Dcb Bank Limited · NSE:DCBBANK
Dcb Bank — Q3 FY2017 Earnings Presentation
45 slides from Dcb Bank's earnings presentation, January 2017
Slide 1: Investor Presentation – Q3 FY 2017
Investor Presentation – Q3 FY 2017 January 2017 DCB Bank Limited
Slide 2: Disclaimer
Disclaimer This presentation is strictly confidential and may not be copied, published, distributed, redistributed, disseminated or transmitted, directly or indirectly, in any manner. The information in this presentation is being provided by DCB Bank Limited (the “Bank”). This presentation has been
Slide 3: Branch Network December 31, 2016
Branch Network December 31, 2016 3
Slide 4: Key Indicators - I
Key Indicators - I No. of Cost to Return on Return on INR mn Branches Balance Sheet Income Ratio Asset Equity Q3 FY 2017 248 232,851 60.07% 0.90% 10.72% FY 2016 198 191,185 58.45% 1.14% 11.59% FY 2015 154 161,323 58.83% 1.37% 14.16% FY 2014 130 129,231 62.93% 1.31% 14.04% FY 2013 94 112,788 68.58% 1
Slide 5: Key Indicators - II
Key Indicators - II INR mn Q3 FY 17 Q2 FY 17 Q3 FY 16 Y-o-Y Deposits 188,395 176,846 140,835 34% Of which CASA 48,709 38,754 32,175 51% Of which Retail Term 102,368 99,066 83,480 23% - Of which NRI Term 13,540 12,958 11,499 18% Net Advances 145,844 144,362 117,362 24% Advances (Excluding Corporate 1
Slide 6: Balance Sheet
Balance Sheet Mar 31, Mar 31, Mar 31, Mar 31, Mar 31, Mar 31, Jun 30, Sep 30, Dec 31, INR mn 2011 2012 2013 2014 2015 2016 2016 2016 2016 Shareholder’s Equity 6,215 8,614 10,031 11,540 15,886 17,922 18,402 18,892 21,508 Deposits 56,102 63,356 83,638 103,251 126,091 149,260 156,796 176,846 188,395 Bo
Slide 7: Profit & Loss
Profit & Loss INR mn Q3 FY16 Q4 FY16 Q1 FY17 Q2 FY17 Q3 FY17 Net Interest Income 1,605 1,687 1,770 1,903 2,095 Other Income 472 614 601 616 641 - Commission, exchange & brokerage 361 395 379 422 403 - Profit on Sale of Investment 46 40 172 116 125 - Profit on Exchange Transactions 39 28 31 42 22 Ope
Slide 8: Profit & Loss
Profit & Loss INR mn FY 2011 FY 2012 FY 2013 FY 2014 FY 2015 FY 2016 Net Interest Income 1,891 2,277 2,844 3,684 5,082 6,195 Other Income 1,121 1,004 1,170 1,387 1,657 2,205 - Commission, exchange 683 786 893 999 1,193 1,405 and brokerage - Profit on Sale of 253 118 139 225 277 423 Investment - Prof
Slide 9: Deposits Mix
Deposits Mix Deposits as on Dec 31, 2016 Residential Term CASA Deposit 50% 26% Interbank Term Deposit 17% Non-Resident Term Deposit 7% Retail Deposits to Total Deposits - 79% * CASA includes NRI CASA. 9 DCB Bank Limited
Slide 10: Advances Mix
Advances Mix Net Advances as on Dec 31, 2016 SME + MSME, 11% Mortgages, 44% Corporate Banking, 16% AIB, 17% Commercial Vehicle, Others, 2% 4% Gold Loan, 2% Construction Finance, PL, 1% Auto Loan, 1% 2% Note: PL – Personal Loan 10 DCB Bank Limited
Slide 11: NIM, Yield and Cost of Funds
NIM, Yield and Cost of Funds Mar 31, Mar 31, Mar 31, Mar 31, Mar 31, Mar 31, Dec 31, Year Ended 2011 2012 2013 2014 2015 2016 2016 Net Interest 3.13% 3.25% 3.34% 3.56% 3.72% 3.94% 3.95% Margin Yield on 11.12% 12.60% 12.75% 12.84% 12.63% 12.52% 12.01% Advances Cost of Funds 5.83% 7.11% 7.78% 7.78% 7.
Slide 12: Non Performing Assets
Non Performing Assets Mar 31, Mar 31, Mar 31, Mar 31, Mar 31, Dec 31, Mar 31, Jun 30, Sep 30, Dec 31, 2011 2012 2013 2014 2015 2015 2016 2016 2016 2016 Gross NPA 5.85% 4.40% 3.18% 1.69% 1.76% 1.98% 1.51% 1.72% 1.75% 1.55% Net NPA 0.96% 0.57% 0.75% 0.91% 1.01% 1.12% 0.75% 0.87% 0.84% 0.74% Provision
Slide 13: Gross NPA Movement
Gross NPA Movement INR mn Q3 2015-16 FY 2015-16 Q3 2016-17 Opening Balance 2,243 1,861 2,554 (+) Add Fresh Slippages 549 2,244 793 Addition to Existing NPAs 2 11 0 (-) Less Recoveries 249 1,005 641 Upgrades 162 539 78 Write Offs / Sacrifice 34 598 349 Closing Balance 2,349 1,974 2,279 Sale of NPA to
Slide 14: Treasury
Treasury Mar 31, Mar 31, Mar 31, Mar 31, Mar 31, Mar 31, Dec 31, INR mn 2011 2012 2013 2014 2015 2016 2016 SLR 17,512 20,219 24,332 28,072 34,750 39,855 50,657 Non-SLR 1,007 774 5,552 4,236 4,872 3,478 9,993 Total Investments* 18,519 20,993 29,884 32,308 39,622 43,333 60,650 HTM 14,415 16,660 19,903
Slide 15: Capital Adequacy Ratios – Basel III
Capital Adequacy Ratios – Basel III Mar 31, Mar 31, Mar 31, Mar 31, Mar 31, Dec 31, Mar 31, Dec 31, 2011 2012 2013 2014 2015 2015 2016 2016 CRAR 13.25% 15.41% 13.61% 13.71% 14.95% 13.04% 14.11% 13.33% 11.10% 13.81% 12.62% 12.86% 14.21% 12.33% 12.79% 11.39% -- Tier I -- Tier II 2.15% 1.60% 0.99% 0.85
Slide 16: Ratings
Ratings Dec 31, Mar 31, Sep 30, Dec 31, Mar 31, Sep 30, Dec 31, 2012 2013 2013 2014 2016 2016 2016 ICRA Long Term – A+(hyb) / A+(hyb) / A+(hyb) / Subordinated - - - - (stable) (stable) (stable) Debt Short – Term - - - A1+ A1+ A1+ A1+ Fixed Deposits CRISIL Certificate of A1 A1+ A1+ A1+ A1+ A1+ A1+ De
Slide 17: Overview
Overview 17 DCB Bank Limited
Slide 18: Who is our Customer? Opportunity
Self Employed / Small Business (For example: Trader, Commodity, Gold Trader, Vegetable Trader, Commission Agent, Retailer, Restaurant Owner, Caterer, Baker, Vending Machine Supplier , Consultant, Doctor, Contractor, Interior Decorator, Software Designer, Salon, Beauty Parlor, Printer, Electrical Eng
Slide 19: Our Customers
Our Customers 19 DCB Bank Limited
Slide 20: Apparel Retailer
Apparel Retailer 20
Slide 21: Wall Paper Dealer
Wall Paper Dealer 21
Slide 22: Bakery Owner
Bakery Owner 22
Slide 23: Tea Powder Distributor
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Slide 24: Gold Valuer
Gold Valuer 24
Slide 25: Pharmacy Owner
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Slide 26: Water Filter Distributor
RE ce Bank Water Filter Distributor
Slide 27: Wholesale Grain Trader
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Slide 28: Kitchen Appliances Supplier – Stove Burners
Kitchen Appliances Supplier – Stove Burners 28
Slide 29: Business Strategy
Business Strategy 1 Concentrate on Tier 2 to 2 Relentless focus on 3 Rely mainly on Retail Deposits (Term, CASA). Tier 6 locations. Liquidity, Costs, Grow NRI deposits. Limit Operational Risks, dependency on bulk. People and Customer Service. Improve continuously. 4 Form strategic alliances 5 Contin
Slide 30: Products and Services
Products and Services Retail Banking SME, Corporate Banking, NBFCs, Co-operative Banks Deposit Products: Loans: Bills Collection Term Loans Corporate Salary Auto Loan Current Account Trade Current Account Current and Savings Commercial Vehicle Foreign Exchange Working Capital Lockers Construction Eq
Slide 31: Capital Raising and Milestones
Capital Raising and Milestones Tier I Capital Raising Milestones 2014 QIP of INR 2.5 bn 2016 Opened 200th Branch QIP of INR 940 mn and Preferential Opened 150th Branch 2012 2015 Allotment of INR 1,390 mn 2013 Name changed to DCB Bank Ltd. 2009 QIP of INR 810 mn 2013 Opened 100th Branch 2007 Preferen
Slide 32: Investor Profile as on December 31, 2016
Investor Profile as on December 31, 2016 Key Non Promoter Shareholders % * Mathews India Fund 4.75% Tano Mauritius India FVCI II 4.61% * Sundaram Mutual Fund 3.70% *AKFED and PJI 16.21% ***Institutions DSP Blackrock Micro Cap Fund 3.21% 42.31% * ICICI Prudential AMC 3.10% Others (Non- Institutions)*
Slide 33: Board of Directors
Board of Directors Amin Manekia Pioneered in concept of automatic beverage vending machines in India. More than 20 years in various capacities in different institutions of AKDN for the social-economic uplift of the poor. Altaf Jiwani With expertise in Foreign Exchange, Risk Management and Trade Fina
Slide 34: Management Team
Management Team Ajay Mathur – 22 yrs work exp. Aditya Prasad – 30 yrs work exp. Head – Collections & Commercial Abhijit Bose - *24 yrs work exp. Head – Corporate Banking Vehicles Head – Retail Assets & Strategic Alliances T Anuradha – 16 yrs work exp. Gaurav Mehta – 20 yrs work exp. Chief Internal A
Slide 35: Digital Update
Digital Update 35 DCB Bank Limited
Slide 36: Four pillars of digital agenda
Four pillars of digital agenda 1 2 Core Applications – continuously Mobile / Tab – create customer upgrade business applications to convenience by optimum use of support digital transformation mobile devices 3 4 Payments – innovative solutions Infrastructure – modernize to which is dynamic, secure a
Slide 37: BFSI TECH Maestros Award for Aadhaar Based ATM
BFSI TECH Maestros Award for Aadhaar Based ATM 37
Slide 38: India's first Aadhaar number and fingerprint biometric ATM
DCB Bank launched India’s first Aadhaar number and fingerprint biometric ATM in Mumbai, Dhenkanal, Malerkotla and Jayanagar. Mr. Nandan Nilekani, Chairperson and Co-founder of EkStep Foundation inaugurated the ATM at Jayanagar, Bengaluru. 70 Aadhaar Based ATM’s Operational as on December 31, 2016 38
Slide 39: Data Centre Award for DCB Bank Data Centre
Data Centre Award for DCB Bank Data Centre 39
Slide 40: Launched DCB UPI App on Android Platform
Launched DCB UPI App on Android Platform 40
Slide 41: DCB Loans On The Go Mobile App
DCB Loans On The Go Mobile App 41
Slide 42: Launched Tractor Loan Customer Acquisition on Tab
Launched Tractor Loan Customer Acquisition on Tab 42
Slide 43: Launched VREMIT – Automated Trade Finance Inward Remittances Process
Launched VREMIT – Automated Trade Finance Inward Remittances Process 43
Slide 44: Deployed eMagic enterprise monitoring solution
Deployed eMagic enterprise monitoring solution 44
Slide 45: Thank you
Thank you To receive investor updates from DCB Bank Ltd., write in at investorrelations@dcbbank.com . Do let us know of any change in your contact details on the same email ID. 45 DCB Bank Limited