Uti Asset Management Co. Ltd. · NSE:UTIAMC
Uti Asset Management — Q1 FY2024-25 Earnings Presentation
58 slides from Uti Asset Management's earnings presentation, Jul 25, 2024
Slide 1: Exchange filing cover letter
UTI Asset Management Company Limited UTI Mutual Fund Ref. No.: UTI/AMC/CS/SE/2024-25/0446 Date: 25th July, 2024 National Stock Exchange of India Limited BSE Limited Exchange Plaza Plot No. C/1 Phiroze Jeejeebhoy Towers G Block Bandra-Kurla Complex Dalal Street Bandra East Mumbai – 400 051. Mumbai –
Slide 2: Press Release: Consolidated Net Profit ₹254 crore for Q1
R PRESS RELEASE UTI Mutual Fund UTI Asset Management Company Limited Consolidated Net Profit stands at ₹ 254 crore for the quarter ended June 30, 2024; up by 56% QoQ Financial Highlights for Q1 FY2024-25 • Revenue from operations for the April-June quarter stood at ₹ 529 crore, up by 13% YoY and 27%
Slide 3: Press Release: CEO comments and company background
R PRESS RELEASE UTI Mutual Fund Commenting on the performance Mr. Imtaiyazur Rahman, Managing Director & Chief Executive Officer, UTI AMC said, “In the last few years, Indian economy has shown remarkable resilience and has garnered global recognition. Keeping up with this momentum, Indian mutual fun
Slide 4: Investor Presentation Q1 FY2024-25
:R .... ...... J\Jtc UTI Mutual Fund UTI ASSET MANAGEMENT COMPANY LIMITED Investor Presentation Q1 FY2024-25
Slide 5: UTI AMC – A Customer Centric Global Asset Management Firm
UTI AMC – A Customer Centric Global Asset Management Firm uti UTI Mutual Fund Pioneer in India • Oldest Mutual Fund in India & a trusted household brand • First to launch Equity Mutual Fund, Children’s Plan ₹ 19.36 lakh crore in Asset Under Management (AUM)* • Focused solely on Investment Management
Slide 6: UTI AMC – Our Vision and Mission
UTI AMC – Our Vision and Mission uti UTI Mutual Fund VISION To be The Most Preferred Asset Manager MISSION Most Trusted Brand, admired by all Stakeholders Asset Manager with a Diverse Suite of Products & Global Presence Enable our Customers to Achieve Their Financial Goals Employer of First Choice A
Slide 7: Focus is the Essence of Our Business
Focus is the Essence of Our Business uti UTI Mutual Fund Performance-Driven Organisation with a Purpose Drive Common Take Collective Respect and Encourage Encourage Open Pursue Organisation Ownership and Support Each Meritocracy Discussion Innovation and Goals, Individual Other and Debate Take Beyon
Slide 8: Our Continuous Endeavour is to
Our Continuous Endeavour is to uti UTI Mutual Fund Build and retain highly competent and Build excellent investment systems and motivated investment team across asset classes processes Further build our distribution capabilities and Execute key operations and technology strengthen existing relations
Slide 9: Diversified Shareholding
Diversified Shareholding uti UTI Mutual Fund 0.08% 2.14% 6.27% UTI AMC has no identifiable promoters 22.91% 8.81% State Bank of India, Bank of Baroda and 14.76% Life Insurance Corporation of India hold 15.18% 9.95% share capital each 9.95% 9.95% 9.95% T. Rowe Price International Ltd. – a global inve
Slide 10: Our Key Performance Indicators
Our Key Performance Indicators uti UTI Mutual Fund Assets Under Management Market Share Profitability Q1 FY25 vs Q1 FY24 • Flows & Folios Total AUM* NPS AUM Revenue Growth 14% Gross Sales@ ₹ 19,36,107 crore 25.43% Core Revenue Growth# 19% ₹ 2,21,709 crore MF QAAUM MF AUM EBITDA Growth 18% SIP Gross
Slide 11: UTI Group
UTI Mutual Fund UTI Group
Slide 12: UTI AMC – Group Structure
UTI AMC – Group Structure uti UTI Mutual Fund UTI Asset Management Company Limited Investment Manager Support Services Investment Manager PMS (includes EPFO, 100% Subsidiaries to UTI Mutual Fund to SUUTI to Offshore Funds CMPFO, ESIC and PLI Funds) UTI International Ltd. Manager for International (O
Slide 13: Group AUM for UTI AMC Increased by ~20% YoY
Group AUM for UTI AMC Increased by ~20% YoY uti UTI Mutual Fund ₹ crore June 2023 March 2024 June 2024 Total Total Total ₹ 16,13,153 crore ₹ 18,48,330 crore ₹ 19,36,107 crore 3,02,677, 3,17,657, 2,57,903, 2,48,088, 2,90,881, 3,10,697, 16.38% 16.41% 15.99% 15.38% 15.74% 16.05% 1,974, 2,796, 1,784, 0.
Slide 14: UTI MF - Witnessed AUM Growth in the Quarter
UTI MF - Witnessed AUM Growth in the Quarter uti UTI Mutual Fund Domestic MF Closing AUM as on 30th June 2024 I Equity ₹ 94,568 crore I ETFs & Index ₹ 1,37,810 crore Cash & Arbitrage ₹ 33,569 crore I Hybrid ₹ 28,889 crore a Income ₹ 29,474 crore MF Closing AUM ₹ 3,24,310 crore Domestic MF QAAUM for
Slide 15: Growth Trajectory: ~25% YoY QAAUM Growth for UTI MF
Growth Trajectory: ~25% YoY QAAUM Growth for UTI MF uti UTI Mutual Fund Total MF QAAUM Market Share – Total MF QAAUM 25.24% YoY Jun ‘23 Mar ‘24 5.76% 5.37% 3,10,697 2,90,881 2,48,088 Jun ‘24 5.27% Jun ‘23 Mar ‘24 Jun ‘24 (₹ crore) 12 Source: AMFI, Internal.
Slide 16: Keystones of Growth: ~30% YoY Growth in Hybrid QAAUM
Keystones of Growth: ~30% YoY Growth in Hybrid QAAUM uti UTI Mutual Fund Equity QAAUM Market Share – Equity QAAUM (₹ crore) 21.69% YoY Jun ‘23 Mar ‘24 Jun ‘24 84,777 88,606 72,811 4.41% 3.68% 3.45% Jun ‘23 Jun '23 Mar '24 Mar ‘24 Jun ‘24 Jun '24 Hybrid QAAUM Market Share – Hybrid QAAUM (₹ crore) 29.
Slide 17: Stable Growth: ~20% YoY rise in Income QAAUM
Stable Growth: ~20% YoY rise in Income QAAUM uti UTI Mutual Fund Income QAAUM Market Share – Income QAAUM (₹ crore) 19.57% YoY Jun ‘23 Mar ‘24 Jun ‘24 2.97% 3.24% 29,724 3.22% 28,413 24,859 Jun ‘23 Mar ‘24 Jun ‘24 Cash & Arbitrage QAAUM Market Share – Cash & Arbitrage QAAUM (₹ crore) (7.65%) YoY Jun
Slide 18: Passive Funds witnessed Steady Growth
Passive Funds witnessed Steady Growth uti UTI Mutual Fund Index & ETFs QAAUM Market Share – Index & ETFs QAAUM 43.87% YoY Jun ‘23 Mar ‘24 (₹ crore) 12.54% 13.19% 1,27,227 1,15,448 88,431 Jun ‘24 13.31% Jun ‘23 Mar ‘24 Jun ‘24 15 Source: AMFI, Internal
Slide 19: Trend in Net Sales
Trend in Net Sales Quarterly Net Sales for Hybrid, Passive and Income witnessed growth uti UTI Mutual Fund Quarterly Net Sales (₹ crore) 14,173 10,153 7,657 6,106 5,362 ■ Q1FY24 3,496 3,233 2,774 ■ Q4FY24 1,761 -1,193 -1,344 -1,982 T -286 -23 - 631 181 ■ Q1FY25 -4,307 - -6,354 Equity Hybrid ETFs & I
Slide 20: Key Business Focus Areas
Key Business Focus Areas uti UTI Mutual Fund Growth of Consistent Geographical Development International, Spread Across of Human Retirement & the Country Capital Alternate Business ••• ~ ~ • -- -• ■ ■ ·1r.:::a-~ ~· . ~ --rl• ✓&'6. ,.,.-=:1 f;l (§) • ca - - - - -- · Attracting Prudent Right Leveragin
Slide 21: 1. a) Prudent Investment Management Policies
1. a) Prudent Investment Management Policies uti UTI Mutual Fund Risk Monitoring Risk Identification • Investment Committee • Stress Testing • Digital Transformation • Product Development Committee Process • Executive Risk Management • Risk Control Self Committee Assessment Fund Fund • Information S
Slide 22: 1. b) Investment Management Process
1. b) Investment Management Process uti UTI Mutual Fund Equity Investment Process Fixed Income Investment Process Approach Cl Investment Process • In-house Research Team • Proprietary Framework ScoreAlpha – Qualitative cm • Active duration management of portfolios • Emphasis on Risk adjusted consist
Slide 23: 1. c) Embedding ESG in our Investment Decisions
1. c) Embedding ESG in our Investment Decisions uti UTI Mutual Fund Sector-specific framework to understand and manage ESG risk ESG Framework consistently across portfolio holdings Responsible Investment Strategy Integration Helps in evaluating the ESG performance of a company on an ESG Database ind
Slide 24: 2. SIP to remain the Cornerstone for AUM Performance
2. SIP to remain the Cornerstone for AUM Performance uti UTI Mutual Fund Long Tenure SIP Book(1) Monthly Gross SIP Inflow (₹ crore) 624 618 607 More than 10 Years 90% 593 590 590 572 565 554 554 558 550 544 More than 5 Years 95% I II I JUN'23 JULY'23 AUG'23 SEP'23 OCT'23 NOV'23 DEC'23 Jan'24 Feb'24
Slide 25: 3. a) Enabling Business Digitally
3. a) Enabling Business Digitally uti UTI Mutual Fund 24x7 Digital Channels Assisted Journeys integrated Building Community • Customer service for product & investment enquiry- • Active engagement on multiple touch points across social • Access at your convenience anytime anywhere, new mobile inboun
Slide 26: 3. b) Digital Client Acquisition Cycle
3. b) Digital Client Acquisition Cycle uti UTI Mutual Fund Reach ----------➔ Act ------> Convert - - - - - - - - - -> Engage Submit a Lead Invest via Mobile App Search Remarketing SEO Social via Google, Media Invest Now Invest via Website Email/SMS/ Facebook, WhatsApp YouTube 1 Platforms notificatio
Slide 27: 3. c) Current Digital Ecosystem at UTI AMC
3. c) Current Digital Ecosystem at UTI AMC UTI Mutual Fund Riding on Best-in-Class Technology and Partner Ecosystem Front Office Middle Office Back Office (Revenue Generating & Customer Facing) (Risk & Compliance) (Accounting, Technology, HR, Finance) Research & Human Brand Investment Risk & Fund Re
Slide 28: 3. d) Growing Online Transactions reflect Acceptance of Digital
3. d) Growing Online Transactions reflect Acceptance of Digital uti UTI Mutual Fund Quarterly Online Gross Sales (as % of Total Gross Sales) Number of digital SIP transactions recorded a growth of 10% in Q1 FY25 as compared to Q1 FY24 96.40% 95.31% 94.60% 94.80% 94.50% 35.42% of total gross sales of
Slide 29: 3. e) Our Endeavours to Augment our Digital Presence
3. e) Our Endeavours to Augment our Digital Presence uti UTI Mutual Fund For Customers Number of Digital Purchase Transactions (in Lakhs) • Seamless accessibility through revamped digital channels 126.54 • Paperless & digitally enabled KYC process 115.84 & multiple enablers for seamless digital 93.5
Slide 30: 3. f) Developing Digital Resources to be Future Ready
3. f) Developing Digital Resources to be Future Ready uti UTI Mutual Fund New Grow the Optimize Growth Core Cost Avenues • Identified Focus Areas • Tapping Emerging • Digitizing Operations to & Roadmap Segments Reduce Cost • Enabling Sales Force • Driving Digital • Re-imagining Digitally Partnership
Slide 31: 4. a) Geographical Reach across the Country
4. a) Geographical Reach across the Country UTI Financial J&K 190 Centres 1 (UFCs) Chandigarh Himachal 1 Pradesh 1 Uttarakhand 3 Delhi Haryana 6 5 UTI AMC 1,447 Employees* Uttar Pradesh Assam Rajasthan 15 5 10 Bihar 7 Meghalaya 1 Jharkhand Gujarat Madhya Pradesh 5 West Bengal Tripura Core Sales 16 7
Slide 32: 4. b) Multi-Channel Distribution Network brings Stability
4. b) Multi-Channel Distribution Network brings Stability uti UTI Mutual Fund Total QAAUM Equity + Hybrid QAAUM (in %) (in %) Direct 33 Direct 67 Jun ’23* Jun ’23* MFDs 26 MFDs 55 BND 1111 7 BND - 12 Direct 68 Direct 33 Mar ’24* Mar ‘24* MFDs 24 MFDs 56 BND ■ 8 BND - 11 Direct 69 Direct 33 Jun ’24*
Slide 33: 4. c) Outpacing the Industry in B30 cities
4. c) Outpacing the Industry in B30 cities uti UTI Mutual Fund Monthly AAUM - June 2024 Improved awareness about investing in financial products vis a vis traditional investment UTI Mutual Fund Our established presence in B30 cities has enabled us to T30 79% attract new clients, and positions us to
Slide 34: 5. a) UTI International Ltd. – Exploring New Destinations
5. a) UTI International Ltd. – Exploring New Destinations uti UTI Mutual Fund %% Assets Under Management of ₹ 27,714 crore as of 30th June 2024 4 Office Locations – Singapore, Dubai, London and Paris with a total of 30 staff members & Clients spread across 38+ countries with top 5 being Japan, Switz
Slide 35: 5. b) UTI Pension Fund Ltd. – Reaching New Heights
5. b) UTI Pension Fund Ltd. – Reaching New Heights uti UTI Mut ualFund % 100% subsidiary of UTI AMC Ltd. PFRDA licensed for managing Pension funds Managing Government and non-Government NPS corpus UTI Pension Fund (UTI PFL) manages 25.43% of the NPS Industry AUM as on 30th June 2024 UTI PFL has show
Slide 36: 5. c) UTI Alternatives Pvt. Ltd. – Expanding the Business Portfolio
5. c) UTI Alternatives Pvt. Ltd. – Expanding the Business Portfolio uti UTIM u t uar Fund % %% UTI Alternatives, 100% subsidiary of UTI AMC Ltd., mandated to manage and grow the private capital investment business II Currently manages 5 active private debt funds (UTI SDOF I, II & III), multi strateg
Slide 37: ESG Initiatives
ESG Initiatives uti UTI Mutual Fund • UTI AMC has incorporated ESG Strategy within its business operations and considering the same, the ESG rating agencies have started evaluating the Company. The ESG Rating Agency “Sustainalytics” has progressed our score from ‘High Risk’ to ‘Medium Risk’ (from 32
Slide 38: Financial Snapshot
UTI Mutual Fund Financial Snapshot
Slide 39: Consolidated Statement of Profit & Loss – Quarterly Earnings
Consolidated Statement of Profit & Loss – Quarterly Earnings UTI Mutual Fund Particulars Q1 FY25 Q1 FY24 % (+/-) (₹ crore) Total Revenue from Operations 529 468 13% Other Income 5 1 400% Total Income 534 469 14% Fee & Commission Expenses 1 - 100% Employee Benefit Expense 114 106 8% Depreciation & Am
Slide 40: Consolidated Statement of Profit & Loss – Sequential Quarterly Earnings
Consolidated Statement of Profit & Loss – Sequential Quarterly Earnings UTI Mutual Fund Particulars Q1 FY25 Q4 FY24 % (+/-) (₹ crore) Total Revenue from Operations 529 416 27% Other Income 5 4 25% Total Income 534 420 27% Fee & Commission Expenses 1 1 - Employee Benefit Expense 114 117 (3%) Deprecia
Slide 41: Standalone Statement of Profit & Loss – Quarterly Earnings
Standalone Statement of Profit & Loss – Quarterly Earnings UTI Mutual Fund Particulars Q1 FY25 Q1 FY24 % (+/-) (₹ crore) Total Revenue from Operations 387 353 10% Other Income 3 - 100% Total Income 390 353 10% Fee & Commission Expenses 3 3 - Employee benefit Expense 92 89 3% Depreciation & Amortizat
Slide 42: Standalone Statement of Profit & Loss – Sequential Quarterly Earnings
Standalone Statement of Profit & Loss – Sequential Quarterly Earnings UTI Mutual Fund Particulars Q1 FY25 Q4 FY24 % (+/-) (₹ crore) Total Revenue from Operations 387 327 18% Other Income 3 4 (25%) Total Income 390 331 18% Fee & Commission expenses 3 3 - Employee benefit expense 92 97 (5%) Depreciati
Slide 43: Details of Consolidated Sale of Services
Details of Consolidated Sale of Services UTI Mutual Fund (₹ crore) Particulars Q1 FY25 Q1 FY24 % (+/-) Q4 FY24 % (+/-) MF Fees 264 220 20% 247 7% PMS Fees 8 6 33% 9 (11%) SUUTI Support Service Fees 1 2 (50%) 1 - Sale of Services - UTI AMC Standalone 273 228 20% 257 6% UTI International 35 29 21% 33
Slide 44: Consolidated Balance Sheet
Consolidated Balance Sheet UTI Mutual Fund (₹ crore) Particulars Q1 FY25 FY24 % (+/-) Assets: Financial Assets 5188 4850 7% Non-Financial Assets 472 491 (4%) Total Assets 5660 5341 6% Liabilities & Equity: Financial Liabilities 232 272 (15%) Non-financial Liabilities 137 96 43% Equity 5291 4973 6% T
Slide 45: Standalone Balance Sheet
Standalone Balance Sheet UTI Mutual Fund (₹ crore) Particulars Q1 FY25 FY24 % (+/-) Assets: Financial Assets 3755 3515 7% Non-Financial Assets 452 466 (3%) Total Assets 4207 3981 6% Liabilities & Equity: Financial Liabilities 200 214 (7%) Non-financial Liabilities 124 82 51% Equity 3883 3685 5% Tota
Slide 46: Operating Profit Margin (bps of AAUM)
Operating Profit Margin (bps of AAUM) uti UTI Mutual Fund Year End FY2022 Year End FY2023 Operating Operating Margin 16 14 Margin Operating Operating 25 Expenses 23 Expenses Operating Operating Revenue 37 Revenue 41 Year End FY2024 Q1 FY2025* Operating 13 Operating Margin Margin 16 Operating 21 Oper
Slide 47: Other Subsidiaries - Financial Highlights
Other Subsidiaries - Financial Highlights uti UTI Mutual Fund (₹ crore) Particulars UTI International UTI Pension Fund Ltd.* UTI Alternatives Pvt. UTI Venture Funds Ltd. Ltd. Mgmt. Co. Pvt. Ltd. Q1 FY25 Q1 FY24 Q1 FY25 Q1 FY24 Q1 FY25 Q1 FY24 Q1 FY25 Q1 FY24 AUM 27,714 21,772 3,17,657 2,57,902 2,796
Slide 48: Consolidated Ratios
Consolidated Ratios uti UTI Mutual Fund .~ tt I PAT Margin (%) Return on Equity (%) 0.6 24% 22% 0.55 21% 0.5 48% 19% 44% 18% 0.45 42% 16% 16% 40% 0.4 15% 34% 0.35 12% 12% 0.3 0.25 9% FY 21 FY 22 FY 23 FY 24 Q1 FY 25 * FY 21 FY 22 FY 23 FY 24 Q1 FY 25 * 45 *Q1 FY 25 figures have been annualised
Slide 49: Annexures
UTI Mutual Fund Annexures
Slide 50: Investor Services Key Indicators – Q1 FY2024-25
Investor Services Key Indicators – Q1 FY2024-25 uti UTI Mutual F und 0.92 lakh 0.72 lakh 9 seconds 0.1 lakh Total Call Volume Total Call Volume Average Speed of Live Chats Outbound Inbound Answer offered • Self service IVR for NAV, SOA, Branch Locator etc. • Chat with Live Agent for Assistance Conta
Slide 51: Breakup of Consolidated investments
Breakup of Consolidated investments uti UTI Mutual Fund As on 30th June 2024 (₹ crore) Breakdown of Total Investment Investment in UTI MF Schemes 2,794 Equity# 725 Arbitrage 752 8% 9% Liquid & Debt 1,317 Offshore Funds 652 Total Investments: ₹ 4,154 crore Equity 498 16% Debt / Hybrid 154 67% Venture
Slide 52: UTI AMC Board of Directors - Composition
UTI AMC Board of Directors - Composition uti UTI Mutual Fund UTI AMC is a professionally managed company Geographical Board Women Directors Representation Composition Representation 1 2 3 3 6 7 8 ■ Independent Directors ■ Women Director ■ Non-Executive Non-Independent Directors ■ Managing Director ■
Slide 53: Experienced and Independent AMC Board
Experienced and Independent AMC Board UTI Mutual Fund Mr. Dinesh Kumar Mehrotra | Non - Executive Chairman & Independent Director Mr. Dinesh Kumar Mehrotra is the Non - Executive Chairman and an Independent Director of the Company. He has previously served as the Chairman and the Managing Director o
Slide 54: Experienced and Independent AMC Board
Experienced and Independent AMC Board UTI Mutual Fund Mr. Rajeev Kakar | Independent Director Mr. Rajeev Kakar is an Independent Director of the Company. He currently serves on the boards of various banks and financial institutions such as Eurobank Ergasias SA (Greece), Gulf International Bank (GIB
Slide 55: Experienced and Independent AMC Board
Experienced and Independent AMC Board UTI Mutual Fund Mr. Kiran Kumar Tarania | Non-Executive Nominee Director Mr. Kiran Kumar Tarania is a Non-Executive Nominee Director of the Company. He is currently General Manager – Treasury Division at Punjab National Bank. He is an accomplished finance profes
Slide 56: Disclaimer
Disclaimer uti UTI Mutual Fund This presentation is for information purposes only and does not constitute a prospectus, an offering circular, an advertisement, a private placement offer letter or offer document or an offer or the recommendation or solicitation of an offer or invitation to purchase o
Slide 57: Glossary
Glossary uti UTI Mutual Fund AUM Asset Under Management KYC Know Your Customer AAUM Average Assets Under Management MFD Mutual Fund Distributor AIF Alternate Investment Funds NAV Net Asset Value AMFI Association of Mutual Funds in India NPS National Pension System B30 Beyond 30 PAT Profit After Tax
Slide 58: Thank You
uti UTI Mutual Fund THANK YOU REGISTERED OFFICE: UTI Tower, 'Gn' Block, Bandra Kurla Complex, Bandra (E), Mumbai - 400051. Phone: 022 – 66786666. UTI Asset Management Company Limited (Investment Manager for UTI Mutual Fund) E-mail: invest@uti.co.in Mutual Fund investments are subject to market risks
UTI Asset Management Company — Q1 FY2024-25 Earnings Presentation on 6ix