Muthoot Capital Services Ltd. · NSE:MUTHOOTCAP

Muthoot Capital Services — Q3 FY25 Earnings Presentation

46 slides from Muthoot Capital Services's earnings presentation, Feb 4, 2025

  1. Slide 1: Exchange filing cover letter for investor presentation

    MCSL/SEC/24-25/402 February 04, 2025 BSE Limited National Stock Exchange of India Phiroze Jeejeebhoy Towers Limited Dalal Street, Exchange Plaza, C-1, Block G, Mumbai - 400 001 Bandra Kurla Complex, Scrip Code – 511766 Bandra (E), Mumbai - 400 051 Scrip Code (Debenture and CP) - 974915, Trading Symb

  2. Slide 2: Q3 FY25 Finance Presentation

    Q3 FY 25 FINANCE PRESENTATION 04 February 2025

  3. Slide 3: Muthoot Capital Services Limited

    Muthoot Capital Services Limited Its equity shares are listed on the Bombay Stock Exchange (BSE) and the National Stock Exchange of India (NSE). Muthoot Capital Services Ltd., promoted by the Muthoot Pappachan Group, is a Non- Banking Finance Company (NBFC) Established in 1994, it is registered with

  4. Slide 4: Our Mission, Our Vision, Our Values

    Our Mission Our Vision Our Values To provide timely To be the most We will do everything small credit to trusted financial to gain and maintain millions of ordinary service provider, at the Trust of all the people, and also the doorstep of the stakeholders and will provide them with common man, not

  5. Slide 5: MCSL Products

    MCSL Products Retail Loans Two-Wheeler loans CV loans Used Car loans Loyalty loans Other products Fixed Deposit Corporate loans

  6. Slide 6: 30 Year Journey

    30 Year Journey 1994 Started Operations 500cr 1995 2008 2014 2016 Listed on BSE Entered the Two- AUM crosses AUM crosses Wheeler financing 500cr 1000cr segment 2022 2019 2019 2018 Rated CRISIL A+ AUM crosses Golden Peacock MCSL ranks 2000cr Award for Corporate among Top 50 NBFC Ethics across India 2

  7. Slide 7: Financial Results Q3 FY25

    GNPA 4.73% Y-o-Y 56% AUM NNPA 2833 Cr 2.22% BLUE WHEEL DEBT Y-o-YEQUITY 46% RATIO (PCR 60%) Disbursement FINANCIAL RESULTS Q3 FY 25 846 Cr Y-o-Y 77% DEBT EQUITY PBT RATIO 17.29 Cr 3.94 x CRAR 23.17% 6

  8. Slide 8: Operational Highlights

    Operational Highlights AUM 9M FY 25: ₹ 2833 Cr Shareholders PBT Yield Fund Q3 : 17.29 Cr 20.62% 652.12 Cr Balance sheet Size 9M FY 25: ₹ 3,282 Cr No of Live Borrowing Cost Customers New Customers 9.94% 5,06,441 Q3 : 1,00,198 Total Borrowings as on 9M FY 25: ₹ 2566 Cr Disbursement A+ EPS CRISIL Ratin

  9. Slide 9: Strong Geographical Presence

    Strong Geographical Presence Geographically spread across 22 338 States Districts Portfolio Outstanding 8% 8% 7% 8% 8% WEST 13% 13% 14% 15% 15% 15% 16% 18% EAST 21% 26% NORTH 65% 63% 60% 58% 51% SOUTH Q3 24 Q4 24 Q1 25 Q2 25 Q3 25 Disbursement 8% 6% 7% 6% 9% WEST 13% 15% 17% 16% 15% EAST 24% 19% 25%

  10. Slide 10: AUM Growth – Retail and Other Loans

    AUM Growth – Retail and Other Loans ₹. In Crores 2,832.71 2381.10 2178.85 19% 1940.30 2015.15 9% 8% 2,761.37 4% 2275.8 2044.8 1776.37 1833.48 AUM Growth 46 % 163.93 181.67 134.05 105.3 71.34 Y-o-Y Q3 FY 24 Q4 FY 24 Q1 FY 25 Q2 FY 25 Q3 FY 25 Retail Loans Corp Loan & Others In Q2 Company has done ARC

  11. Slide 11: Product wise Portfolio

    Product wise Portfolio ₹. In Crores Q3 Q2 Q3 1940.30 2381.10 2832.71 24 25 25 TW 1753.63 2,173.86 2,609.18 Corp Loan & Others 163.93 105.30 71.34 4W 17.99 51.29 74.35 3W - 30.27 25.74 11.68 19.73 LL& PL 4.74 8.70 32.37 CV - Product Q-o-Q Y-o-Y TW 20%▲ 49%▲ AUM Growth AUM Growth Corp Loan & Others 32

  12. Slide 12: Product wise Disbursements

    Product wise Disbursements ₹. In Crores Q2 Q3 Q3 478.90 643.50 25 25 845.70 24 TW 443.95 576.36 783.80 Corp Loan & Others 25.00 11.00 - 4W 7.55 20.49 27.39 3W - 20.88 - LL& PL 2.40 6.97 9.87 CV - 7.80 24.64 Q1 Q3 Growth Growth 497.9 Cr 845.70 Cr 77% 31 % FY 1,987.11 Cr Y-o-Y Q-o-Q 25 Q2 643.5 Cr

  13. Slide 13: GNPA & NNPA

    GNPA & NNPA 10.69% 10.17% 9.84% 3.55% 3.40% 3.41% 2.22% 4.80% 4.73% 1.62% GNPA Y-o-Y 56% Dec-23 Mar-24 Jun-24 Sep-24 Dec-24 Dec-23 Mar-24 Jun-24 Sep-24 Dec-24 Q-o-Q 1.5% GNPA NNPA In Q2 Company has done ARC of ₹95.60 Crs. The portfolio has been derecognized from the books in Q2 itself.

  14. Slide 14: Credit Ratings

    Credit Ratings CRISIL Rating Bank Lines A+/ Stable CRISIL Rating Non-Convertible Debentures A+/ Stable Fixed Deposits CRISIL Rating A+/ Stable Principal Protected Market Linked CRISIL Rating Debenture PPMLD A+/ Stable CRISIL Rating Commercial Paper A1+

  15. Slide 15: Financial Performance – FY 24-25

    Financial Performance – FY 24-25 ₹. In Crores Parameters Q3 FY 25 Q2 FY 25 Q-o-Q Disbursement 845.70 643.50 31% Asset Under Management - AUM 2,832.71 2,381.10 19% Interest Income 125.68 108.65 16% Net Interest Income - NII 64.17 57.93 11% Operating Expense - OPEX 45.74 41.10 11% Loan Losses and Prov

  16. Slide 16: Statement of Sources and Application of Funds

    Statement of Sources and Application of Funds ₹. In Crores Mar-24 Particulars Dec-23 Dec-24 Sources of Funds 16.45 Share Capital 16.45 16.45 595.30 Reserves & Surplus 584.24 635.67 1,681.73 Borrowings 1,754.86 2,566.17 20.68 Other Liabilities and Provision 44.17 63.84 2,314.16 Total 2,399.72 3,282.1

  17. Slide 17: Profit & Loss Statement

    Profit & Loss Statement ₹. In Crores Quarter Ended Period Ended FY 24 Particulars Sep 24 Dec 24 Dec 23 Dec 24 Revenue From Operations 368.82 Interest Income 102.33 119.83 278.98 316.40 0.03 Dividend Income - - 0.03 0.04 27.25 Fees and Charges Income 6.08 5.68 19.98 17.26 1.59 Other Operating Income

  18. Slide 18: Disbursements, Average LTV, AUM, Net Worth

    Disbursements (in ₹ Cr) Average LTV 84.6% 845.7 84.3% 643.5 478.9 497.9 430.4 81.8% 81.8% 81.9% Q3 24 Q4 24 Q1 25 Q2 25 Q3 25 Q3 24 Q4 24 Q1 25 Q2 25 Q3 25 AUM (in ₹ Cr) Net Worth (in ₹ Cr) 2833 652.1 2381 639.4 2179 1940 2015 623.2 600.7 611.7 Q3 24 Q4 24 Q1 25 Q2 25 Q3 25 Q3 24 Q4 24 Q1 25 Q2 25 Q

  19. Slide 19: Capital Adequacy, Loan Loss Provision, PAT, Debt Equity

    Capital Adequacy Ratio (%) Loan Loss Provision & Write-Offs (in ₹ Cr) 33.2% 31.2% 5.4 28.8% 4.9 26.9% 23.2% 1.1 1.6 Q3 24 Q4 24 Q1 25 Q2 25 Q3 25 Q3 24 Q4 24 Q1 25 Q2 25 Q3 25 -3.6 Profit after Tax (in ₹ Cr) Debt Equity Ratio 16.3 3.9 2.9 3.4 11.1 12.7 2.7 2.8 10.2 11.4 Q3 24 Q4 24 Q1 25 Q2 25 Q2 25

  20. Slide 20: ROA, ROE, EPS, Book Value Per Share

    ROA (%) ROE (%) 2.9 2.3 2.2 2.2 10.3 2.0 7.3 7.3 7.9 6.9 Q3 24 Q4 24 Q1 25 Q2 25 Q3 25 Q3 24 Q4 24 Q1 25 Q2 25 Q3 25 Earnings per Share (in ₹ ) Book Value Per Share (in ₹ ) 9.7 396.5 7.1 7.6 388.8 6.7 378.7 6.1 371.9 365.2 Q3 24 Q4 24 Q1 25 Q2 25 Q3 25 Q3 24 Q4 24 Q1 25 Q2 25 Q3 25

  21. Slide 21: Analysis of Cost & Yield

    Analysis of Cost & Yield 25.00% 20.75% 20.80% 20.88% 20.24% 20.18% 20.11% 20.33% 20.00% 14.44% 15.00% 13.70% 13.85% 13.50% 13.61% 13.25% 13.26% 9.70% 9.80% 9.82% 9.89% 9.84% 9.91% 9.94% 10.00% 7.30% 6.45% 6.54% 6.83% 6.84% 6.23% 6.24% 5.00% 0.00% Q1 24 Q2 24 Q3 24 Q4 24 Q1 25 Q2 25 Q3 25 Cost Retail

  22. Slide 22: Disbursement Retail Loans Q3 FY24 & Q3 FY25

    Disbursement Retail Loans Q3 FY 24 & Q3 FY 25 113.7 86.42 Q3 62.92 64.09 86% 24 50.38 Y-o-Y 36.98 453.89 11.34 13.45 8.78 1.85 2.02 1.96 Oct Nov Dec Dealer Y-o-Y 227% 204.92 170.05 MFL Q3 Y-o-Y 203% 25 120.92 94.72 81.72 845.70 65.11 Co Lending 37.07 40.05 Y-o-Y -8% 24.6 1.03 2.12 3.38 Oct Nov Dec D

  23. Slide 23: Disbursement Retail Loans Q2 FY25 & Q3 FY25

    Disbursement Retail Loans Q2 FY 25 & Q3 FY 25 114.11 111.63 104.17 Q2 76.08 80.97 25 61.64 31% Q-o-Q 643.50 22.23 24.60 24.80 2.88 3.88 5.51 July Aug Sep Dealer Q-o-Q 50% 204.92 170.05 MFL Q3 Q-o-Q 42% 25 120.92 94.72 81.72 845.70 65.11 Co Lending 37.07 40.05 Q-o-Q 10 % 24.6 1.03 2.12 3.38 Oct Nov D

  24. Slide 24: Collections – Q3 FY25

    Collections – Q3 FY25 ₹. In Crores Sources of Collections 92.31 76.83 74.71 44.88 40.48 39.07 20.33 19.91 19.50 10.98 10.79 10.50 3.47 3.25 3.24 OCT-24 NOV - 2 4 DEC - 2 4 NACH MFL Bank/Electronic Mode Employee Collection Agency Collection

  25. Slide 25: Portfolio Analysis

    Portfolio Analysis ₹. In Crores Portfolio Analysis 134.00 Segment – wise Analysis 4.73% 2,609.18 74.35 25.74 32.37 19.72 71.34 5.09% 0.89% 0.00% 0.00% 1.52% 0.20% 94.90% 99.10% 100.00% 100.00% 98.48% 99.80% 2,698.70 95.27% Two Wheeler Four Wheeler Three Commercial Loyality & Corp Loan & Wheeler Vehi

  26. Slide 26: Securitization Details as on 31st Dec 24

    Securitization Details as on 31st Dec 24 2.77 ₹. In Crores 236.92 3.09 2761.36 2,524.12 Off Book On Book Securitized (part of own book) Direct Assignment Own Portfolio No of Transaction Type AUM Transaction Type AUM Transactions Securitized PTC (part of own book) 7 236.92 Off Book 2.77 Direct Assign

  27. Slide 27: Partnerships

    Partnerships Co Lending Business Correspondents 356.97 Cr (39%) . 281.70 Cr 124.01 Cr (31%) (13%) 143.12Cr (16%) . 16 Cr (2%)

  28. Slide 28: Corporate Loans

    Corporate Loans CORPORATE LOAN MOVEMENT Monthly Collection Performance Monitoring – Corp Loan Particulars Nos Balance 30 100% 25 80% Balance as on 30.09.2024 34 105.26 20 17.43 16.64 16.04 15.12 60% 14.16 13.77 Add: Addition during Q3 0 0.00 15 12.45 11.63 11.79 40% 10 34 105.26 5 20% Less: Loans cl

  29. Slide 29: Stage Wise AUM and ECL Summary

    Stage Wise AUM and ECL Summary ₹. In Crores Interest Closing Stage AUM Provision Net Asset Accrual Asset Stage 1A A 2,582.71 33.78 2,616.50 17.52 2,598.96 Stage 1B B 0.69 0.01 0.71 0.42 0.29 Total Stage 1 C 2,583.40 33.79 2,617.20 17.94 2,599.26 Stage 2A D 81.26 0.96 82.21 6.56 75.65 Stage 2B E 13.9

  30. Slide 30: Stage 3 Assets - Product wise

    Stage 3 Assets - Product wise ₹. In Crores Stage 3 Gross Closing Stage 3 Stage 3 ECL Provision Net Stage Accrued Stage 3 Asset POS Asset % Provision Coverage 3 Interest Asset Dec-24 2,832.71 120.80 13.20 134.00 4.73% 72.66 60% 61.34 Two Wheeler 2,609.18 119.75 13.15 132.90 5.09% 71.98 60% 60.92 Used

  31. Slide 31: Asset Quality Updates

    Asset Quality Updates Stage 1 Stage 2 91.93% 92.37% 3.89% 3.25% 3.20% 3.27% 2.90% 86.58% 86.96% 85.42% Q3 24 Q4 24 Q1 25 Q2 25 Q3 25 Q3 24 Q4 24 Q1 25 Q2 25 Q3 25 Stage 1 Stage 2 Stage 3 10.69% 10.17% 9.84% 4.80% 4.73% Q3 24 Q4 24 Q1 25 Q2 25 Q3 25 Stage 3

  32. Slide 32: Asset Quality and NPA Movement - Retail

    Asset Quality and NPA Movement - Retail ₹. In Crores Parameters Dec-23 Mar-24 Jun-24 Sep-24 Dec-24 Gross NPAs - Opening POS 190.97 191.39 188.47 193.16 102.58 Add : Additions 25.69 20.38 21.84 19.47 28.75 Less: Reductions Normalized and Closed during the Quarter 11.70 10.33 6.43 6.23 3.67 Repossesse

  33. Slide 33: Expected Credit Loss (ECL) Vs IRACP

    Expected Credit Loss (ECL) Vs IRACP ECL IRACP Excess Particulars AUM ECL% IRACP % Provision Provision /(Deficit) Performing Assets S1 and S2 Hypothecation Loans 2,627.78 23.75 10.51 13.24 0.90% 0.40% S1 and S2 other loans 70.93 0.34 0.28 0.06 0.48% 0.40% Non-Performing Assets S3 loans 120.79 72.66 4

  34. Slide 34: ARC & Investment in SRs

    ARC & Investment in SRs PHOENIX ARC (Sep 2023) PARAS ARC (Sep 2024) SR @ Sale Current SR SR @ Sale Current SR 102.22 Cr 41.09 Cr 41.73 Cr 36.75 Cr NAV SRs NAV SRs 63.07 53.46 41.73 46.10 40.88 41.09 38.66 36.75 Mar-24 Jun-24 Sep-24 Dec-24 Sep-24 Oct-24 Nov-24 Dec-24 14.15 Quarterly Collections Month

  35. Slide 35: Shareholding Pattern (As on Q3 FY25)

    Shareholding Pattern (As on Q3 FY25) 1.10% 1.27% 1.46% 1.28% 5.35% Promoter 26.92% Public Bodies Corporate FPI Category I NRI Institutions (AIFs & Banks) Others 62.62%

  36. Slide 36: Banking Partners

    irl Banking Partners rmuthoot CAPITAL Su Indusind > oN enaiice <2 AX fy GY unoesy GY | il) ——$— UnloniBank AXIS BANK SBM bank ©. Le] enb foam ea OSBI = — BANK ra & HH mr FEDERAL BANK Reed P Indian Bank Hi} HDFC BANK | YOUR PERFECT BANKING PARTNER Blue is Belief

  37. Slide 37: NBFCs & Marquee Partners

    NBFCs & Marquee Partners Morgan Stanley India Sundaram Finance Noel Tata & Neville Tata Ambit Capital AK Capital Indian Energy Exchange Vivriti Capital Northern Arc Oxyzo Financial Services Equirus Capital Tipsons Finova Capital IKF Finance Limited Poonawalla Fincorp Ltd GUARANTCO Guarantco Arman Fi

  38. Slide 38: Sources of Borrowing

    Sources of Borrowing Additional Facilities Q 3 FY 25 Total Borrowings Cost of New Total Borrowings Facilities 9.73% 31st Dec 2024 Short Term 247 Crores 2576.59 Crores Cost of Borrowings Funding Concentration Total 9.94% TL/WCDL - 43% 837.74 Crores NCD/MLD – 37% CP/Securitisation – 19% Others – 1% Lo

  39. Slide 39: Borrowing Profile

    Borrowing Profile Bank Type Amount Utkarsh Small Finance Bank WCTL 40.00 State Bank of Mauritius WCTL 25.00 Financing Partners Banks – 19 Financial Institutions - 9 Others - 2

  40. Slide 40: Borrowing Profile

    Borrowing Profile ₹. In Crores Mar-24 Sep-24 Dec -24 Borrowings O/S Rate O/S Rate O/S Rate NCD & MLD 504.00 10.15% 604.00 9.95% 955.00 9.94% PUBLIC DEPOSIT 41.97 8.43% 42.37 8.21% 41.91 8.21% LFD 6.90 10.85% 6.78 10.85% 6.78 10.85% CC/WCDL/WCTL 799.98 10.05% 1,098.03 10.18% 1,098.71 10.20% CP 198.50

  41. Slide 41: Impact of MCLR Changes in WCDL Interest Rates

    Impact of MCLR Changes in WCDL Interest Rates MCLR VS BANK INTEREST RATES 11.00% 10.50% 10.00% 0.35% Increase 9.50% Average MCLR 9.00% Rate 0.14% Increase in 8.50% 8.00% Average ROI 7.50% 7.00% 6.50% 6.00% Average Mar-24 Dec- 24 Average Interest Rate 9. 80% 9.94% MCLR Bank Average MCLR Rate 8.65% 9.

  42. Slide 42: Public Deposits

    PUBLIC DEPOSITS PUBLIC DEPOSITS BALANCE OUTSTANDING Tenure Balance as on 31.12.2024 Up to 1 Year 72,67,000.00 Q3 New Deposits 1 Year 1day up to 2 Yrs 16,96,77,000.00 3.44 Crs 2 Year 1day up to 3 Yrs 8,07,87,000.00 4 Year 2,07,78,000.00 5 Year 12,04,04,000.00 Total 39,89,13,000.00 PUBLIC DEPOSIT PORT

  43. Slide 43: Structural Liquidity as on 31/12/2024

    Structural Liquidity as on 31/12/2024 ₹. In Crores 900.00 800.00 700.00 600.00 500.00 400.00 300.00 200.00 100.00 - 1-7 days 8-14 days 15 days-1 month 1-2 months 2-3 months 3-6 months 6-12 months Inflow Outflow 1-7 days 8-14 days 15 days-1 month 1-2 months 2-3 months 3-6 months 6-12 months Cumulativ

  44. Slide 44: Liquidity Position For Q4 25

    Liquidity Position For Q4 25 Particulars Jan-25 Feb-25 Mar-25 Q4 FY 2025 Opening Balance 204.77 190.45 232.54 204.77 Inflows New Borrowings 180.29 250.00 350.00 780.29 WCDL/CC Rollover 60.00 100.00 65.00 225.00 EMI Repayments incl. sold portfolio 182.11 180.57 180.77 543.45 Other receipts 12.34 5.00

  45. Slide 45: Great Place to Work certification

    Great Place to work We have received Great Place to Work certification in October 2024.

  46. Slide 46: Don't Just Soch Karo Blue Soch

    DON’T JUST SOCH KARO BLUE SOCH 45

Muthoot Capital Services — Q3 FY25 Earnings Presentation on 6ix