Union Bank Of India Limited · NSE:UNIONBANK
Union Bank Of India — Q2 FY24 Earnings Presentation
28 slides from Union Bank Of India's earnings presentation, Oct 27, 2023
Slide 1: Presentation on Financial Results for Quarter and Half Year ended September 30, 2023
Ref संदर्भ Ref.: नि.से.वि.ISD/288/2023-24 ददि ंक Date : October 27, 2023 बीएसई लिलिटे ड BSE Ltd. नेशनि टॉक एक्स्चेंज ऑफ इिं लडया लिलिटे ड बीएसई लिस्टिं ग सेंटर BSE Listing Centre National Stock Exchange of India Ltd. स्िप कोड Scrip Code - 532 477 लनप्स NEAPS स्िप कोड Scrip Symbol-UNIONBANK-EQ लसक्यो
Slide 2: Investor Presentation: Financial Results Q2 FY24
350+ Services @VYOM VST ABD Investor Presentation : Financial Results _ Q2 FY24 Women Empowerment Union Education (only PSB to have Women's Hockey Team) SR Premier Abroad Loan & Digital KCC APPA - Host to Host Payment Solutions for Corporates & Institutions
Slide 3: Global Business mix – ₹ 19.85 Trillion
Global Business mix – ₹ 19.85 Trillion 5th Largest PSB in Business Mix* Overview Advances: ₹ 8.47 Trillion 9.4% Share among PSBs in Business* Guidance Deposits : ₹ 11.38 Trillion *As of Jun-23 Q2 Highlights Shareholding (%) 8,521 Branches & 10,013 ATMs Branches Share 2.88 FII Business Rural (3
Slide 4: Key Parameters: Guidance vs Actuals
Overview Guidance vs Actuals Guidance Key Parameters Mar-24 Sep-23(HY) Q2 Highlights (Actual Y-o-Y) (Guidance) Business Advances Growth (YoY) 10 – 12% 9.50% Financials Deposits Growth (YoY) 8-10% 9.04% Asset Quality Capital NIM % ~3.00% 3.14% Adequacy Fin. Inclusion & GNPA % < 6.00% 6.38% ESG Strate
Slide 5: Strong Operating Performance (H1FY24)
Strong Operating Performance (H1FY24) Overview Deposits RAM Advances Operating Profit Net Profit Guidance Q2 Highlights Business 9.04% YoY 14.62% YoY 9.50% YoY ₹ 14,400 Cr ₹ 6,748 Cr Financials Deposit growth Robust growth in RAM Consistent & Increased by 19.76% YoY Increased by 98.11% YoY advances
Slide 6: Robust & diversified Credit Growth
₹ in crore Robust & diversified Credit Growth Overview Composition% Particulars Sep-22 Mar-23 Jun-23 Sep-23 YoY(%) Particulars Sep-22 Mar-23 Jun-23 Sep-23 YoY(%) Guidance 1,59,702 1,62,373 1,68,256 Gross Advances 7,73,690 8,09,905 8,18,457 8,47,214 9.50 Retail 1,46,715 14.68 57% Q2 Highlights Agricu
Slide 7: Credit to Industries
₹ in crore Credit to Industries Overview (% Share in Domestic Advances) Rating-Corporate Loans (>25 Cr) Guidance S No Sectors Sep-22 Sep-23 ₹ In Crore % Share ₹ In Crore % Share 9 Q2 Highlights 1 Infrastructure 1,14,701 15.24 1,04,428 12.71 11 -Power 45,226 - 42,787 - Business -Govt. PSU 21,433 - 25
Slide 8: Deposit Growth
₹ in crore Deposit Growth Overview Liquidity Position Guidance Particulars Sep-22 Mar-23 Jun-23 Sep-23 Y-o-Y(%) Q2 Highlights Total Deposits 10,43,265 11,17,716 11,28,052 11,37,628 9.04 Particulars As on 30.09.23 Business - Domestic Avg. LCR 144.61% 10,42,995 11,06,089 11,12,887 11,20,185 7.40 Depos
Slide 9: Investment Portfolio
₹ in crore Investment Portfolio Overview Guidance Domestic Investments 3,47,175 3,45,370 3,49,040 3,48,030 25 25 22 22 Q2 Highlights Business 75 75 78 78 Financials Sep-22 Mar-23 Jun-23 Sep-23 SLR Non SLR Asset Quality Capital Particulars Sep-22 Mar-23 Jun-23 Sep-23 Sep-22 Mar-23 Jun-23 Sep-23 Adequ
Slide 10: Profit & Loss Statement
Profit & Loss Statement Overview Parameter Q2FY23 Q3FY23 Q4FY23 Q1FY24 Q2FY24 Y-o-Y H1FY23 H1FY24 Y-o-Y Guidance Interest Income 19,682 20,883 22,005 23,478 24,587 24.92 37,856 48,065 26.97 Q2 Highlights Interest Expense 11,377 12,255 13,754 14,638 15,461 35.90 21,969 30,099 37.01 Business Net. Inte
Slide 11: Provisions
Provisions Overview ₹ in crore Guidance Parameter Q2FY23 Q3FY23 Q4FY23 FY23 Q1FY24 Q2FY24 H1FY23 H1FY24 Q2 Highlights NPAs 2,816 2,443 3,567 12,479 1,984 1,691 6,469 3,676 Business Provision on Non Performing -113 861 496 1,915 -107 -124 559 -230 Financials Investments Asset Quality Standard Assets
Slide 12: Key Ratios
Key Ratios Overview Net Interest Margin (%) Cost & Yield Ratio (%) Cost to Income Ratio (%) CoD YoI YoA Gross Profit per Employee(₹ in Cr) Guidance 8.81 46 45.29 0.6 3.15 3.18 3.14 8.43 8.63 3.13 3.06 45 0.55 7.65 7.39 Q2 Highlights 44 43.21 43.66 43.68 43.67 0.5 6.67 43 0.38 0.45 6.66 6.69 0.38 0.3
Slide 13: Movement of NPAs
₹ in crore Movement of NPAs Overview Parameter Q2FY23 Q3FY23 Q4FY23 Q1FY24 Q2FY24 H1FY23 H1FY24 Guidance Gross NPA - Opening 74,500 65,391 63,770 60,987 60,104 79,587 60,987 Add : Additions 2,913 2,567 2,794 3,241 2,632 7,157 5,873 Q2 Highlights -Balance increase in existing NPA 211 262 107 209 105
Slide 14: Sectoral Asset Quality
₹ in crore Sectoral Asset Quality Overview Slippages Outstanding NPA as on Sectoral NPA (%) Guidance Segment During Q2 FY 24 Sep 2022 Dec 2022 Mar 2023 Jun 2023 Sep 2023 Sep-22 Sep-23 Q2 Highlights Retail Loans 506 4,694 4,848 4,693 4,880 4,688 3.20 2.79 Business Agriculture 1,004 16,099 16,192 15,6
Slide 15: Capital Adequacy Ratio (%)
Capital Adequacy Ratio (%) RWA to Gross Advances (%) Overview 14.50 16.04 15.95 16.69 Guidance 73.24 71.42 72.09 69.88 2.12 2.13 2.09 Q2 Highlights 2.24 1.55 1.52 1.52 1.59 Business 12.36 12.34 13.05 10.67 Financials Asset Quality Sep-22 Mar-23 Jun-23 Sep-23 Sep-22 Mar-23 Jun-23 Sep-23 Capital CET I
Slide 16: Inclusive Growth
Inclusive Growth Overview Priority Sector Lending Government Schemes Guidance Achieved Amount RBI Benchmark No. of Particulars (as % of Scheme Sanctioned (as % of ANBC) Accounts ANBC) (₹ in crore) Q2 Highlights Agriculture 18.00 18.67 PMSVANidhi 6,98,630 936 Small and Marginal Farmers 10.00 11.81 Un
Slide 17: ESG: Banking for Sustainable Development
ESG: Banking for Sustainable Development Overview Guidance Q2 Highlights Environmental Social Governance Business Credit facility to Renewable 30 RSETI Centres, trained 3.21 lakh Policy on Compensation, Grievance Financials Energy Sector till 30.09.2023– ₹ people with Settlement Ratio of 67% Redress
Slide 18: Initiatives Across Domains
Initiatives Across Domains Overview 20+ Digital Journeys including KCC & Gold Guidance Empower Her/Power Him: Committee with a Loan STP focus on gender centric issues 9 Union Learning Academies (ULA) to build Initiated establishing Next Generation State- Q2 Highlights specialized workforce o
Slide 19: Building the Most Advanced Digital Banking Platform
Building the Most Advanced Digital Banking Platform Overview 350+ journeys to capture the end-to-end customer lifecycle Guidance Conversational AI Seamless Journey Hyper Personalization Omni-channel Experience Q2 Highlights Consumer assets Business consumer assets CRM & digital- Digital Contact Embe
Slide 20: Vyom 1.0: Key highlights till date
Vyom 1.0: Key highlights till date Overview Guidance >24 Mn Users Q2 Highlights Business 2.4+ Mn Daily unique logins Financials ₹ 2,700+ Cr Business generated through 20+ lending journeys Asset Quality Capital Adequacy Fin. Inclusion & 3.9 Play store rating ESG ₹ 56 Cr Business generated from 3rd pa
Slide 21: Outcome of Various Digital Initiatives
Outcome of Various Digital Initiatives Overview Guidance 58% 1.35 lac+ 3rd Cumulative Q2 Highlights YoY growth in Fixed Highest volume of UPI Deposits amount sourced CBDC Retail User Registrations remittances processed digitally among PSBs Business Financials 91% 85% 81% Asset Quality Cumulative Cap
Slide 22: Digital Footprints
(No. in Lakhs) Digital Footprints Overview Guidance Mobile Banking Users Net Banking Users(Retail) Credit Card Users Q2 Highlights 240 77 6.71 7.27 213 225 6.45 187 75 74 5.63 Business 71 Financials Sep-22 Mar-23 Jun-23 Sep-23 Sep-22 Mar-23 Jun-23 Sep-23 Sep-22 Mar-23 Jun-23 Sep-23 Asset Quality Vol
Slide 23: Corporate Relationship Cell (CRC)
Corporate Relationship Cell (CRC) Overview 15 Centres Guidance PAN India Major Achievements Q2 Highlights Acquisition of New Corporate Groups Business Contributed NII of Rs. 62.89 Crores & interest income of Rs. 255.10 Financials Crores in H1 2023-24. • Building Strong APPA was launched in the m
Slide 24: Automatic Payment Processing Application (APPA)
Automatic Payment Processing Application (APPA) Overview Guidance 1st Bank to implement APPA is designed to collections through integrate with Corporate’s Virtual Account numbers Q2 Highlights System for Automatic facility Payment Processing Business Financials Asset Quality Capital Adequacy Fin. In
Slide 25: UBISL
UBISL Overview Guidance PAN India Presence: Workforce: Footprints in 25 states ,117 Regional Offices 5100+ Employees Q2 Highlights Covering 127 locations Business Business & Cost Effectiveness: Financials Added 1,95,000+ new loan accounts Products Sourced: (including credit cards) during H1F
Slide 26: Subsidiaries & Joint Ventures
Subsidiaries & Joint Ventures ₹ in crore Overview Profit After Tax Holding Name of the Entity Description (%) H1FY23 H1FY24 Guidance Subsidiaries Union Bank of India (UK) Ltd. 100.00% 15.07 25.69 Geographical benefits in booking business in UK and Europe. Q2 Highlights Sponsored by Union Bank of
Slide 27: Awards and Accolades
Awards and Accolades Overview The Tech Circle Business Transformation Awards 2023 Guidance Q2 Highlights Business Financials Excellence in Learning Experience Governance Now 6th BFSI Awards 2023 by ET HR World Future Skills Asset Quality Award Capital Adequacy Fin. Inclusion & ESG Strategic Apex Ind
Slide 28: Thank You / Disclaimer
Disclaimer Except for the historical information contained herein, statements in this presentation which contain words or phrases such as “is”, “aims”, ‘will’, ‘would’, ‘indicating’, ‘expected to’ etc., and similar expressions or variations of such expressions may constitute ‘forward-looking stateme