Indian Bank · NSE:INDIANB
Indian Bank — Q3 FY2021-22 Earnings Presentation
51 slides from Indian Bank's earnings presentation, Feb 7, 2022
Slide 1: Cover letter to stock exchanges
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Slide 2: Performance Analysis Q3 / NME FY 22
Your own Bank, Always with You Performance Analysis ` ` Q3 / NME FY 22 ` ` Certain savings for uncertain times. A name & a number plate. Grow with Own them with pride. ` ` ` ` Shop. Earn. Redeem. Repeat. Reap the golden days! Get an edge in life with Indian Bank
Slide 3: Contents
Contents 1 Performance Highlights 2 Business Snapshot 3 Financials ` 4 Capital & Risk Management 5 Asset Quality 6 Financial Inclusion 7 Digital Banking 8 Strategies and focus areas 2/50
Slide 4: Performance Highlights Q3 FY 22
Performance Highlights Q3 FY 22 3/50
Slide 5: Performance Highlights Q3 FY 22 (YoY)
Performance Highlights Q3 FY 22 ( YoY) `9.6 lakh Cr `5.6 lakh Cr `4 lakh Cr CASA: 10% 6% 8% 3% SB: 9% CA: 15% Business Business Deposits Advances CASA Growth `2.3 lakh Cr `75646 Cr `85257 Cr `72835 Cr 11% 13% 14% 6% RAM Retail Agriculture MSME 9.13% (9 bps) 2.72% (37 bps) 85.49% (102 bps) Asset Qual
Slide 6: Business Snapshot
Business Snapshot 5/50
Slide 7: Business Snapshot
Business Snapshot ` in Cr DOMESTIC DEPOSITS Sl No Parameter 31.12.2020 30.09.2021 31.12.2021 YoY (%) Current account Savings Bank PD/CD Core Term Deposits 1 Deposits 521248 551472 562575 8 Domestic 512695 542555 553537 8 28795 29847 33266 Overseas 8553 8917 9038 6 183502 194697 200331 Deposits break
Slide 8: Advances (Domestic)
Advances (Domestic) ` in Cr Sector 31.12.2020 30.09.2021 31.12.2021 YoY (%) Retail Gross Advances-Domestic 379073 374508 385095 2 Corporates 20% 39% Retail 66679 73376 75646 13 Agriculture 75040 82857 85257 14 Domestic M SME 68805 70268 72835 6 Credit Total (RAM) 210524 226501 233738 11 Agriculture
Slide 9: Performance under Priority Sector
Performance under Priority Sector ` in Cr 31.12.2021 Mandatory Achievement (Amt) Achievement Segment Target (Excluding PSLC) (Excluding PSLC) Priority Sector 40% 144433 42.66% Agriculture 18.00% 67468 19.93% Small /Marginal Farmers 9.00% 33272 9.83% Weaker Section 11.00% 40851 12.07% Micro under MSM
Slide 10: Sector Deployment – Domestic Advances
Sector Deployment – Domestic Advances ` in Cr % share to % share to % share to Sector 31.12.2020 Gross 30.09.2021 Gross 31.12.2021 Gross Advances Advances Advances Infrastructure 58250 15 59558 16 60199 16 Of which Power 18753 5 18413 5 18841 5 Port and Road Project 9682 3 9122 2 9373 2 Other infras
Slide 11: Rating wise – Domestic Credit
Rating wise – Domestic Credit ` in Cr 31.12.2020 30.09.2021 31.12.2021 External Rating Exposure % to Total Exposure % to Total Exposure % to Total Rated Exposure AAA 32874 15% 29702 14% 36710 16% • More than `10 Cr AA 55994 26% 53018 24% 57004 26% • For CRE more than `5 Cr A 44089 21% 57689 27% 5895
Slide 12: Standard NBFC Advances
Standard NBFC Advances ` in Cr 31.12.2021 Standard NBFC 31.12.2020 % 30.09.2021 % 31.12.2021 % Composition of NBFC - PSUs 4762 11% 4561 11 4573 10% Standard NBFCs ` in Cr NBFC - HFCs 37% 40 41% & HFCs 16987 16943 18948 NBFCs NBFC - MFIs 1542 3% 1835 4 1889 4% Bank sponsored 1799 NBFC - Others 22326
Slide 13: Investments - Domestic
Investments - Domestic ` in Cr AFS Book (YoY) Details 31.12.2020 30.09.2021 31.12.2021 YoY (%) SLR Investments 138787 144836 144920 4 Of which Central Government Securities 85013 78407 88726 4 State Government Securities 42825 43815 50546 18 Treasury Bills 10944 22610 5644 -48 Other Approved Securit
Slide 14: Non SLR Investments
Non SLR Investments ` in Cr Details Dec-20 Sep-21 Dec-21 PSU Bonds 1566 1373 1210 Corporate and Other Bonds 9332 10912 12252 Special Govt.Sec.(Excluding Recap Bonds) 1964 1861 1853 CG Recap.Bond 17927 17927 17927 Share of PSU/Corporate/Others 2324 2495 2304 Venture Capital Fund 54 131 151 Regional R
Slide 15: Financials
Financials 14/50
Slide 16: Operating Profit and Net Profit
Operating Profit and Net Profit ` in Cr Quarter Ended Nine Months Ended Year Sl No Components Ended 31.12.2020 30.09.2021 31.12.2021 YoY (%) 31.12.2020 31.12.2021 YoY (%) Mar'21 1 Interest Income 10025 9476 9926 -1 30202 29024 -4 39106 2 Interest Expenses 5711 5391 5531 -3 17870 16551 -7 23440 3 Net
Slide 17: Income
Income ` in Cr Quarter Ended Nine Months Ended Year Sl No Components Ended 31.12.2020 30.09.2021 31.12.2021 YoY (%) 31.12.2020 31.12.2021 YoY (%) Mar'21 1 Interest Income on Advances and Discount on Bills 7133 6670 6860 -4 21430 20293 -5 27455 2 Interest on investments 2808 2644 2797 -0.4 8378 8213
Slide 18: Fee Income
Fee Income ` in Cr Quarter Ended Nine Months Ended Year Sl No Components Ended 31.12.2020 30.09.2021 31.12.2021 YoY (%) 31.12.2020 31.12.2021 YoY (%) Mar'21 1 Transaction fees 202 178 184 -9 498 522 5 690 2 Loan processing charges 135 158 146 8 370 402 9 526 3 Commission on Government business 17 24
Slide 19: Expenses
Expenses ` in Cr Quarter Ended Nine Months Ended Year Sl No Components Ended 31.12.2020 30.09.2021 31.12.2021 YoY (%) 31.12.2020 31.12.2021 YoY (%) Mar'21 1 Interest on deposits 5479 5144 5221 -5 16931 15737 -7 22221 2 Interest on borrowings 188 200 255 36 821 669 -18 1049 3 Other interest expenses
Slide 20: Overhead Expenses
Overhead Expenses ` in Cr Quarter Ended Nine Months Ended Year Sl No Components Ended 31.12.2020 30.09.2021 31.12.2021 YoY (%) 31.12.2020 31.12.2021 YoY (%) Mar'21 1 Rent, Taxes & Lighting 170 162 150 -12 454 440 -3 603 2 Depreciation 137 152 149 9 424 452 7 633 3 Insurance 177 184 190 7 511 552 8 6
Slide 21: Provisions and Net Profit
Provisions and Net Profit ` in Cr Quarter Ended Nine Months Ended Year Sl No Components Ended 31.12.2020 30.09.2021 31.12.2021 YoY (%) 31.12.2020 31.12.2021 YoY (%) Mar'21 1 Operating Profit * 2846 3276 3288 16 8581 9979 16 10967 2 Total Provisions * 2332 2187 2598 11 7285 7018 -4 7962 Of which 3 NP
Slide 22: Performance Ratios
Performance Ratios % annualised Quarter Ended Nine Months Ended YE Sl No Parameters 31.12.2020 30.09.2021 31.12.2021 31.12.2020 31.12.2021 Mar'21 1 Cost of Deposits 4.34 3.86 3.85 4.58 3.92 4.44 2 Cost of Funds 4.35 3.89 3.86 4.58 3.94 4.43 3 Cost to Income Ratio * 47.85 45.85 44.75 47.68 43.99 48.5
Slide 23: Capital & Risk Management
Capital & Risk Management 22/50
Slide 24: Capital Adequacy – Risk Management
Capital Adequacy – Risk Management ` in Cr Parameters 31.12.2020 30.09.2021 31.12.2021 Capital 42474 47753 47274 Common Equity Tier I (CET 1) Additional Tier I Tier II Common Equity Tier I (CET 1) 31258 35126 34777 Additional Tier I 2500 1980 1980 15.47% 15.88% Tier II 8716 10647 10517 Total Risk We
Slide 25: Share Holding
Share Holding 31.12.2021 Resident Individual, 5.61% Mutual Funds, 6.22% Insurance Companies, 4.07% Employees, 1.16% FPI, FII,NRI and Government of India, Alternative Investment 79.86% Funds, 2.32% HUF, FI/Banks, Trusts, Body Corporate and Clearing Members, 0.76% Pattern of Equity Shareholding Shareh
Slide 26: Asset Quality
Asset Quality 25/50
Slide 27: Asset Quality - Ratios
Asset Quality - Ratios Amount ` Cr Gross NPA Net NPA Gross NPA Net NPA % 38455 37759 36886 36540 35237 9.85 9.69 9.56 9.04 9.13 12271 12653 11749 3.37 3.47 3.26 8537 10155 2.35 2.72 QE Dec 20 QE Mar 21 QE Jun 21 QE Sep 21 QE Dec 21 QE Dec 20 QE Mar 21 QE Jun 21 QE Sep 21 QE Dec 21 Annualised % PCR (
Slide 28: Movement of NPA
Movement of NPA ` in Cr Quarter Ended Nine Months Ended S No Details 31.12.2020 31.03.2021 30.06.2021 30.09.2021 31.12.2021 31.12.2020 31.12.2021 1 Gross NPA opening balance 36198 35237 38455 37759 36886 41998 38455 ADDITIONS : Fresh slippages Fresh Slippages 88 8292 4204 3952 2732 860 8708 To old N
Slide 29: NPA Position – Sector wise
NPA Position – Sector wise ` in Cr 31.12.2020 30.09.2021 31.12.2021 S % to % to % to Sector Gross Gross Gross No respective respective Outstanding respective NPA NPA NPA portfolio portfolio portfolio 1 Retail Credit 2119 3.18 3178 4.33 75646 3451 4.56 Of which Home Loan 838 2.07 1279 2.97 44620 1375
Slide 30: Status of NCLT
Status of NCLT 31.12.2021 ` in Cr Category No.of Accounts Exposure Provision PCR% RBI List I 7 2797 2797 100% RBI List II 10 3445 3445 100% Accounts filed by Bank 24 1812 1812 100% Accounts filed by other Banks 161 15648 15534 99% Total 202 23702 23588 100% FY 2021 Q1 FY22 Q2 FY22 Q3 FY22 NME FY22 R
Slide 31: Transfer of NPAs to NARCL
Transfer of NPAs to NARCL Accounts identified by NARCL Indian Bank ` in Cr No of No of accounts Amount Amount accounts 102 198334 34 5454 Phase 1 Accounts identified by NARCL Indian Bank No of No of accounts Amount Amount accounts 22 82496 8* 1894 *3 accounts were resolved; balance in 5 accounts ` 1
Slide 32: SMA Position
SMA Position ` in Cr 30.09.21 31.12.21 % To Sector Standard Standard % To Respective Respective SMA 1 SMA 2 Total Advances as SMA 1 SMA 2 Total Advances as Sector Standard Sector Standard on 30.09.21 on 31.12.21 Advances Advances Retail 2073 753 2826 70198 4.03% 2324 611 2935 72195 4.07% Agriculture
Slide 33: Collection Efficiency (Month on Month)
Collection Efficiency (Month on Month) 98% 99% 97% Corporate 93% 94% Retail Retail 92% Corporate 89% 90% 88% 90% MSME MSME 90% 88% Agriculture 85% 88% Agriculture 85% 78% Mar-21 Apr-21 May-21 Jun-21 Jul-21 Aug-21 Sep-21 Oct-21 Nov-21 Dec-21 Collection efficiency from Mar'21 to Dec'21 Sector Mar-21 A
Slide 34: Sector wise Restructuring details
Sector wise Restructuring details COVID Restructuring ` in Cr COVID 1.0 SECTOR Outstanding as Addition during Reduction during the Nine Outstanding on 31.03.21 the Nine months months as on 31.12.21 Of which Recovery NPA (Standard) Upgradation No Amt No Amt Amt Amt Amt No Amt Retail 3506 374 0 0 6 12
Slide 35: Financial Inclusion
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Slide 36: Financial Inclusion - Performance
Financial Inclusion - Performance IB Vs Industry Dec-20 Dec-21 Market Share % 6.46 FI Parameters Dec'20 Mar'21 Jun'21 Sep'21 Dec'21 6.08 BCs engaged (Nos.) 9095 9161 9186 9224 9322 4.66 4.53 BSBD Accounts (No. in lakhs) 257 260 260 263 266 4.25 4.14 PMJDY Accounts under BSBDA (No. in lakhs) 177 179
Slide 37: Financial Inclusion - Performance
Financial Inclusion - Performance BSBD Accounts (in lakhs) PMJDY Accounts under BSBD (No.in lakhs) 263 266 257 177 182 183 Dec-20 Sep-21 Dec-21 Dec-20 Sep-21 Dec-21 Overdrafts Sanctioned (` in Cr) Rupay Cards Issued (in lakhs) 27.97 29.27 109 22.64 108 105 Dec-20 Sep-21 Dec-21 Dec-20 Sep-21 Dec-21 3
Slide 38: Digital Banking
Digital Banking 37/50
Slide 39: Migration to Digital Channels
Migration to Digital Channels Migration Initiatives • TAB Banking and Video KYC launched for ease of account opening and customer acquisition. Q3 FY 21 Q2 FY 22 Q3 FY 22 • IndOASIS Mobile App revamped with improved user interface and experience, 70% 76% rating improved to 4.3 stars in play store. 64
Slide 40: Digital Banking
Digital Banking Net Banking Users in lakhs Mobile Banking Users in lakhs UPI Users in lakhs 62 62 100 51 50 72 Dec-20 Dec-21 Dec-20 Dec-21 Dec-20 Dec-21 Users in lakhs in lakhs Debit Cards Credit Cards Users in lakhs Online Transactions 265 1.53 3003 1.21 2052 234 Dec-20 Dec-21 Dec-20 Dec-21 Q3 FY21
Slide 41: Business Network
Business Network Domestic Overseas Region-wise Branches Branches 5754 3 685 Northern Business ATMs & BNAs Correspondents 140 North Eastern 4998 9322 402 Pan India Touch Points: 20074 1414 Western Eastern Central Population group wise 1259 Semi Urban, Urban 1163 Rationalisation of branches 1514 20% 2
Slide 42: Staff Position of the Bank
Staff Position of the Bank New HRMS portal • HR Connect Phase-I initiated. • Integration of Personal Profile, Average % of Female Category Total Male Female Attendance, Payroll, Pension & age of staff staff HRM Initiative Settlement Modules. • Phase – II to commence from Officers 24455 17739 6716 37
Slide 43: Initiatives
Initiatives TAB Banking - “WINNING CUSTOMERS AT THEIR DOORSTEP” Launch of Video KYC by MD & CEO Bank unveiled another digital initiative “Tab Banking” for its customers on 15.12.2021 by Shri S L Jain, MD&CEO V-CIP (Video Customer Identification Process) enables opening customers accounts in the comf
Slide 44: Initiatives
Initiatives MSME Prerana has been successfully covered in 10 states /UT Ind Spring Board … Financing for Start-ups (Uttar Pradesh, Tamil Nadu, Pondicherry, Maharashtra, Telangana, Uttarakhand, Gujarat, Odisha, West Bengal and Bihar) in 7 languages benefiting more than 1000 entrepreneurs (including 2
Slide 45: Initiatives – Project WAVE
Initiatives Digital Transformation - ‘ Project – WAVE ’ - World of Advanced Virtual Experience Bank has embarked on Digital Transformation Journey by onboarding M/s BCG as Consultants for digitizing Asset and liability sides of customer Journeys. A dedicated digitization vertical with agile ways of
Slide 46: Environmental, Social & Governance (ESG) Practices
Environmental, Social & Governance (ESG ) Practices ESG Practices Environmental Social Governance • 37 RSETIs across the country to • Harnessing of Solar Power at • Technology driven Customer impart training to unemployed Corporate Office, already under Grievance Redress System youth in Rural areas.
Slide 47: Joint Venture & Subsidiary
Joint Venture & Subsidiary Indbank Merchant NME 31.12.21 Banking Services Ltd Universal Sompo Consortium of credible Public & Private Corporate entities from India and 1 1 Operating Profit ` 678 lakhs Sompo of Japan as promoter Net Profit • Incorporated & licensed in 2007 • Fully operational in Apri
Slide 48: Regional Rural Banks (RRBs)
Regional Rural Banks (RRBs) ` in Cr TNGB SGB PBGB Total Parameters NME NME NME NME YoY YoY YoY YoY Dec' 20 Dec' 21 Dec' 20 Dec' 21 Dec' 20 Dec' 21 Dec' 20 Dec' 21 Business 28238 34359 22% 15178 16170 7% 1662 1815 9% 45078 52344 16% Operating Profit 360 457 27% 254 279 10% 10 15 46% 624 750 20% Net P
Slide 49: Awards & Accolades
Awards & Accolades State level NABARD Award in SHG Credit Tamil Nadu State level NABARD Award Implementation of Official Language Linkage– FY 21 FY 21 FY20 Award for Award for the Best Financial Performance and Bank’s Hindi magazine Ind-Chhavi was awarded the Best Bank under NABARD’s “SHG Bank Linka
Slide 50: Disclaimer
Disclaimer This presentation has been prepared by Indian Bank (the “Bank”) solely for information purposes, without regard to any specific objectives, financial situations or informational needs of any particular person. Certain forward-looking statements in these slides involve a number of risks, u
Slide 51: Thank you
Thank you