Slide 1: Cover letter to stock exchanges for analyst meet presentation
February 12, 2020 Listing Department Listing Department National Stock Exchange of India Ltd. BSE Limited Exchange Plaza, 5th floor P J Towers Plot No. C/1, G Block Dalal Street Bandra-Kurla Complex Mumbai 400 001 Bandra (East) Mumbai 400 051 Dear Sirs, Sub.: Presentation made at the Analyst Meet Pu
Slide 2: 2019 Analyst presentation
2019 Analyst presentation © 2020 CRISIL Ltd. All rights reserved. February 2020 1 An SR R Global Campa er An S&P Global Company
Slide 3: Disclaimer / Safe Harbor
Disclaimer / Safe Harbor This presentation has been prepared solely as a concise update of Company’s quarterly and annual results. By reading the presentation slides, you agree to be bound by the following limitations: (a) CRISIL Ltd. (“CRISIL” or “Company”) cannot give assurance to the correctness
Slide 4: Agenda
Agenda 1. CRISIL Overview 2. Business Environment © 2020 CRISIL Ltd. All rights reserved. 3. Financial Performance 4. Segment Performance 5. Thought Leadership 6. Corporate Social Responsibility 3 CRISIL An S&P Global Company
Slide 5: CRISIL, a leading global analytics company
CRISIL, a leading global analytics company #Agile to market needs 1,00,000+ 33,000+ 3600+ Customers ratings employees Unleashing © 2020 CRISIL Ltd. All rights reserved. #Innovation Rated over $1.88 Trillion 90% of Defining of Indian debt 150,000 India’s banking ₹ micro, small and #Global best securi
Slide 6: Agenda
Agenda 1. CRISIL Overview 2. Business Environment © 2020 CRISIL Ltd. All rights reserved. 3. Financial Performance 4. Segment Performance 5. Thought Leadership 6. Corporate Social Responsibility 5 CRISIL An S&P Global Company
Slide 7: Domestic growth deceleration a drag amidst rising global concerns
Domestic growth deceleration a drag amidst rising global concerns Indicator FY2018 FY2019 FY2020F Key themes Real GDP (y-o-y %) 7.0 6.1 5.0* India Investments (y-o-y %) 7.2 9.8 1.0* GDP at 11-year low 10 year G-sec yield (%, March) 7.6 7.5 6.5 Fiscal deficit (% of GDP) 3.5 3.4 3.8# Investment appeti
Slide 8: Business environment: trends and opportunities
Business environment: trends and opportunities r-. oxv v © 2020 CRISIL Ltd. All rights reserved. Heightened regulatory Higher spends in risk Emergence of New risks Leveraging alternate data focus remediation ESG as an investment Adoption of technologies Digital Rise of passive investing criteria lik
Slide 9: Agenda
Agenda 1. CRISIL Overview 2. Business Environment © 2020 CRISIL Ltd. All rights reserved. 3. Financial Performance 4. Segment Performance 5. Thought Leadership 6. Corporate Social Responsibility 8 CRISIL An S&P Global Company
Slide 10: 2019 results
2019 results Total income from operations ₹ crore ₹ crore 1,748.5 1,731.7 467.0 464.3 © 2020 CRISIL Ltd. All rights reserved. Q4 2018 Q4 2019 2018 2019 PBT ₹ crore ₹ crore 136.9 132.1 499.6 491.6 Q4 2018 Q4 2019 2018 2019 Note: Numbers rounded off 9 CRISIL An S&P Global Company
Slide 11: Investments in growth, technology and analytics
Investments in growth, technology and analytics CRISIL stood tall amidst a tumultuous environment • Laser-sharp focus on analytical rigor • Relentless focus on quality and customer orientation has helped add multiple large corporate clients Strengthening our core • Continued investments in people an
Slide 12: Agenda
Agenda 1. CRISIL Overview 2. Business Environment © 2020 CRISIL Ltd. All rights reserved. 3. Financial Performance 4. Segment Performance - Ratings 5. Thought Leadership 6. Corporate Social Responsibility 11 CRISIL An S&P Global Company
Slide 13: Bond issuances rise but issuers decrease; overall credit growth subdued
Bond issuances rise but issuers decrease; Overall credit growth subdued impacted by wholesale credit Bond Issuances & Issuers (₹ billion) Credit Growth NBFC crisis 18,000 658 700 © 2020 CRISIL Ltd. All rights reserved. 16,000 600 16.4% 527 14,000 500 12,000 371 400 7.3% 10,000 300 8,000 6,954 +14% 6
Slide 14: Performance of CRISIL's ratings
Performance of CRISIL’s ratings Comparison of one-year average default rates across CRAs (FY15-19) ^ 2.2% 1.8% 1.8% 1.3% 1.1% 0.8% 0.8% 0.9% 0.6% 0.5% 0.5% 0.6% 0.3% 0.0% 0.0% 0.1% 0.1% 0.1% 0.1% 0.1% © 2020 CRISIL Ltd. All rights reserved. AAA AA A BBB CRISIL OCRA1 OCRA2 OCRA3 OCRA4 Comparison of s
Slide 15: Ratings: 2019 highlights
Ratings: 2019 highlights Financials Business update • CRISIL Ratings saw a robust growth driven by addition of large corporate clients and increase in securitization mandates Particulars (₹ cr) Q4 2018 Q4 2019 • CRISIL Ratings’ enhanced market leadership and share as investors shifted focus on quali
Slide 16: Agenda
Agenda 1. CRISIL Overview 2. Business Environment © 2020 CRISIL Ltd. All rights reserved. 3. Financial Performance 4. Segment Performance - Research 5. Thought Leadership 6. Corporate Social Responsibility 15 CRISIL An S&P Global Company
Slide 17: Research and analytics gains prominence as Indian AUM grows
Research and analytics gains prominence as Indian AUM grows while the impact of MiFID II plays out ₹ ‘000 crore 2,687 ₹ crore 125,805 2,366 2,237 92,825 1,693 1,341 54,173 India AIF Investments 28,486 mutual fund made in India © 2020 CRISIL Ltd. All rights reserved. 14,031 AUM* 5,721 2015 2016 2017
Slide 18: Research: 2019 highlights
Research: 2019 highlights Financials Business update • The research segment performance was led by Coalition with robust traction in client and competitor analytics Particulars (₹ cr) Q4 2018 Q4 2019 • During the year Coalition continued its initiatives aimed at enhancing market relevance and broade
Slide 19: Agenda
Agenda 1. CRISIL Overview 2. Business Environment © 2020 CRISIL Ltd. All rights reserved. 3. Financial Performance 4. Segment Performance - Advisory 5. Thought Leadership 6. Corporate Social Responsibility 18 CRISIL An S&P Global Company
Slide 20: Technology evolution leading to emerging needs for analytics, risk and infrastructure offerings
Technology evolution leading to emerging needs for analytics, risk and infrastructure offerings Risk Solutions, Pragmatix • Focus on digital enablement across the financial services • Need for integrated credit and risk solutions, combining client workflow and data analytics • Non-traditional data d
Slide 21: Advisory: 2019 highlights
Advisory: 2019 highlights Financials Business update • The business saw a turnaround during the year and posted ~9% profit margins, a significant improvement from previous year Particulars (₹ cr) 4Q 2018 4Q 2019 • Won new mandates from government, multilaterals agencies and leading banks, including
Slide 22: Risks
Risks • Cyber risk • Uncertain regulatory environment • Reputation risk © 2020 CRISIL Ltd. All rights reserved. • Disruptive technology • Adverse currency movement • Intense price competition 21 CRISIL An S&P Global Company
Slide 23: CRISIL to acquire Greenwich Associates
CRISIL to acquire Greenwich Associates Acquisition positions CRISIL as the premier provider of global benchmarking analytics across financial services Accelerates our strategy to be the leading player in the growing market of global benchmarking analytics © 2020 CRISIL Ltd. All rights reserved. Comp
Slide 24: Agenda
Agenda 1. CRISIL Overview 2. Business Environment © 2020 CRISIL Ltd. All rights reserved. 3. Financial Performance 4. Segment Performance Franchise and thought 5. Leadership 6. Corporate Social Responsibility 23 CRISIL An S&P Global Company
Slide 25: Leading provider of independent opinion
Leading provider of independent opinion • I c 3RD • ,,. ........ • NATIONAL CONFERENCE "·1 ii 1&11 ,l ij1) ,M :M/111@1 :J:l � I � ...,.. • lND © 2020 CRISIL Ltd. All rights reserved. OUTLOOK CRISIL and S&P Global Ratings jointly hosted the CRISIL Infrastructure Advisory hosted the CRISIL partnered w
Slide 26: Publisher of marquee thought leadership reports
Publisher of marquee thought leadership reports Research CRISIL Ratings ....__ .CRISIL Global Research &Analytics CRISIL Ratln11 CRISIL India outlook FY20 Transition to the new India's REIT Opportunity January 2019 Rctin,s Credit ratio edges up, Rs 1.5 lakh crore proposition for global private Round
Slide 27: Agenda
Agenda 1. CRISIL Overview 2. Business Environment © 2020 CRISIL Ltd. All rights reserved. 3. Financial Performance 4. Segment Performance 5. Thought Leadership 6. Corporate Social Responsibility 26 CRISIL An S&P Global Company
Slide 28: Creating sustained social impact through focused CSR programs
Creating sustained social impact through focused CSR programs C-ll'ISIL Money Wise A CRISIL Programme © 2020 CRISIL Ltd. All rights reserved. Empowering socially and economically Promoting environment conservation through Spreading financial literacy in partnership challenged sections of the societi
Slide 29: Awards and achievements
Awards and achievements (., 111 \ CRISIL won National CSR Award 2018, apex recognition in the field of CSR for Mein Pragati, Assam programme. The Honourable President of India, Shri Ram © 2020 CRISIL Ltd. All rights reserved. Nath Kovind, conferred the award CRISIL was one of the top 3 CRISIL won 20
Slide 30: About CRISIL
About CRISIL CCRISIL is a leading, agile and innovative global analytics company driven by its mission of making markets function better. It is India’s foremost provider of ratings, data, research, analytics and solutions with a strong track record of growth, culture of innovation, and global footpr