Munchener Ruckversicherungs-gesellschaft Ag · XETR:MUV2
Munchener Ruckversicherungs-gesellschaft — Housing Development Finance — Investor Presentation (October 2007)
27 slides from Munchener Ruckversicherungs-gesellschaft's investor presentation, Oct 30, 2007
Slide 1: Housing Development Finance Corporation Limited
Housing Development Finance Corporation Limited
Slide 2: HDFC Snapshot: Who We Are
HDFC Snapshot WHO WE ARE… • Incorporated in 1977 as the first specialised mortgage Co. in India • Now a Financial Conglomerate with interests beyond Mortgage: HDFC HDFC 60% 100% 80.5% 80.5% 79.53% 79.53% 60% 100% 100% HDFC 23.36% 100% HDFC HDFC HDFC HDFC HDFC HDFC 23.36% HDFC HDFC Asset HDFCBank Ban
Slide 3: Mortgage Business Summary
HDFC Snapshot MORTGAGE BUSINESS SUMMARY • Mortgage Loan Assets : Rs 620.20 bn (As of Sept 2007) : US$ 15.5 bn • Cumulative Loan Disbursements : Rs 1335.56 bn (Inception to Sept 2007) : US$ 33.4 bn • Loan Disbursements : Rs 261.18 bn (FY March 2007) : US$ 6.5 bn Cumulative Housing Units Financed : 3
Slide 4: Continuing Growth Momentum
HDFC Snapshot CONTINUING GROWTH MOMENTUM LOAN APPROVALS & DISBURSEMENTS (H1-FY08) +29% 189.48 200 +27% Rs. in billion 147.29 142.75 160 115.43 112.80 120 89.10 80 40 0 H1-FY06 H1-FY07 H1-FY08 LOANS APPROVED LOANS DISBURSED 4
Slide 5: National Spread
HDFC Snapshot NATIONAL SPREAD No. of Outlets 1992 – 26 1997 – 32 1998 – 41 1999 – 49 2000 – 67 2001 – 87 Regional office 2002 – 118 Branch office 2003 – 142 2004 – 173 2005 – 203* – Outreach Programmes to 90 locations 2006 – 219* – Deposit & loan products offered 2007 – 243* to individuals in over 2
Slide 6: Operational and Financial Highlights
OPERATIONAL AND FINANCIAL HIGHLIGHTS 6
Slide 7: 98% of HDFC's Assets Are Loans or Investments
Operational and Financial Highlights 98% OF HDFC’s ASSETS ARE LOANS or INVESTMENTS (As at September 30, 2007) 88% Total Assets as at Sept 30, 2007 Rs. 726.65 billion (US $ 18.17 billion) Total Assets as at Sept 30, 2006 Rs. 564.96 billion (US $ 14.12 billion) Loans (including debentures & corporate
Slide 8: 95% of Our Mortgages Are Sourced by Ourselves or Affiliates
Operational and Financial Highlights 95% OF OUR MORTGAGES ARE SOURCED BY OURSELVES OR THROUGH OUR AFFILIATES FY March 07 5% Other 24% HDFC DSAs 35% Direct Bank Walk-ins 36% Sales Subsidiary Direct Walk-ins HLSIL: Sales Subsidiary HDFC Bank Other Direct Selling Agents (DSAs) 8
Slide 9: Core Business - Lending
Operational and Financial Highlights CORE BUSINESS - LENDING (As at September 30, 2007) 30% 68% INDIVIDUALS – Home Loans CORPORATE BODIES • Fixed rate loan • Floating rate loan – Home Improvement Loans – Home Extension Loans – Short Term Bridging Loan – Loans to NRIs 2% OTHERS Total loans outstandin
Slide 10: Liabilities
Operational and Financial Highlights LIABILITIES (As at September 30, 2007) 87% Capital Rs – 2.72 bn Reserves Rs– 94.41 bn Borrowings Rs – 629.52 bn - Deposits 12% 1% - Domestic Borrowings - International Borrowings Total Liabilities Rs 726.65 bn (PY Rs 564.96 bn) 10
Slide 11: Multiple Sources of Borrowings
Operational and Financial Highlights MULTIPLE SOURCES OF BORROWINGS (As at September 30, 2007) 30% 18% DEPOSITS (18%) DOMESTIC TERM LOANS (30%) 3% BONDS, DEBENTURES & 3% COMMERCIAL PAPER (46%) INTERNATIONAL BORROWING (3%) FCCB (3%) 46% Total Borrowings Rs 629.52 bn (PY Rs 514.28 bn) 11
Slide 12: Strengths
Operational and Financial Highlights STRENGTHS Home Loan Strengths • Low average loan to value ratio and income to instalment ratios • Post dated cheques obtained from most customers or deduction at source arrangements with employers • Steady level of prepayments • Quality underwriting with experien
Slide 13: Balance Sheet
Operational and Financial Highlights BALANCE SHEET Sep-07 Sep-06 Growth (Rs. in billion) (Rs. in billion) (%) Sources of Funds Net Worth 97.13 50.68 92 Borrowings 629.52 514.28 22 726.65 564.96 29 Application of Funds Loans 620.20 498.87 24 Investments 82.61 32.06 Net Current Assets 21.67 31.63 Fixe
Slide 14: Income Statement
Operational and Financial Highlights INCOME STATEMENT Sep-07 Sep-06 Growth (Rs. in billion) (Rs. in billion) (%) Interest Income 36.08 24.53 47 Interest Expenses 24.67 17.15 44 Net Interest Margin 11.41 7.38 55 Non Interest Income 0.87 1.07 Profit on Sale of Investments 0.27 1.12 Less : Non Interest
Slide 15: Consistent Financial Performance
CONSISTENT FINANCIAL PERFORMANCE PROFIT AFTER TAX 15000 * 20 % Rs. MILLION 12500 G R 10000 CA 7500 5000 2500 0 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 YEAR ROE EPS 35 65 30 55 45 % R s. 25 35 25 15 20 2003 2004 2005 2006 2007 2003 2004 2005 2006 2007 YEAR YEAR * 10 year CAGR 15
Slide 16: Shareholding Pattern
SHAREHOLDING PATTERN 80% Foreign Shareholders - 80% Individuals - 11% Financial Institutions, Banks and Insurance Companies - 5% Mutual Funds - 2% 11% 2% 2% 5% Companies - 2% 16
Slide 17: Key Associates and Subsidiaries
Key Associates and Subsidiaries 17
Slide 18: HDFC Bank
Associates and Subsidiaries HDFC BANK • 23.36% owned by HDFC • Market Cap US $12.7 billion • ADRs listed on NYSE • 753 branches. 327 cities. 1,800 ATMs • Over 10 million customer accounts • Key business areas – Wholesale banking Retail banking Treasury operations • 5 Year Net Income CAGR of over 30%
Slide 19: HDFC Standard Life Insurance Company Ltd.
Associates and Subsidiaries HDFC Standard Life Insurance Company Ltd. (HDFC-SL) Structure Strong and stable partnership h Tie up with Standard Life Assurance Company, U.K. h HDFC holds 79.53% of the equity of HDFC-SL Products Diversified product portfolio covering all life stages and needs h Offers
Slide 20: HDFC Standard Life Insurance Company Ltd.
Associates and Subsidiaries HDFC Standard Life Insurance Company Ltd. (HDFC-SL) Coverage Committed to increasing coverage in an under-insured market h Achieved a total sum assured of Rs 44.54 bn in respect of over 160,000 lives covered in Q1 08 taking the cumulative sum assured to Rs. 716 bn coverin
Slide 21: HDFC Standard Life Insurance Company Ltd.
Associates and Subsidiaries HDFC Standard Life Insurance Company Ltd. (HDFC-SL) Key performance indicators and business practices h Consistently high persistency ratio of over 90 percent h A diversified distribution mix including the tied agency and alternate channels - banks, brokers, telemarketing
Slide 22: HDFC Asset Management
Associates and Subsidiaries HDFC ASSET MANAGEMENT • Tie-up with Standard Life Investments (SLI) • HDFC holds 60% of HDFC Asset Management • HDFC MF offers 31 equity and debt oriented products • Earned a Profit After Tax of Rs 675 million for FY07 • Paid a dividend of 100% for FY07 to equity sharehol
Slide 23: HDFC Property Fund
Associates and Subsidiaries HDFC PROPERTY FUND • Launched in March 2005 • First Scheme: HDFC India Real Estate Fund – Fund corpus : US $ 250 million – Domestic, 7 year close ended fund – Funds managed by HDFC Venture Capital Limited – 90% invested as at March 31, 2007 • HDFC International Fund – Fun
Slide 24: HDFC General Insurance Company Ltd.
Associates and Subsidiaries HDFC GENERAL INSURANCE COMPANY LTD. • HDFC General Insurance Company Limited is a 100% subsidiary of HDFC • Offers Auto Insurance, Home Insurance, Group Accident Insurance, Group Travel Insurance, Commercial Insurance which includes Fire and Marine and Specialty Insurance
Slide 25: Consolidated Earnings
CONSOLIDATED EARNINGS (As at March 31, 2007) HDFC HDFC Consolidated Profit After Tax (Rs in billion) 15.70 17.42 Total Assets (Rs in billion) 627.44 734.58 Earnings per share (Rs) 62 70 Return on Equity 31.3% 30.6% Return on Average Assets 2.8% 2.8% 25
Slide 26: Awards & Accolades
AWARDS & ACCOLADES • HDFC ranked among the top 5 Best Managed Companies in India by Finance Asia in 2006 • Selected as the top Indian company in the FIs / NBFCs / Financial Services sector for the Dun & Bradstreet – American Express Corporate Awards 2006 • HDFC is featured in the Limca Book of Recor
Slide 27: Thank You
Thank You 27
Housing Development Finance — Investor Presentation (October 2007) on 6ix