.62% 12.86% 14.21% 12.79% 11.87% 12.72% -- Tier II 1.60% 0.99% 0.85% 0.74% 1.32% 1.89% 3.75% RWA* 57
Slide 16: Ratings
Ratings Sep 30, Dec 31, Mar 31, Sep 30, Dec 31, Sep 30, Mar 31, 2013 2014 2016 2016 2016 2017 2018 ICRA Long Term – A+(hyb) A+(hyb) A+(hyb) A+(hyb) A+(hyb) Subordinated - - (stable) (stable) (stable) (stable) (stable) Debt Short – Term Fixed - A1+ A1+ A1+ A1+ A1+ A1+ Deposits CRISIL Long Term – A+ S
Slide 17: Overview
Overview 17 DCB Bank Limited
Slide 18: Who is our Customer?
Self Employed / Small Business (For example: Trader, Commodity, Gold Trader, Vegetable Trader, Commission Agent, Retailer, Restaurant Owner, Caterer, Baker, Vending Machine Supplier , Consultant, Doctor, Contractor, Interior Decorator, Software Designer, Salon, Beauty Parlor, Printer, Electrical Eng
Slide 19: Our Customers
Our Customers 19 DCB Bank Limited
Slide 20: Cold Storage and Ice Factory
Cold Storage and Ice Factory 20
Slide 21: Computer Hardware Shop
MY computer Hardware Shop ges zs ; 4 ; ay : [iw amet 21
Slide 22: Glass Merchant
Glass Merchant 22
Slide 23: Jute Bag Manufacturer
DCB BANK Jute Bag Manufacturer
Slide 24: Imitation Jewellery Retailer
Imitation Jewellery Retailer 24
Slide 25: Medical Equipment Dealer
DCB BANK Medical Equipment Dealer
Slide 26: Saree Boutique
DCB BANK Saree Boutique
Slide 27: Toy Shop Owner
Toy Shop Owner 27
Slide 28: Business Strategy
Business Strategy Rely mainly on Retail 1 Concentrate on Tier 2 to 2 Relentless focus on 3 Deposits (Term, CASA). Tier 6 locations. Liquidity, Costs, Grow NRI deposits. Limit Operational Risks, dependency on bulk. People and Customer Service. Improve continuously. 4 Form strategic alliances 5 Contin
Slide 29: Products and Services
Products and Services Retail Banking SME, Corporate Banking, NBFCs, Co-operative Banks Deposit Products: Loans: Bills Collection Term Loans Corporate Salary Auto Loan Current Account Trade Current Account Current and Savings Commercial Vehicle Foreign Exchange Working Capital L
Slide 30: Capital Raising and Milestones
Capital Raising and Milestones Tier I Capital Raising Milestones 2017 QIP of INR 3.8 bn 2017 Opened 300th Branch 2014 QIP of INR 2.5 bn 2016 Opened 200th Branch QIP of INR 940 mn and Preferential 2015 Opened 150th Branch 2012 Allotment of INR 1,390 mn 2013 Name changed to DCB Bank Ltd. 2009 QIP of I
Slide 31: Investor Profile as on March 31, 2018
Investor Profile as on March 31, 2018 Key Non Promoter Shareholders % Matthews India Fund 4.09% Sundaram Mutual Fund * 4.01% Premji Invest * 3.95% *AKFED and PJI 15.00% ***Institutions Tano Mauritius India FVCI II 3.45% 46.28% Others (Non- Aditya Birla Sunlife Mutual Fund * 3.02% Institutions)** 02.
Slide 32: Board of Directors
Board of Directors Amin Manekia Pioneered in concept of automatic beverage vending machines in India. More than 20 years in various capacities in different institutions of AKDN for the social-economic uplift of the poor. Altaf Jiwani Expertise in Foreign Exchange, Risk Management and Trade Finance.
Slide 33: Management Team
Management Team Aditya Prasad – 31 yrs work exp. Ajay Mathur – 23 yrs work exp. Abhijit Bose - *25 yrs work exp. Head – Processes & Projects Head – Collections & Commercial Chief Credit Officer Vehicles Abhijit Shah – 23 yrs work exp. T P Anuradha – 17 yrs work exp. Amit Mehta – 18 yrs work exp. Chi
Slide 34: Awards & Recognition
Awards & Recognition 34 DCB Bank Limited
Slide 35: Runner-up as fastest growing Small Bank at Businessworld Magna Awards
DCB Bank awarded Runner-up as the fastest growing Small Bank at Businessworld Magna Awards 2018 35 DCB Bank Limited
Slide 36: Award for Excellence in Omni Channel Experience at IDC Awards
DCB Bank wins award for Excellence in Omni Channel Experience at the prestigious IDC Awards 36 DCB Bank Limited
Slide 37: Best SME Offering (Private Bank) at ASSOCHAM
DCB Bank was adjudged the Best SME Offering (Private Bank) at the ASSOCHAM Annual Conference 37 DCB Bank Limited
Slide 38: Leadership Award at CTO Summit 2017
DCB Bank wins ‘Leadership Award’ at CTO Summit 2017 38
Slide 39: Top Innovative CIO 2017 Award by Express Computer
DCB Bank wins ‘Top 100 Innovative CIO 2017 Award’ by Express Computer 39
Slide 40: Top Payment Influential Award at World Payment Congress
DCB Bank wins ‘Top 50 Payment Influential Award’ at World Payment Congress 40
Slide 41: Digital Update
Digital Update 41 DCB Bank Limited
Slide 42: Four pillars of digital agenda
Four pillars of digital agenda 1 2 Core Applications – continuously Mobile / Tab – create customer upgrade business applications to convenience by optimum use of support digital transformation mobile devices 3 4 Payments – innovative solutions Infrastructure – modernize to that are dynamic, secure a
Slide 43: Partnership with InstaRem for online overseas remittance
Bank partnered with InstaRem to provide online overseas remittance services from India 43
Slide 44: Bank has launched Instant Remittance solution
Bank has launched Instant Remittance solution 44
Slide 45: Bharat Bill Payment System on DCB website
Bank launched Bharat Bill Payment System on DCB website 45
Slide 46: Multi Channel CASA Banking – Current Account Module
Bank Launched Multi Channel CASA Banking – Current Account Module 46
Slide 47: Thank you
Thank you To receive investor updates from DCB Bank Ltd., write in at investorrelations@dcbbank.com . Do let us know of any change in your contact details on the same email ID. Corp. & Reg. Office: 6th Floor, Tower A, Peninsula Business Park, Senapati Bapat Marg, Lower Parel, Mumbai – 400013 CIN: L9