Idfc First Bank Ltd. · NSE:IDFCFIRSTB
Idfc First Bank — Q3 FY21 Earnings Presentation
84 slides from Idfc First Bank's earnings presentation, January 2021
Slide 1: Corporate Presentation – Q3 FY21
Corporate Presentation – Q3 FY21
Slide 2: Disclaimer
Disclaimer This presentation has been prepared by and is the sole responsibility of IDFC FIRST Bank (together with its subsidiaries, referred to as the “Company”). By accessing this presentation, you are agreeing to be bound by the trailing restrictions. This presentation does not constitute or form
Slide 3: Status of progress vis-à-vis guidance given at merger (assets)
Status of our progress vis-à-vis Guidance provided at the time of the merger Mar-18 Sep-18 Dec-18 Guidance given at the time of Dec-20 Particulars Status (pre merger) (pre merger) (upon merger) merger for FY24-FY25 (actual) Retail Funded Assets Rs. 7,038 Cr Rs. 9,916 Cr Rs. 36,236 Cr Rs. 100,000 Cr
Slide 4: Status of progress vis-à-vis guidance given at merger (liabilities)
Status of our progress vis-à-vis Guidance provided at the time of the merger Mar-18 Sep-18 Dec-18 Guidance given at the time of Dec-20 Particulars Status (pre merger) (pre merger) (at merger) merger for FY24-FY25 (actual) L CASA as a % of Deposits (%) 11.54% 12.98% 8.68% 30% (FY24), 48.31% Achieved
Slide 5: Status of achievements vis-à-vis guidance (profitability)
Status of our achievements vis-à-vis Guidance provided at the time of the merger Mar-18 Sep-18 Dec-18 Guidance given at the time of Dec-20 P Particulars Status (pre merger) (pre merger) (at merger) merger for FY24-FY25 (actual) R O F Net Interest Margin % 1.58% 1.56% 2.89% 5-5.5% 4.65% On Track I T
Slide 6: Results at a glance: Strong Strides across Strategic Priorities
Results at a glance: IDFC FIRST Bank: Strong Strides across all the Strategic Priorities We are happy to report that we are making strong progress on the guidance given at the time of merger. 1. Strong Growth in Retail Assets: • Retail Book increased 24% YoY to Rs. 66,665 crore as on Dec 31, 2020 fr
Slide 7: Results at a glance: Strong growth in Core Earnings
Results at a glance: IDFC FIRST Bank: Strong Strides across all the Strategic Priorities 3. Strong growth in Core Earnings: a. Strong NII Growth: NII grew by 14% YOY to Rs. 1,744 crore in Q3 FY21 from Rs. 1,534 crore in Q3 FY20. It grew by 5% QOQ from Rs. 1,660 crore in Q2 FY21. NII for the current
Slide 8: Results Update: Asset Quality remains high
Results Update: IDFC FIRST Bank: Strong Strides across all the Strategic Priorities 4. Asset Quality of the Bank remains high • Bank’s Gross NPA reduced sequentially from 1.62% as of Sept 30, 2020 to 1.33% as of Dec 31, 2020. • Bank Net NPA reduced sequentially from 0.43% as of Sept 30, 2020 to 0.33
Slide 9: Results Update: Capital Adequacy and Franchise
Results Update: IDFC FIRST Bank: Strong Strides across all the Strategic Priorities 5. Strong Capital Adequacy: • Capital Adequacy Ratio is strong at 14.33% with CET-1 Ratio at 13.82% as of Dec 31, 2020. 6. Franchise: • The Branch Network now stands at 576 branches and 541 ATMs across the country as
Slide 10: Table of Contents
10 SECTION 1: THE FOUNDING OF IDFC FIRST BANK 16 SECTION 2: VISION & MISSION OF IDFC FIRST BANK Table 19 SECTION 3: PRODUCT OFFERING of 23 SECTION 4: FINANCIAL PERFORMANCES Contents 54 SECTION 5: DIRECTORS & SHAREHOLDERS 59 SECTION 6: STRATEGY GOING FORWARD FOR THE COMBINED ENTITY 64 SECTION 7: CAPI
Slide 11: Section 1: The Founding of IDFC FIRST Bank
SECTION 1: The Founding of IDFC FIRST Bank • Events Leading to Merger – ✓ Erstwhile IDFC Bank - Origin & History ✓ Erstwhile Capital First - Origin & History ✓ Merger between Erstwhile IDFC Bank and Erstwhile Capital First
Slide 12: IDFC FIRST Bank was founded by the merger of IDFC Bank and Capital First
Section 1: The Founding of IDFC FIRST Bank.. IDFC FIRST Bank was founded by the merger of Erstwhile IDFC Bank and Erstwhile Capital First on December 18, 2018. Section 1: The Founding of IDFC FIRST Bank 12
Slide 13: The Founding of IDFC FIRST Bank: Erstwhile IDFC Bank and Capital First
Section 1: The Founding of IDFC FIRST Bank.. Erstwhile IDFC BANK Erstwhile CAPITAL FIRST LIMITED IDFC Limited was set up in 1997 to finance infrastructure focusing Mr Vaidyanathan who had built ICICI Bank’s Retail Banking business primarily on project finance and mobilization of capital for private
Slide 14: The Founding of IDFC FIRST Bank (continued)
Section 1: The Founding of IDFC FIRST Bank.. Erstwhile IDFC BANK Erstwhile CAPITAL FIRST LIMITED Continued from page 6 Continued from page 6 The bank was launched through this demerger from IDFC Limited in .. Between March 31, 2010 to March 31, 2018, the Company’s Retail November 2015. During the su
Slide 15: The Founding of IDFC FIRST Bank: merger terms and aftermath
Section 1: The Founding of IDFC FIRST Bank.. In January 2018, Erstwhile IDFC Bank and Erstwhile Capital First announced a merger. Shareholders of Erstwhile Capital First were to be issued 13.9 shares of the merged entity for every 1 share of Erstwhile Capital First. Thus, IDFC FIRST Bank was founded
Slide 16: Table of Contents
10 SECTION 1: THE FOUNDING OF IDFC FIRST BANK 16 SECTION 2: VISION & MISSION OF IDFC FIRST BANK 19 SECTION 3: PRODUCT OFFERING 23 SECTION 4: FINANCIAL PERFORMANCES 54 SECTION 5: DIRECTORS & SHAREHOLDERS 59 SECTION 6: STRATEGY GOING FORWARD FOR THE COMBINED ENTITY 64 SECTION 7: CAPITAL FIRST STRATEGY
Slide 17: Key excerpts from MD & CEO's Letter - Annual Report 2018-19
Section 2: Key excerpts from MD & CEO’s Letter - Annual Report 2018-19 Theme of inaugural Annual Report after merger AR 18-19: “A New Beginning” Our founding philosophy: Strategy for the Bank: “ ” V Vaidyanathan, MD & CEO, IDFC FIRST Bank Section 2: Vision and Mission 17
Slide 18: Key excerpts from MD & CEO's Letter - Annual Report 2019-20
Section 2: Key excerpts from MD & CEO’s Letter - Annual Report 2019-20 Theme of 2nd Annual Report after merger: AR 19-20: “Building a Strong Foundation“ Section 2: Vision and Mission 18
Slide 19: Table of Contents
10 SECTION 1: THE FOUNDING OF IDFC FIRST BANK 16 SECTION 2: VISION & MISSION OF IDFC FIRST BANK 19 SECTION 3: PRODUCT OFFERING 23 SECTION 4: FINANCIAL PERFORMANCES 54 SECTION 5: DIRECTORS & SHAREHOLDERS 59 SECTION 6: STRATEGY GOING FORWARD FOR THE COMBINED ENTITY 64 SECTION 7: CAPITAL FIRST STRATEGY
Slide 20: Loan offerings across customer segments
Section 3: Loan offerings – IDFC FIRST Bank offers a bouquet of loan products.. .. across varied customer segments including Consumers and MSMEs in different parts of India Loan Against Property: Business Loans: Consumer Durable Loans: Two Wheeler Loans: Home Loans: Unsecured Loans to the self- To t
Slide 21: Product Offering (Assets) – Credit Card launched in January 2021
Section 3: Product Offering (Assets) – Credit Card launched in January 2021 INDUSTRY IDFC FIRST Bank Credit Cards customer friendly A Credit Card, like no other initiatives Customer friendly card launched by the Bank, keeping in line with the ethos of always customer first. Multiple Fees (Annual/ Ov
Slide 22: Product Offerings – Liabilities, Payments and other Services
Section 3: Product Offerings – Liabilities, Payments and other Services IDFC FIRST Bank provides wide range of Deposit facilities along with Savings Accounts, Deposit accounts, Wealth Management, Forex Services, Cash Management Services and Insurance services to its customers. Wealth Management Serv
Slide 23: Table of Contents
10 SECTION 1: THE FOUNDING OF IDFC FIRST BANK 16 SECTION 2: VISION & MISSION OF IDFC FIRST BANK 19 SECTION 3: PRODUCT OFFERING 23 SECTION 4: FINANCIAL PERFORMANCES 54 SECTION 5: DIRECTORS & SHAREHOLDERS 59 SECTION 6: STRATEGY GOING FORWARD FOR THE COMBINED ENTITY 64 SECTION 7: CAPITAL FIRST STRATEGY
Slide 24: Section 4: Financial Performance of the Bank for Q3 FY21
SECTION 4: FINANCIAL PERFORMANCE OF THE BANK FOR Q3 FY21 • Assets Update • Assets Quality • Update on Liabilities • Key Business & Financial Parameters ✓ Income Statement ✓ Balance Sheet ✓ Net Interest Margin ✓ Capital Adequacy
Slide 25: Retail loans as a % of total loans has improved to 65%
Section 4: Retail loans as a % of total loans has improved to 65% (including PSL buyouts). • The Bank proposes to follow the strategy guided earlier – to provide financing to consumers, MSMEs, small businesses and other retail loans which is a large opportunity in India. • This is a crying social ne
Slide 26: Consumer and SME business has a rich history of 10 years
Section 4: Together, the Consumer and SME business has a rich history of 10 years with stable growth and high Asset quality. • Capital First focused on growing the MSME Loans, Consumer Loans and affordable Housing Loans All amounts are in Rs. crore unless specified • The retail loan book of erstwhil
Slide 27: Wholesale loan assets have 10 years track record
Section 4: Wholesale loan Assets have 10 years track record • Wholesale loan Assets have steadily reduced over the last two years • Post merger, the Bank has gradually reduced the overall Wholesale Funded Assets of the combined entity to reduce concentration risk. The bank began winding down the inf
Slide 28: Infrastructure Loan Book reduced by 26% YOY
Section 4: As per stated strategy at merger, the Infrastructure Loan Book has been reduced by 26% YOY. All amounts are in Rs. crore unless specified The Infrastructure book reduced by 49% (Rs. 11,108 crore) since merger 26,832 26,553 23,637 22,710 21,459 20,322 17,211 15,601 14,840 13,416 12,502 11,
Slide 29: Total Funded Assets Breakup
Section 4: Total Funded Assets Breakup Growth% Growth% In Rs. Crore Dec-19 Mar-20 Jun-20 Sep-20 Dec-20 (YoY) (QoQ) Mortgage Loans 19,023 20,314 20,288 22,034 24,379 28% 11% Consumer Loans 19,152 19,971 19,211 20,205 23,431 22% 16% MSME Loans 9,559 10,338 9,775 10,676 11,608 21% 9% Rural Micro Financ
Slide 30: Initiative to reduce concentration risk on Assets
Section 4: Initiative to reduce concentration risk on Assets 12.8% Exposure to Top 10 Borrowers as a % of Total Funded Assets has been reduced to 6.3% currently from 12.8% as on December 2018 to reduce balance sheet risks 9.8% 9.1% 8.3% 7.4% 7.2% 7.3% 7.1% 6.3% 31 Dec 18 31 Mar 19 30 Jun 19 30 Sep 1
Slide 31: Section 4: Financial Performance of the Bank for Q3 FY21
SECTION 4: FINANCIAL PERFORMANCE OF THE BANK FOR Q3 FY21 • Assets Update • Assets Quality • Update on Liabilities • Key Business & Financial Parameters ✓ Income Statement ✓ Balance Sheet ✓ Net Interest Margin ✓ Capital Adequacy
Slide 32: Strong overall Asset Quality, Retail Asset quality remains high
Section 4: Bank maintains strong overall Asset Quality, Retail Asset quality remains high In Rs. Crore Dec-19 Mar-20 Jun-20 Sep-20 Dec-20 GNPL 2,511 2,280 1,742 1,486 1,289 Provisions for GNPL 1,440 1,471 1,305 1,095 969 NNPL 1,071 809 437 391 321 GNPA (%) 2.83% 2.60% 1.99% 1.62% 1.33% NNPA (%) 1.23
Slide 33: Gross and Net NPA have reduced over the last quarters
Section 4: Gross and Net NPA of the Bank have reduced over the last quarters. These figures include the impact of the Supreme Court notification to stop NPA classification post August 31, 2020 till further orders. Without this impact the GNPA as on 31 December 2020 would have been 4.18% and the NNPA
Slide 34: Wholesale accounts identified as stressed and provisioned
Section 4: In addition to declared NPA accounts in Wholesale Loan Assets, Bank has proactively identified the following wholesale accounts, which are standard on the books but are stressed or potential NPAs, and taken provisions for the same proactively. O/S Client Description (Rs. Crore) Provision
Slide 35: Exposure to identified Stressed Assets has reduced
Section 4: Exposure to identified Stressed Assets mentioned in previous slide, has reduced by Rs. 1,611 crore since March 31, 2019, a reduction of 39%. PCR at 51%. All amounts are in Rs. crore unless specified O/s Exposure Provision Provision coverage 23% 47% 47% 50% 49% 52% 48% 51% 4,138 3,804 3,54
Slide 36: Retail loan asset quality trends over 8 years at Capital First
Section 4: Since Retail Loans model imported from Capital First is the key model for loans going forward, we present asset quality trends over the last 8 years at Capital First as below as a demonstration of our trend in asset quality and our capabilities in this space. The incipient retail loan of
Slide 37: Gross and Net NPA of Retail Loans broadly steady
Section 4: Gross and Net NPA pertaining to Retail Loans have broadly remained steady, and showed a reducing trend over the last quarters on the banking platform. These figures include the impact of the Supreme Court notification to stop NPA classification post August 31, 2020 till further orders. Wi
Slide 38: Retail Loans - Gross and Net NPA
Section 4: Retail Loans - Gross and Net NPA Long term Proforma Change Mar-19 Jun-19 Sep-19 Dec-19 pre COVID Average Dec-20 (bps) Dec-20 Gross NPA - Retail 2.19% 2.33% 2.31% 2.26% 2.27% 3.88% 161 Net NPA - Retail 1.25% 1.15% 1.08% 1.06% 1.14% 2.35% 121 Provision Coverage Ratio (%) 43% 51% 54% 54% 51%
Slide 39: Section 4: Financial Performance of the Bank for Q3 FY21
SECTION 4: FINANCIAL PERFORMANCE OF THE BANK FOR Q3 FY21 • Assets Update • Assets Quality • Update on Liabilities • Key Business & Financial Parameters ✓ Income Statement ✓ Balance Sheet ✓ Net Interest Margin ✓ Capital Adequacy
Slide 40: Retailization of Liabilities: Retail deposits 76% of customer deposits
Section 4: The Bank has made rapid progress in retailization of Liabilities. Retail liabilities now comprise 76% of customer deposits, up from 27% at merger. • The Bank recognises that large institutional deposits pose concentration risk to the Bank. • Hence, the Bank is focused for retailization of
Slide 41: Granularization / Diversification of Liabilities
Section 4: Granularization / Diversification of Liabilities (Deposits <= Rs. 5 crore) All figures are in Rs. crore unless specified. Customer Deposits have become more granular since merger. 78% of the total Customer Deposits have outstanding balances Rs. 5 crore or below as compared to 31% as on De
Slide 42: CASA deposits registered strong YOY growth of 150%
Section 4: CASA deposits have registered a strong YOY growth of 150% All figures are in Rs. crore unless specified. • With the healthy growth of CASA deposits which translated to 48% CASA ratio as on 31 December 2020, the Bank has been carrying excess liquidity. 40,563 $ • Thus, with effect from 1 F
Slide 43: CASA Ratio has improved rapidly since merger
Section 4: CASA Ratio has improved rapidly over last quarters since merger to reach 48.31% CASA Ratio is computed in terms of CASA as a percentage of Total deposits (CASA+ Certificate of Deposits+ Term Deposits). Consistent growth in CASA and decreasing dependency on Certificate of Deposits and Whol
Slide 44: Average CASA Ratio has also improved rapidly
Section 4: Average CASA Ratio has also improved rapidly over last quarters since merger to reach 44.66% Average CASA Ratio is computed in terms of Average daily CASA as a percentage of Average Total deposits and removes skewed balances during month ends. Average CASA Ratio also reflected a sharp gro
Slide 45: Strong growth in Retail Deposits
Section 4: The Bank continues to see strong growth in Retail Deposits. This has reduced the dependence on wholesale deposits and has provided greater stability. In Rs. Crore Dec-19 Sep-20 Dec-20 QOQ % YOY% Legacy Long Term Bonds 12,705 10,331 9,460 -8% -26% Legacy Infra Bonds 10,434 9,522 9,514 0% -
Slide 46: Bank has reduced Certificate of Deposits
Section 4: The bank has reduced Certificate of Deposits as per the stated Strategy to reduce short term institutional borrowings to strengthen the balance sheet. • In March 2019, we started the process to reduce our dependence on Certificate of Deposits and have consciously brought it down every qua
Slide 47: Reduced concentration of Top 20 Depositors
Section 4: The Bank has sharply reduced the concentration of Top 20 Depositors as a % of Total Customer Deposits and made the liabilities side more resilient. Top 20 Depositors as a % of Total Customer Deposits has reduced from 39.98% as on 31 December 2018 to 9.69% as on 30 September 2020. 39.98% 3
Slide 48: Section 4: Financial Performance of the Bank for Q3 FY21
SECTION 4: FINANCIAL PERFORMANCE OF THE BANK FOR Q3 FY21 • Assets Update • Assets Quality • Update on Liabilities • Key Business & Financial Parameters ✓ Income Statement ✓ Balance Sheet ✓ Net Interest Margin ✓ Capital Adequacy
Slide 49: Income Statement – Nine months ending December 31, 2020
Section 4: Income Statement – Nine months ending December 31, 2020 Growth (%) In Rs. Crore 9M FY20 9M FY21 Y-o-Y Interest Income 11,911 11,585 -3% Interest Expense 7,840 6,555 -16% Net Interest Income 4,072 5,030 24% Fee & Other Income 1,117 1,022 -9% Operating Income (Excl Trading Gain) 5,189 6,051
Slide 50: Quarterly Income Statement
Section 4: Quarterly Income Statement Growth (%) Growth (%) In Rs. Crore Q3 FY20 Q2 FY21 Q3 FY21 Y-o-Y Q-o-Q Interest Income 4,1001 3,801 3,9522 -4% 4% Interest Expense 2,566 2,141 2,209 -14% 3% Net Interest Income 1,534 1,660 1,744 14% 5% Fee & Other Income 437 291 582 33% 100% Operating Income (Ex
Slide 51: Balance Sheet
Section 4: Balance Sheet Growth (%) Growth (%) In Rs. Crore Dec-19 Sep-20 Dec-20 (Y-o-Y) (Q-o-Q) Shareholders' Funds 15,240 17,538 17,668 16% 1% Deposits 68,697 75,800 84,294 23% 11% - Retail Deposits 29,267 49,610 58,435 100% 18% - Wholesale Deposits (including CD) 39,431 26,190 25,859 -34% -1% Bor
Slide 52: Gradual improvement in Net Interest Margins to 4.65%
Section 4: Gradual improvement in Net Interest Margins from 2.89% (merger quarter) to 4.65% in Q3 FY21. • The NIM of the standalone Bank IDFC bank was 1.56% in September 2018, which was the last quarter prior to the merger in December 2018. On merger, the NIM increased to 2.89%. Since then, this gra
Slide 53: Capital Adequacy Ratio is 14.33% with CET-1 at 13.82%
Section 4: Capital Adequacy Ratio is 14.33% with CET-1 Ratio at 13.82% In Rs. Crore Dec-19 Sep-20 Dec-20 Common Equity 14,638 17,146 17,287 Tier 2 Capital Funds 6 475 629 Total Capital Funds 14,644 17,621 17,917 Total RWA 1,10,228 1,19,659 1,25,052 CET 1 Ratio (%) 13.28% 14.33% 13.82% Total CRAR (%)
Slide 54: Table of Contents
10 SECTION 1: THE FOUNDING OF IDFC FIRST BANK 16 SECTION 2: VISION & MISSION OF IDFC FIRST BANK 19 SECTION 3: PRODUCT OFFERING 23 SECTION 4: FINANCIAL PERFORMANCES 54 SECTION 5: DIRECTORS & SHAREHOLDERS 59 SECTION 6: STRATEGY GOING FORWARD FOR THE COMBINED ENTITY 64 SECTION 7: CAPITAL FIRST STRATEGY
Slide 55: Board of Directors
Section 5: Board of Directors With over two decades in financial services in India, V. Vaidyanathan has seen India through many lens – first as a banker (1990-2010, Citibank), then as an entrepreneur (2010-2019, Capital First) and a professional banker again (2019- date, after merging Capital First
Slide 56: Board of Directors
Section 5: Board of Directors DR. SANJAY KUMAR – NON-EXECUTIVE NON INDEPENDENT DIRECTOR (REPRESENTING THE GOVT. OF INDIA) (w.e.f June 22, 2020) Dr. Sanjay Kumar joined Board of Directors of IDFC FIRST Bank w.e.f. June 22, 2020. He belongs to 2003 batch of Indian Post & Telecom accounts and Finance S
Slide 57: Board of Directors
Section 5: Board of Directors DR.(MRS.) BRINDA JAGIRDAR - INDEPENDENT DIRECTOR Dr. (Mrs.) Brinda Jagirdar, is an independent consulting economist with specialization in areas relating to the Indian economy and financial intermediation. She is on the Governing Council of Treasury Elite, a knowledge s
Slide 58: Shareholding Pattern as of December 31, 2020
Section 5: Shareholding Pattern as of December 31, 2020 Scrip Name : IDFC FIRST Bank (BSE: 539437, NSE:IDFCFIRSTB) Key Shareholders % Holding (through their respective various funds and affiliate companies wherever applicable) Other Body President of Corporate, 1.1% IDFC Financial Holding Company Li
Slide 59: Table of Contents
10 SECTION 1: THE FOUNDING OF IDFC FIRST BANK 16 SECTION 2: VISION & MISSION OF IDFC FIRST BANK 19 SECTION 3: PRODUCT OFFERING 23 SECTION 4: FINANCIAL PERFORMANCES 54 SECTION 5: DIRECTORS & SHAREHOLDERS 59 SECTION 6: STRATEGY GOING FORWARD FOR THE COMBINED ENTITY 64 SECTION 7: CAPITAL FIRST STRATEGY
Slide 60: Section 6: Strategy Going Forward for the Combined Entity
SECTION 6: STRATEGY GOING FORWARD FOR THE COMBINED ENTITY • Key Strategies for the combine entity – ✓ Asset Strategy • Growth of Assets • Diversification of Assets • Gross Yield expansion ✓ Liability Strategy • CASA Growth • Diversification of Liability • Branch Expansion ✓ Profitability • Expand Ne
Slide 61: Asset Strategy as guided at the time of merger
Section 6: Asset Strategy for IDFC FIRST Bank as guided at the time of merger in December 2018. • Growth of Assets: • The Bank plans to grow retail loan assets from Rs. 36,236 crore (December 31, 2018) to over Rs. 100,000 crore in the next 5 years • The Bank plans to wind down loans to infrastructur
Slide 62: Liability Strategy as guided at the time of merger
Section 6: Liability Strategy for IDFC FIRST Bank as guided at the time of merger in December 2018. • CASA Growth: This is a key focus and growth area for the bank. We plan to increase the CASA Ratio from 8.68% as of December 31, 2018 on a continuous basis year on year and strive to reach 30% CASA r
Slide 63: Profitability strategy
Section 6: Profitability • Net Interest Margin: The bank plans to expand the NIM to about 5.0% - 5.5% in the next 5 years based on better cost of funds and carefully selecting the product segments where we have strong proven capabilities over the years. • Asset Quality: Over 90% of the Retail Loan B
Slide 64: Table of Contents
10 SECTION 1: THE FOUNDING OF IDFC FIRST BANK 16 SECTION 2: VISION & MISSION OF IDFC FIRST BANK 19 SECTION 3: PRODUCT OFFERING 23 SECTION 4: FINANCIAL PERFORMANCES 54 SECTION 5: DIRECTORS & SHAREHOLDERS 59 SECTION 6: STRATEGY GOING FORWARD FOR THE COMBINED ENTITY 64 SECTION 7: CAPITAL FIRST STRATEGY
Slide 65: Section 7: Capital First Strategy, Loan Growth and Profitability Trends
SECTION 7: CAPITAL FIRST STRATEGY, LOAN GROWTH AND PROFITABILITY TRENDS FOR 8 YEARS (BEFORE MERGER WITH IDFC BANK) • History of Capital First Limited • Transformation into Retail Franchise • Business Areas of Focus • Past Financial Performances
Slide 66: Business model of Capital First
Section 7: Extract from Capital First investor Presentation of September 2018, which is the last quarter prior to merger. Presented here to demonstrate the capability of the core loan book and the track record of growth and profitability. Since the business model of Capital First is an important par
Slide 67: History of Capital First Limited
Section 7: Successful Trajectory of Growth and Profits at Capital First History of Capital First Limited The Company was first listed on Stock Exchanges in January 2008. Between 2010 to 2012, Mr Vaidyanathan acquired a stake in the company and executed a Management Buyout (MBO) of the Company with e
Slide 68: Successful Trajectory of Growth and Profits at Capital First
Section 7: Successful Trajectory of Growth and Profits at Capital First. This page is an extract from Capital First investor Presentation of September 2018, which is the last quarter prior to merger. Presented here to demonstrate the capability of the core loan book and the track record of growth an
Slide 69: Capital First retail franchise and diversified portfolio
Section 7: Successful Trajectory of Growth and Profits at Capital First. This page is an extract from Capital First investor Presentation of September 2018, which is the last quarter prior to merger. Presented here to demonstrate the capability of the core loan book and the track record of growth an
Slide 70: Capital First retail loan book growth
Section 7: Successful Trajectory of Growth and Profits at Capital First This page is an extract from Capital First investor Presentation of September 2018, which is the last quarter prior to merger. Presented here to demonstrate the capability of the core loan book and the track record of growth and
Slide 71: Capital First lines of business
Section 7: Successful Trajectory of Growth and Profits at Capital First This page is an extract from Capital First investor Presentation of September 2018, which is the last quarter prior to merger. Presented here to demonstrate the capability of the core loan book and the track record of growth and
Slide 72: MSME Financing – key area of focus
Section 7: Successful Trajectory of Growth and Profits at Capital First This page is an extract from Capital First investor Presentation of September 2018, which is the last quarter prior to merger. Presented here to demonstrate the capability of the core loan book and the track record of growth and
Slide 73: Credit Framework
Section 7: Successful Trajectory of Growth and Profits at Capital First This page is an extract from Capital First investor Presentation of September 2018, which is the last quarter prior to merger. Presented here to demonstrate the capability of the core loan book and the track record of growth and
Slide 74: Rigorous Credit Underwriting Process
Section 7: Successful Trajectory of Growth and Profits at Capital First This page is an extract from Capital First investor Presentation of September 2018, which is the last quarter prior to merger. Presented here to demonstrate the capability of the core loan book and the track record of growth and
Slide 75: Stable Asset Quality at Capital First
Section 7: Successful Trajectory of Growth and Profits at Capital First This page is an extract from Capital First investor Presentation of September 2018, which is the last quarter prior to merger. Presented here to demonstrate the capability of the core loan book and the track record of growth and
Slide 76: Assets Under Management growth
Section 7: Successful Trajectory of Growth and Profits at Capital First This page is an extract from Capital First investor Presentation of September 2018, which is the last quarter prior to merger. Presented here to demonstrate the capability of the core loan book and the track record of growth and
Slide 77: Yearly Return on Equity
Section 7: Successful Trajectory of Growth and Profits at Capital First This page is an extract from Capital First investor Presentation of September 2018, which is the last quarter prior to merger. Presented here to demonstrate the capability of the core loan book and the track record of growth and
Slide 78: Profit After Tax (Normalized)
Section 7: Successful Trajectory of Growth and Profits at Capital First This page is an extract from Capital First investor Presentation of September 2018, which is the last quarter prior to merger. Presented here to demonstrate the capability of the core loan book and the track record of growth and
Slide 79: Earning per Share
Section 7: Successful Trajectory of Growth and Profits at Capital First This page is an extract from Capital First investor Presentation of September 2018, which is the last quarter prior to merger. Presented here to demonstrate the capability of the core loan book and the track record of growth and
Slide 80: Cost to Income ratio
Section 7: Successful Trajectory of Growth and Profits at Capital First This page is an extract from Capital First investor Presentation of September 2018, which is the last quarter prior to merger. Presented here to demonstrate the capability of the core loan book and the track record of growth and
Slide 81: Market Capitalization
Section 7: Successful Trajectory of Growth and Profits at Capital First This page is an extract from Capital First investor Presentation of September 2018, which is the last quarter prior to merger. Presented here to demonstrate the capability of the core loan book and the track record of growth and
Slide 82: Dividend pay-out
Section 7: Successful Trajectory of Growth and Profits at Capital First This page is an extract from Capital First investor Presentation of September 2018, which is the last quarter prior to merger. Presented here to demonstrate the capability of the core loan book and the track record of growth and
Slide 83: Summary – Strategy for IDFC FIRST Bank
Section 7: Summary – Strategy for IDFC FIRST Bank In summary, under our stated strategy for the combined entity, IDFC FIRST Bank, the same successful model of Capital First lending business is now being built on a Bank platform from IDFC Bank, thus the business becomes more profitable, robust and su
Slide 84: Thank You
THANK YOU IDFC FIRST Bank