Repco Home Finance Ltd. · NSE:REPCOHOME
Repco Home Finance — Q3 FY21 Earnings Presentation
26 slides from Repco Home Finance's earnings presentation, Feb 11, 2021
Slide 1: Exchange filing cover letter
Repco Home Finance REPCO HOME FINANCE LIMITED. (Promoted by Repo° Bank-Govt. of India Enterprise) CIN :1.65922TN2000PLC044655 RHFL/SE/55/2020-21 February 11, 2021 The BSE Ltd, The National Stock Exchange of India Ltd, Phiroze Jeejeebhoy Towers, Exchange Plaza, C-1, Block G, 26th Floor, Dalal Street,
Slide 2: Earnings Presentation Q3FY21
Repco Home Finance Limited Earnings Presentation Q3FY21 www.repcohome.com Earnings Presentation February 2021
Slide 3: Agenda
Agenda Repco Home Finance Limited Q3FY21 Performance ► Business summary…………………………………………….……. ► Financial performance…………………………… ► Borrowing profile………………..……………….…………………. Geographic Presence ► Footprint.……………………………………………….. ► Region-wise loan book.………………………………………….… Annexure Earnings Presentat
Slide 4: Q3FY21 Performance
Repco Home Finance Limited Q3FY21 Performance Earnings Presentation February 2021
Slide 5: Business Summary
Business Summary Repco Home Finance Limited • Loans outstanding (Dec 31, 2020) Rs. 1,20,588 mn • Net worth (Dec 31, 2020) Rs. 18,755 mn • Tier 1 capital adequacy ratio 27.4% (Provisional) • Average loan per unit Rs. 1.5 mn • Number of live accounts 1,00,830 • Current employee Strength 1,010 • Stage
Slide 6: Incremental improvement in business performance
Incremental improvement in business performance Repco Home Finance Limited 7,000 6,500 6,000 5,517 5,277 5,000 4,672 4,000 3,000 2,000 1,816 1,615 1,000 - Q1FY21 Q2FY21 Q3FY21 Sanctions Disbursements 5 Earnings Presentation February 2021
Slide 7: Q3FY21 performance
Q3FY21 performance Repco Home Finance Limited Figures in Rs million Total income Net interest income Profit after tax Q3FY21 3,598 1,544 796 5% 17% 14% Q3FY20 3,410 1,318 697 Loan Book Stage-3 ECL Provision Q3FY21 1,20,588 4,014 2,624 18% 51% 4% Q3FY20 1,16,249 4,896 1,740 6 Earnings Presentation
Slide 8: Asset book
Asset book Repco Home Finance Limited Figures in Rs million Sanctions and disbursements Loan Book 25,000 1,40,000 21,257 1,20,588 20,249 1,16,249 20,000 1,20,000 15,000 13,392 1,00,000 12,005 10,000 80,000 5,000 60,000 0 40,000 9MFY20 9MFY21 20,000 Sanctions Disbursements Dec'19 Dec'20 Loan book com
Slide 9: Income and earnings growth
Income and earnings growth Repco Home Finance Limited Figures in Rs million Total income Net interest income 12,000 4,500 4,220 10,519 10,050 4,000 3,826 10,000 3,500 8,000 3,000 6,000 2,500 2,000 4,000 1,500 2,000 1,000 - 500 9MFY20 9MFY21 9MFY20 9MFY21 Net profit Net worth 21,000 2,500 2,327 18,75
Slide 10: Operating cost
Operating cost Repco Home Finance Limited Figures in Rs million Employee cost Other opex 600 350 528 500 469 290 300 256 400 250 200 300 150 200 100 100 50 0 0 9MFY20 9MFY21 9MFY20 9MFY21 Cost to income ratio 19.6% 20.0% 18.2% 15.0% 10.0% 5.0% 0.0% 9MFY20 9MFY21 9 Earnings Presentation February 20
Slide 11: Profitability ratios
Profitability ratios Repco Home Finance Limited Net interest margin Spread 4.8% 4.7% 4.5% 3.6% 3.5% 4.6% 4.4% 3.4% 3.2% 3.1% 4.2% 4.0% 3.0% 3.8% 2.8% 3.6% 2.6% 3.4% 2.4% 3.2% 2.2% 3.0% 2.0% 9MFY20 9MFY21 9MFY20 9MFY21 Return on equity Return on assets 3.0% 2.7% 25.0% 2.5% 20.2% 2.5% 20.0% 16.9% 2.0%
Slide 12: Asset quality
Asset quality Repco Home Finance Limited Stage-3 (%) 5.0% 4.5% 4.3% 4.2% 4.2% 4.2% 4.0% 4.0% 3.9% 4.0% 3.5% 3.3% 3.0% 3.0% 2.5% 2.0% Stage 3 (%) 11 Earnings Presentation February 2021
Slide 13: Pro-forma Stage-3
Pro-forma Stage-3 Repco Home Finance Limited Note – 1. Restructured loan assets, which are part of the aforementioned Pro-forma Stage-3 , carry a total ECL provision of Rs.106 mn. 2. Pro-forma Stage-3 assets net of Stage-3 (totaling to Rs. 1,203 mn) carry a total ECL provision of Rs. 308 mn. 12 Earn
Slide 14: Product mix / Occupation wise asset quality
Product mix / Occupation wise asset quality Repco Home Finance Limited 8.0% 7.0% 6.7% 6.2% 6.0% 4.9% 5.0% 4.2% 4.0% 4.0% 3.4% 3.6% 3.3% 3.0% 3.0% 2.0% 1.0% 0.0% Housing Loan LAP Overall Dec'20 Sep'20 Dec'19 7.0% 6.4% 6.5% 6.0% 5.4% 5.0% 4.2% 4.0% 4.0% 3.3% 3.0% 2.0% 1.5% 1.1% 1.3% 1.0% 0.0% Salaried
Slide 15: ECL Provisioning
ECL Provisioning Repco Home Finance Limited Figures in Rs million Dec'19 Sep'20 Dec'20 Gross Stage 3 4,896 4,779 4,014 % portfolio in Stage 3 4.21% 3.95% 3.33% ECL provision - Stage 3 1,399 1,978 1,779 Net - Stage 3 3,497 2,801 2,234 Coverage ratio - Stage 3 29% 41% 44% Gross Stage 1 & 2 1,11,353 1,
Slide 16: Borrowing profile
Borrowing profile Repco Home Finance Limited Figures in Rs million % 100% Source (Rs mn) Average cost Dec'19 Dec'20 7% change 80% National Housing Bank 6.10% 9,248 17,569 90% 60% 73% 76% Repco Bank 8.20% 7,814 9,986 28% 40% Commercial Banks 7.62% 74,297 75,155 1% 20% 10% 8% 9% 17% 0% NCDs 8.05% 6,52
Slide 17: Movement in borrowing cost
Movement in borrowing cost Repco Home Finance Limited 8.80% 8.60% 8.53% 8.52% 8.46% 8.37% 8.41% 8.40% 8.40% 8.23% 8.20% 8.13% 8.05% 8.00% 7.80% 7.68% 7.57% 7.60% 7.46% 7.42% 7.40% 7.20% 7.00% 6.80% Weighted average borrowing rate Note - Finance expense for a reporting quarter consists of borrowing c
Slide 18: Geographic Presence
Repco Home Finance Limited Geographic Presence Earnings Presentation February 2021
Slide 19: Footprint
Footprint Repco Home Finance Limited Present in 12 states and 1 Union Territory with 153 branches and 24 satellite centers. Plus 2 asset recovery branches. Presence beyond South: branches in West Bengal, Orissa, Maharashtra, Gujarat, Madhya Pradesh & Rajasthan. Network Expansion 170 177 177 17
Slide 20: Region-wise loan book
Region-wise loan book Repco Home Finance Limited Others, 3.5% Andhra Pradesh, 5.9% Telangana, 4.5% Gujarat, 3.8% Karnataka, 13.9% Tamil Nadu, 55.8% Kerala, 3.2% Maharashtra, 9.4% Annualized Exposure YoY QoQ States Dec'19 Sep'20 Dec'20 growth growth Andhra Pradesh 6.4% 6.0% 5.9% -4% -8% Telangana 4.6
Slide 21: Annexure
Repco Home Finance Limited Annexure Earnings Presentation February 2021
Slide 22: Shareholding pattern
Shareholding pattern Repco Home Finance Limited % Outstanding shares – 62.6 mn Major non-promoter shareholders shareholding Aditya Birla Mutual Fund 6.1% Bodies Corporates, Resident HDFC Mutual Fund 6.1% 2.9% Individuals, Fidelity Funds 4.5% 16.2% DSP Mutual Fund 4.4% Somerset Emerging Markets Fund
Slide 23: Profit and loss statement
Profit and loss statement Repco Home Finance Limited Figures in Rs million (Rs. million) Q3FY21 Q3FY20 YoY (%) Q2FY21 QOQ (%) 9MFY21 9MFY20 YoY (%) Income: Revenue from operations 3,546 3,400 4% 3,480 2% 10,403 9,999 4% Other income 51 10 414% 23 128% 116 51 126% Total Income 3,598 3,410 5% 3,502 3%
Slide 24: Relative performance – Q3FY21
Relative performance – Q3FY21 Repco Home Finance Limited Particulars Units Q3FY20 Q3FY21 Sanctions Rs. mn 7,331 6,500 Disbursements Rs. mn 6,557 5,517 Net interest income Rs. mn 1,318 1,544 PAT Rs. mn 697 796 NIM % 4.6 5.1 Yield on assets % 11.8 11.7 Cost of funds % 8.4 7.9 Spread % 3.3 3.9 Return o
Slide 25: Relative performance – 9MFY21
Relative performance – 9MFY21 Repco Home Finance Limited Particulars Units 9MFY20 9MFY21 Sanctions Rs. mn 21,257 13,392 Disbursements Rs. mn 20,249 12,005 Net interest income Rs. mn 3,826 4,220 PAT Rs. mn 2,327 2,244 NIM % 4.5 4.7 Yield on assets % 11.8 11.6 Cost of funds % 8.7 8.2 Spread % 3.1 3.5
Slide 26: Investor Relations contact and Safe Harbor
Repco Home Finance Limited For any Investor Relations queries, please contact: Bala S Repco Home Finance Limited Phone: +91 44 42106650 Email: bala@repcohome.com Safe Harbor: This presentation may have certain statements that may be “forward looking” including those relating to general business plan